Phillips Edison & Co. (PECO), an internally-managed real estate investment trust and an owner and operator of grocery-anchored shopping centers, and Northwestern Mutual, a commercial real estate mortgage and equity investor, have entered into a joint venture to create Grocery Retail Partners I (GRP I). Northwestern Mutual will invest in 17 high-quality, grocery-anchored shopping centers currently owned and operated by PECO across eight states.
Under the terms of GRP I, Northwestern Mutual will acquire an 85 percent interest in the 17-center portfolio that is currently valued at $368 million. PECO will maintain 15 percent ownership in the portfolio, while providing asset management and property management services for the joint venture.
The proceeds from GRP I will be deployed by PECO to delever its balance sheet, fund redevelopment projects, and further expand its portfolio of grocery-anchored centers.
In addition to this partnership, Phillips Edison Grocer
