Big V Secures $125M Refi for Nashville-Area Shopping Center

Completed in 2007, The Avenue Murfreesboro encompasses 11 buildings on an 85.6-acre site. Image courtesy of JLL Capital Markets

Big V Property Group has secured $125 million in cash-out refinancing for The Avenue Murfreesboro, a 846,467-square-foot lifestyle retail center in Murfreesboro, Tenn. JLL Capital Markets arranged the five-year, balance sheet financing.

Big V purchased the asset in 2020 from Hines for $136.4 million, according to CommercialEdge data. Beal Bank provided a $90 million acquisition loan, the same source shows.

Completed in 2007, the retail center encompasses 11 buildings on an 85.6-acre site. After the purchase, Big V created a capital improvement plan, which resulted in a significant value rise within the three years of ownership. The property also benefits from the area’s affluent population, with an average household income of $96,620 within a 3-mile radius.

Anchored by H&M, Belk, Barnes & Noble, Haverty’s Furniture, Old Navy, Dick’s Sporting Goods, Best Buy and Burlington, the open-air retail center was 93.1 percent leased at the time of the sale. The tenant roster at The Avenue Murfreesboro also includes a mix of lifestyle and power center tenants such as Barnes & Noble, Off-Broadway Shoe Warehouse, Victoria’s Secret, Michaels, Petco, Forever 21, Cost Plus World Market, Old Navy, Ulta, Hollister, Buckle, American Eagle and Sephora.

Senior Managing Directors Chris Drew and Brian Dawson and Managing Director Matt Casey led the JLL Retail Capital Markets Debt Advisory team that secured the financing.

Vice President Bryan Kallenberg and Senior Analyst Dean Lumish led the Big V Property Group Capital Markets team. At the end of last year, the company purchased a 938,103-square-foot shopping center in Austin, Texas. JLL Capital Markets brokered the transaction and arranged the $90 million acquisition financing. Allianz Life Insurance Co. provided the five-year senior loan.

Nashville’s economic growth

The Avenue Murfreesboro is located at 2615 Medical Center Parkway, placing it roughly 30 miles south of downtown Nashville. Located in an affluent and growing trade area within the Nashville MSA, the shopping center records nearly 6.5 million visits per year.

The accelerated growth in Nashville’s economy and population has significantly boosted the retail market within the area over the last few years. According to a recent Matthews report, retailers are drawn to Nashville’s above-average household and income growth. Moreover, the metro’s population has seen a solid increase of 66 percent from 2010 to 2022.