JV Expects to Amass $636M-Plus Retail Portfolio

[IMGCAP(1)]LIVONIA, MI-Schostak Brothers & Co., based here, and German firm BVT Equity Holdings, with US operations based in Atlanta, are forming a joint venture to focus on shopping centers shadow-anchored by major discount department stores. Schostak Brothers had assembled a portfolio of 34 properties, which it will be bringing into the venture, says Patrick Windley, COO of the shadow-anchored division of Schostak.

The joint venture expects to acquire an additional $100 million of centers each year of the venture. The term for the venture is expected to be between five to seven years, Windley tells GlobeSt.com.

[IMGCAP(2)]The focus of the venture will be the acquisition of shopping centers adjacent to newer Wal-Mart Supercenters, or similar national discount retailers such as Target, Windley says. The joint venture allows Schostak to continue adding properties to the portfolio and allows BVT to enter the shadow-anchor market, Windley says.