A little more about Thomson Corporation and Towne Centre

First, to verify the two are related, check out the Thomson Corporation Web site. Towne Centre is listed as one of their retail developments. The other is in the south of Brookfield on Greenfield Road.

Next, separate Sendik’s from this issue. Though the name is on a couple of signs, they don’t own the property. They lease it. (And I could be wrong here. See update below.)

The tax data for Towne Centre shows the 2008 EQUALIZED value at $25,977,000. I know folks try to fight it, but our assessor in Brookfield is legendary. That’s going to be very close to the value of the property. The article from the MJS blog mentions two loans with Harris bank totaling $25.9 million.

A city hall insider told me the developer has been in lately looking to put another anchor on the parcel. They knew they were in trouble. The site already has a very dense PDD designation. It would be a very tough sell to get more on that piece of land.

Which leads me to a last question. How did it all go so badly? The place is full and well leased. There’s plenty of activity. What in the world did the developer do to end up bankrupt on this project? From the numbers above, it looks like someone was leveraging (borrowing against) the compound. Being highly leveraged hit developers hard in the last year.

Will Brookfield be seeing more of this?

UPDATE: From an outside source:

My source indicated to me that Tom Balistreri (owner of Sendik’s Fine Foods in the Towne Centre) has a significant stake in the property. All unconfirmed here, but it was hinted to me that Tom used his stake in the Sendik’s Towne Centre as collateral for that venture out in Franklin’s Wyndham Village. When that was drastically underperforming and ultimately closed, Tom lost the positive numbers he was finally getting out the Sendik’s Towne Centre since the profits were sucked dry by Wyndham Village’s failure.

I remember hearing Balistreri was stakeholder, too. Can anyone confirm? Maybe Sendik’s is in this game.

Comments

  1. A little birdy told me he has 25% stake.

  2. Tell the little birdy thanks for the info.