macys

MRA Secures Financing For Macy’s Building

Real Estate

Will Macy’s Update Bring Much-Needed Revitalization To The Shops at Nanuet?

Metropolitan Realty Associates LLC (MRA) and equity partner Angelo Gordon & Co. LP have secured a $23 million acquisition and construction loan  for Macy’s at the Shops at Nanuet.

Amherst Capital provided a three-year loan for the venture.

In December, MRA announced the purchase and sale leaseback of the 218,000 square foot store, which is due to close on March 24 following Macy’s liquidation sale. The company signed a 10-year, 101,488 s/ft lease with the home furnishings superstore, At Home. The store is expected to open first quarter of 2020 and hire between 40 and 50 employees.

JOE FARKAS

MRA’s founder and CEO Joe Farkas said the redevelopment will modernize and reconfigure access points to the building to enable single or multiple retail users. It will include a two-story grand lobby with entry and exit upgrades, improved elevator and escalator arteries, tenant-controlled mechanical systems, dog-friendly outdoor park, and wireless technology. Updated exterior signage will be available for new tenants. At this time, no new tenants have been announced.

Farkas, known for adaptive re-use, including the former Stella D’oro factory in the Bronx, is working with the Town of Clarkstown to develop the area in and around the Macy’s site, and has been appointed to a newly formed Clarkstown committee tasked with studying economic development. The Route 59 corridor in recent years has fallen victim to closures of department and big box stores including Macy’s, Sears, Toys “R” Us, JC Penney, and more. The Shops at Nanuet, owned by the Simon Property Group, is filled with chain retailers that are vulnerable or shuttering stores nationwide. The Sears department store, as well as the Sears automotive store, are vacant.

Simon recently put signs in the window of the Sears’ building advertising the coming of more retail. However, it is unclear as to whether Simon has exercised its option to take over the Sears’ properties.

Meanwhile, MRA will need to focus its efforts on filling the second floor of the former Macy’s building.

CHRISTOPHER KELLY

“Amherst is pleased to provide debt capital for a well-conceived re-positioning of a viable retail asset in a dynamic and growing Rockland County market,” stated Amherst Capital Management Managing Director and Head of Real Estate Christopher Kelly. “We are excited to participate in this innovative retail strategy developed by Mr. Farkas and his team at MRA, and look forward to supporting their future investment activities.”

David Landes and Jeanine Kemm of Royal Properties are the leasing agents.