Examples Outline the Skill
Florida Land Disposition
The site was ultimately developed with this Publix-anchored shopping center completed in 2022.
The Issue:
Navigate the complexities associated with disposing a long-held piece of land in a manner that maximized the property's value, while ensuring the transition would be supported by the community. Tasks included identifying the potential of the land, conducting a valuation analysis, setting a disposition strategy, and fielding and leading a disposition team to negotiate and close the transaction. Complete the engagement by identifying and acquiring replacement assets through a similar process of valuation and negotiation.
Assignment and Rationale
The client, a long-standing community member, intended to sell part of a larger, minimally-zoned land holding for estate-planning purposes. The challenge was to identify a land use for the property, which had been used recreationally for 55 years, that the local community would accept, allowing for its development. The client wanted to maximize their profits but do so while maintaining their family’s legacy and reputation.
Counsel Given
The counsel was built on trust, established through consistent education, communication, and availability. This trust allowed Maenner to provide insights and advice tailored to the client and their family’s needs over time.
Basis for Advice
The advice was based on Maenner’s background in development, hands-on market research, experience with municipal agencies, and collaboration with land planners, surveyors, brokers, land use attorneys and other professionals.
The Outcome
The successful sale of the land to a qualified developer and the reinvestment of a portion of the proceeds into two long-term ground leases suitable for the client's objectives.
Additional Info
The engagement lasted nearly six years, evolving into an embedded advisory role. Maenner’s counsel focused on market research and analysis, building a competent team, maintaining effective communication, offering recommendations, and executing the agreed-upon strategy.
Willows Bend Senior Living Development
Willows Bend Senior Living Community (Fridley, MN)
The Issue:
Provide needed oversight and leadership of a joint venture development of a 136-unit continuum-of-care senior living community. With a January 2021 groundbreaking, there was heightened awareness for managing the project during the worst of the COVID outbreak. A more “hands-on” approach ensured real-time communication and understanding of on-the-ground facts.
Assignment and Rationale
The project was a joint venture between a series of equity investors and developer project leader. The primary investor wanted a member of the sponsoring team directly involved in the execution of the plan through daily and weekly owner and contractor construction meetings.
Counsel Given
Provided leadership and final authority regarding all on-the-ground activities. Exposure to the day-to-day activity created opportunities for broader team-wide interaction which enhanced the inevitable problem-solving that comes with development.
Basis for Advice
Maenner relied on his experience in leading development projects through completion and issuance of a certificate of occupancy.
The Outcome
Construction was completed on time and under budget despite a construction start during the peak of the COVID lockdowns.
Impact of Counseling
Maenner’s direct involvement created an authority that was clear to the contractor, the other development team members, the sponsor, and the lender.
Additional Info
The project initially suffered from the supply chain uncertainty and pricing pressure despite a “guaranteed maximum price” construction contract. By well-established and positive relationships, Maenner was able to obtain the needed goods and services as contracted and promised. The initial efforts to build trust and team cohesion paid dividends as unpredictable challenges emerged.
Savage Senior Living Property Expansion
Savage Senior Living Community expansion (on left; (Savage, MN)
The Issue:
Evaluate the project’s financial feasibility, plan the solution, secure financing and execute the plan. An additional challenge was to minimize the disruption to a very active and engaged resident community operating at near capacity. A follow-up phase to this building addition was to oversee the refurbishment of all original building common areas so that the overall interior showcased a unified presentation.
Assignment and Rationale
The project involved assessing the expansion potential of a well-performing asset to enhance its value. Factors to be considered included evaluating rent prospects, cost, constructability, financing, and overall feasibility of the expansion.
Counsel Given
Provided leadership in development planning, established the project’s feasibility, then led the execution of the development based on the recommendation.
Basis for Advice
The advice was informed by market research, collaborations with architects and contractors, cost management, analyst inputs, and lender feedback.
The Outcome
Maenner’s recommendation was accepted by investors and the project was completed within budget and time constraints. Leasing of new units met projection and the expansion was completed entirely with new mortgage proceeds, increasing investor cash flow by 28%.
Impact of Counseling
The client believed in the asset's expansion potential but lacked the team resources to realize this opportunity. Maenner brought together the necessary parties to develop a unified plan, minimizing property disruption and ensuring a seamless expansion.
Additional Info
In realizing the value potential for this asset, Maenner used his development background to advance the project, imbuing the initiative with a sense of urgency when the market analysis identified pending competition.