Medalist Diversified REIT acquires Lancer Center
Medalist Diversified REIT, a Virginia-based real estate investment trust that specialises in acquiring, owning and managing commercial real estate in the Southeast region of the US, has acquired a retail centre totalling approximately 178,626 square feet of gross leasable space in Lancaster, South Carolina, commonly referred to as the Lancer Center.
The price was USD10,100,000, exclusive of closing costs and a USD200,000 credit to the Company for major repairs. The Company’s equity investment in the acquisition of approximately USD3,750,000 was funded using a portion of the net proceeds from the Company’s common stock offering that Medalist closed with Kingswood Capital on April 13, 2021. Management expects to use the remaining proceeds from the common stock offering for additional acquisitions during 2021. The balance of the purchase price for the Lancer Center was funded by a commercial loan.
Lancer Center anchor tenants include: Big Lots; Harbor Freight; KJ’s Grocery; and Babcock Furniture.
Bill Elliott, Vice Chairman and President of the Company, says: “Lancer Center has a diverse workforce tenancy, consistent with our strategy, that we believe will immediately generate positive and sustainable cash flow. One of Medalist’s goals is to purchase similar cash flowing properties while we work to exit our hotel investments. Purchasing robust cash flowing properties like Lancer Center will help continue to build value for our shareholders.”
Thomas E Messier, Chairman and Chief Executive Officer of the Company, says: “The recent successful common stock offering and the acquisition of the Lancer Center are key milestones in the Company’s 2021 strategy to emerge from Covid-19, reposition its investments and continue to grow through capital raising and property acquisitions.”