Highlights

• Created substantial returns for the property.
• Orchestrated aggressive re-tenanting campaign, bringing the center from 20 percent to 100 percent leased
• Provided investors with consistent above-market returns during the time the property was held

Synopsis

After assuming management and leasing responsibilities on behalf of a third-party owner, JCF Real Estate increased occupancy and added considerable value to the River Park Atrium Office Center, a 60,000-square-foot office building located on Route 31 in Aurora, Ill. Due to an aggressive re-tenanting campaign, occupancy was increased from just 20 percent to 100 percent.

Detailed Situation/Description:

JCF Real Estate in 1995 assumed management and leasing responsibilities for the River Park Atrium Office Center. At the time, the 60,000-square-foot, Class "B" building - which was built in 1975 - was only 20 percent occupied and had fallen into disrepair.

Strategy:

JCF Real Estate sought to orchestrate an extensive overhaul of the building, demonstrating its commitment to building ownership as well as current and prospective tenants. JCF would leverage its financial commitment and its ability to be both creative and flexible in order to add value to the center.

Solution:

JCF invested substantial capital into the building, creating an updated feel and improving the overall atmosphere through an improved common area, new landscaping and an updated exterior. Offices were completely renovated and upgraded with Class "A" finishes. Meanwhile, JCF embarked on an aggressive marketing and negotiations program targeting tenants with offices in Naperville or Oak Brook whose owners lived near Aurora in the St. Charles/Geneva area.

Results:

Three new tenants - a major local brokerage firm and two healthcare organizations - leased significant portions of the building, bringing occupancy to 100 percent during what was considered a down-turn in the real estate cycle. The property was refinanced, generating substantial returns for the property.