50 John Hancock Road
In October 2020, VMD acquired 50 John Hancock Road, a 151,306 square foot building in located in Taunton, MA. VMD acquired the asset for over 37% below replacement cost in a high-barrier-to-entry market with strong supply and demand fundamentals.
The asset contains high bay warehouse space with a 7.5% office component on 8.09 acres of land in Myles Standish Industrial Park, the largest industrial park in New England. With tremendous power and infrastructure in place, 50 John Hancock provides a significant value-add investment opportunity to target e-commerce, distribution, manufacturing, R&D, and Biopharma users.
50 John Hancock benefits from superior logistical access throughout Greater Boston and beyond, with the two largest interstates in the region, I-495 and I-95, intersecting in the submarket and allowing for superior logistical access throughout Greater Boston and beyond.
Via a modest capital improvement program, the asset is ideally positioned to support the continued growth and demand for industrial assets located within the Boston MSA.
523 Pleasant Street
In October 2020, VMD acquired 523 Pleasant Street, a 178,800 square foot building in located in Attleboro, MA. VMD acquired the asset for over 58% below replacement cost and fully-leased at an attractive in-place unleveraged cash-on-cash return with current rents over 30% below market.
100% leased to two tenants through June 2023, the asset contains both industrial and office space on 13.74 acres of land in Attleboro’s premier industrial-office park. With the majority tenant paying well below market rent, 523 Pleasant Street provides a significant value-add investment opportunity with the ability to increase rents from mark-to-market on the asset.
The location offers easy access in all directions via proximity to I-95, I-295 and I-495. The Property is approximately 45 minutes from Downtown Boston, 45 minutes from Worcester, and 20 minutes from Downtown Providence. Attleboro provides excellent access to a strong labor pool and the Attleboro/New Bedford Industrial submarket currently has a vacancy rate of 6.1%.
As part of the value-add investment strategy, VMD will undertake an accretive capital repositioning program to further enhance the assets quality, market position, and attractiveness to current and future tenants.
Through VMD’s Private Equity network, VMD sourced and spearheaded the acquisition of the Iconic 826K sq ft NECCO candy manufacturing facility located at 135 American Legion Highway in Revere, MA through a joint venture with Atlantic Management. VMD realized it was critical to the assets’ acquisition to bifurcate NECCO’s operating company from NECCO’s real estate, and in doing so was able to acquire the real estate at approximately $60/sq ft, well below replacement cost.
In 2019, VMD secured a 10-year lease from Amazon to occupy 100% of the property as their last-mile distribution facility, rendering Amazon the largest employer of the City of Revere.
In January 2020, VMD sold the property to Clarion Partners for $355 Million ($430 per SF).
VMD acquired the former Macintosh College located off of Route 16 in New Hampshire’s Seacoast, an area widely considered the state’s economic hub. The college had in excess of 19 acres of underlying real estate which VMD utilized to reposition into a 200,000 sq ft mixed-use community.
825 Collins Ave
VMD spearheaded the acquisition of 825 Collins Ave in South Beach, Miami in a collaboration with Federated Companies. This location is in a very high barrier to entry corridor abutting Barneys New York.
VMD acquired an undeveloped tract of land in the town of Pelham, NH and served as the developer for the publicly traded Enterprise Bank to develop their 19th branch location.
The development was saddled with multiple obstacles. The project required 4 variances, 11 waivers and multiple state approvals. VMD secured all variances and waivers within 60 days of submission from the town of Pelham and all state approvals shortly thereafter.
200 Forest St
VMD was brought into this mixed-use development located at 200 Forest St in Marlborough, MA by Atlantic Management to spearhead the retail component of the office development.
2468 Lafayette Rd
VMD acquired 2468 Lafayette Rd, Portsmouth, NH from an estate sale at well below replacement cost. The asset was a landmark in the Seacoast market, having been an operational carwash for over 75 years. However, the business was entrenched with poor management, theft and deferred maintenance.
581 Lafayette Rd, Portsmouth, NH
VMD worked relentlessly to option this property that had been an iconic movie theater in Portsmouth for 80 years. VMD was the first group able to make contact with ownership. VMD’s market intel is what uniquely positioned the acquisition, specifically being made aware of a traffic signal that the state was installing at the property’s front door. This traffic signal positioned the property to appeal to a multitude of tenants and reconfigured the ingress and egress surrounding the underlying real estate.
VMD underwrote the highest and best use for the asset, and decided to flip its position based on market conditions at the time.
Multifamily Developments in Massachusetts and New Hampshire
VMD has developed and acquired in excess of 475 multifamily market-rate apartments throughout Greater Boston, Massachusetts, and New Hampshire.
These developments have been sourced and procured by VMD’s network. VMD has overseen all aspects of these respective acquisitions and developments.
Over $100MM of equity has been deployed on this opportunistic multifamily strategy that has exceeded expectations for all financial metrics originally underwritten.
In 2008 when the great recession commenced and VMD’s primary asset class focus at the time was retail, the company acknowledged an opportunity for a new investment strategy.
VMD started acquiring delinquent condo associations that were in arrears due to the downturn. The majority of these condo complexes and associations thought that paying their mortgage first would buy them time. However, due to Massachusetts law, an HOA fee supersedes a first mortgage.
The Company acquired multiple complexes that were not financeable to the conventional buying pool. It then legally restructured these associations and funded them with the necessary reserves to convert a non-financeable asset back into a financeable asset, thus bringing back to the conventional buying pool.
These transactions had very limited construction risk and were focused primarily on re-positioning the assets through the necessary legalities.
HSBC Bank, Advanced Auto Parts
VMD acquired the fee simple interest and remaining base lease term at 1370 Barnum Ave in Stratford, CT, which had been leased to HSBC, one of the world’s largest banking and financial services organizations.
VMD worked hand-in-hand to buy out the in-place HSBC lease while simultaneously negotiating a lease with Advanced Auto Parts