HFF announces the sale of Lehigh Valley’s Westgate Mall

PHILADELPHIA, PA – October 25, 2018 – Holliday Fenoglio Fowler, L.P. (HFF) announces the sale and financing of Westgate Mall, a 270,000-square-foot enclosed mall in the Lehigh Valley community of Bethlehem, Pennsylvania.

The HFF team marketed the property on behalf of the seller.  Additionally, HFF worked on behalf of the buyer to secure financing.  New ownership is the joint venture between Onyx Equities, LLC and PCCP, LLC.  

Situated on 22.6 acres on Schoenersville Road, Westgate Mall is adjacent to the intersection of Route 22 and Route 378, providing quick regional access to Lehigh Valley, Philadelphia and New York.  More than 93,900 residents earning an average annual household income of $71,641 live within a three-mile radius. Westgate Mall is anchored by Weis Markets, Rite Aid and Sky Zone; was formerly anchored by The Bon Ton; and is adjacent to Lehigh Valley Hospital. 

“We are pleased to have finalized this acquisition and look forward to implementing Onyx’s signature, value-add strategy in partnership with PCCP,” said Stephen Sullivan, chief investment officer at Onyx Equities.

“We are excited about implementing our proven repositioning strategy and revitalizing this well-located retail center,” added Matthew P. Flath, Onyx’s vice president of Asset Management.

The HFF team representing the seller included managing director Chris Munley and director Michael DiCosimo.

“The Lehigh Valley is one of the fastest-growing regions within the state of Pennsylvania, supported by significant job and resulting population growth,” Munley said.  “We have seen a considerable amount of both institutional and private, out-of-market capital targeting the region and retail shopping centers in particular.”

HFF’s debt placement team representing the borrower included managing directors Steven Klein and Ryan Ade.

“HFF appreciates the opportunity to represent both Onyx Equities and PCCP in this transaction,” Klein added.  “We believe the sponsorship will add significant value to the property, creating a best-in-class asset that will greatly benefit the community.”

Cole Schotz P.C. represented Onyx Equities in the acquisition, joint venture with PCCP and financing.  Jordan Metzger led the team that included Robert DiPisa, John Park and Samantha Epstein. 

“Westgate Mall is next in the line of value-add acquisitions and turnarounds, which is the hallmark of Onyx’s success and leadership in the Northeast retail and office markets,” Metzger said.  “Cole Schotz is proud to be a long-standing member of the Onyx team and congratulates Onyx on another successful transaction.”

About Onyx Equities, LLC
Headquartered in Woodbridge, New Jersey, Onyx Equities, LLC is a leading, full-service real estate firm specializing in investment, asset repositioning and ground-up development.  Since its founding in 2004, Onyx has acquired more than $2.2 billion worth of real estate assets throughout New Jersey, New York, Pennsylvania and Connecticut. Onyx has executed over $230 million in capital improvement projects under its signature repositioning program.  Driving Onyx’s success is its loyalty to core geographic markets, a seasoned team of expertise in all facets of real estate, its adaptability to market conditions, and the experience gained from managing over 65 million square feet since inception.  Throughout its portfolio, Onyx takes aim at increasing operational efficiency, tenant satisfaction and long-term value.  For more information visit onyxequities.com.

About PCCP, LLC
PCCP, LLC is a real estate finance and investment management firm focused on commercial real estate debt and equity investments.  PCCP has $8 billion in assets under management on behalf of institutional investors.  With offices in New York, San Francisco and Los Angeles, PCCP has a 20-year track record of providing real estate owners and investors with a broad range of funding options to meet capital requirements.  PCCP underwrites the entire capital stack to exploit inefficiencies in the market and provide investors with attractive risk-adjusted returns.  Since its inception in 1998, PCCP has successfully committed $17 billion of capital through a series of investment vehicles including private equity funds, separate accounts and joint ventures.  PCCP continues to seek investment opportunities with experienced operators seeking fast and reliable capital. Learn more about PCCP at pccpllc.com.

About HFF
HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry.  HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing.  HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF).  For more information, please visit hfflp.com or follow HFF on Twitter @HFF.

CONTACTS:
CHRIS MUNLEY

PA Lic. #RS314499
HFF Managing Director
(484) 532-4200
cmunley@hfflp.com

MICHAEL DICOSIMO
PA Lic. #RS329558
HFF Director
(484) 532-4200
mdicosimo@hfflp.com

STEVEN KLEIN
HFF Managing Director
(212) 245-2425
sklein@hfflp.com

RYAN ADE
HFF Managing Director
(484) 532-4200
rade@hfflp.com

KIMBERLY STEELE
HFF Digital Content/Public Relations Specialist
(713) 852-3420
ksteele@hfflp.com

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