4A — July 28 - August 10, 2017 — M id A tlantic Real Estate Journal


M id A tlantic R eal E state J ournal

With South Korean Investors NJ’s Hampshire Cos. acquire six Louisiana Walmart neighborhoodmarkets in joint venture

orristown, NJ — The Hampshire Companies , a full service, private real estate investment firm, announces the acquisition of a six store Walmart Neighborhood Mar- kets portfolio totaling 255,968 s/f in southern Louisiana from SkilkenGold Real Estate De- velopment. The properties were acquired in a joint ven- ture with Hanna Asset Man- agement Company from Seoul, South Korea, and several of their institutional and retail investors. The portfolio consists of M

six, newly constructed free- standing retail stores located throughout southern Loui- siana in Houma, Meraux, New Iberia, Opelousas, Prai- rieville and Thibodaux. Part of Walmart’s Neighborhood Market concept, the portfolio features smaller stores, aver- aging around 42,000 s/f with a focus on offering a full suite of groceries, pharmacy, health and beauty aids, and a limited selection of general merchan- dise. The Walmart Neighbor- hood Market concept is a pure grocery store business model that is separate and distinct

from Walmart’s Supercenter strategy, which is comprised of large megastores that mer- chandise a wide array of recre- ational items, household goods and apparel at low prices in addition to grocery products. With a market share of 40% in Louisiana, Walmart is the number one grocer in the state. The fully-leased, single-tenant buildings were attractive to The Hampshire Companies and their foreign investor partners since the portfolio provides stable, core assets that are well-positioned for continued strong performance. “We continue to see foreign investors looking to utilize capital to purchase core invest- ments with well-known, strong tenants in mature and estab- lishedmarkets across the coun- try,” said Robert Schmitt , a principal of The Hampshire Companies. “Our knowledge of the U.S. real estate market, global economy, and proven, cycle-tested investment strate- gies made us an ideal partner for this investment with our South Korean partners. We look forward to continuing to work with them to target as- set classes that align with our investment strategy and their long-term goals.” Walmart NeighborhoodMar- kets present Walmart with the opportunity to target growth in more mature, urban and suburban markets, and are the largest potential growth format for the company in the United States. Walmart currently operates 699 Neigh- borhood Markets in 31 states and Puerto Rico. Walmart’s NeighborhoodMarket strategy has been a significant contribu- tor to the retailer’s turnaround and showcases Walmart’s com- mitment to sustainable and strategic growth. “Our decision to acquire this portfolio of assets in southern Louisiana was motivated by Walmart’s focus on long-term sustainable growth and our strategy of acquiring stable, core assets in strong mar- ketplaces,” said John Gold- smith , a portfolio manager for The Hampshire Companies. “Walmart’s Neighborhood Market concept was developed with the current and future needs of consumers in mind and will allow these six stores to serve their local markets well into the future and offer us stable income generating assets.” n


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