Neiman Marcus scores $27M loan for Galleria store in Fort Lauderdale

It’s been an anchor at the mall since the early 1980s

Sep.September 03, 2019 09:45 AM
A Neiman Marcus in Florida (Credit: Getty Images)

A Neiman Marcus in Florida (Credit: Getty Images)

Neiman Marcus closed on a nearly $27 million loan for its Fort Lauderdale location, marking the second loan the struggling retailer has secured in recent months in South Florida.

The Neiman Marcus Group got the $26.8 million in financing for the store at Galleria, at 2442 East Sunrise Boulevard, records show. Deutsche Bank, Credit Suisse and Ankura Trust Company are the lenders.

Neiman Marcus is an anchor tenant at the high-end mall, taking about 81,000 square feet. The retailer opened at the Galleria in 1982. Other anchors include Macy’s and Dillard’s.

Keystone Florida Property Holding Corp. owns the mall. It’s managed by JLL.

In July, Neiman Marcus closed on a $37.38 million loan from Credit Suisse for its Shops at Merrick Park location, at 390 San Lorenzo Avenue in Coral Gables, less than a month after Moody’s Investors Service upgraded Neiman Marcus Group’s probability of default rating.

Earlier this year, when Moody’s upgraded the retailer’s probability of default rating, it wrote, “the company’s successful completion of the term loan amendment extending the term loan maturity, issuance of new second lien notes, and exchange offer for its senior unsecured notes provides Neiman more time to improve its business, but we expect free cash flow to be negative as leverage remains at unsustainable levels. The risk of a future distressed exchange remains elevated,” according to a release.

Neiman Marcus Group, based in Dallas, Texas and led by CEO Geoffroy Van Raemdonck, has 42 locations nationwide, including another at Bal Harbour Shops.

Related Articles

18901 Southwest 106th Avenue, MMG Equity Partners CEO Gabriel Navarro (Credit: Google Maps)

MMG Equity Partners picks up retail center in Cutler Bay

Rendering of the Plaza Coral Gables

Pinstripes bowling alley inks lease at The Plaza Coral Gables

Walgreens at 3200 South Federal Highway

Walgreens sells Delray Beach store on Federal Highway

Daily Digest Miami

Miami-Dade approves Brightline deal to build PortMiami station, WeWork eyeing electronic gaming play: Daily digest

Daily Digest Miami

Miami Heat’s Udonis Haslem proposing affordable housing in North Miami, Crescent Heights and Terra score loan: Daily digest

Daily Digest Miami

Batmasian buys Deerfield Beach retail property, the Fed gears up for another rate cut: Daily digest

509 Collins Avenue and brokers Gabriel Britti, Ricardo Esteves and Ronnie Issenberg (Credit: Marcus & Millichap)

Allied Partners buys Walgreens in Miami Beach for $33M

Daily Digest Miami

Stockbridge pays $117M for industrial deal in Miramar, Trump blames recession warning signs on a conspiracy: Daily digest