Wextrust Chief Restructuring Officer Calls for Bids on Mixed-Use Building in Downtown Highland Park, Illinois

NORTHBROOK, Ill.--(BUSINESS WIRE)--Wextrust Chief Restructuring Officer, Mitchell Kahn, of Frontline Real Estate Partners and Badger Real Estate Advisors has announced a sealed bid deadline of September 16, 2011 for a highly-desirable mixed-use property in Highland Park, Illinois, an affluent suburb on Chicago’s north shore. The 54,681 square foot structure, located near the intersection of Laurel Avenue and First Street at 1770 First Street, includes retail, medical office and residential tenants. Constructed in 1988, the property is adjacent to Port Clinton Square, the focal point of downtown Highland Park.

“Although the building suffered some tenant losses and a decline in net operating income over the past couple years, the receivership has successfully leased a majority of the vacant space and has stabilized income.”

“The receivership has made the determination that now is an appropriate time to monetize this asset,” said Mr. Kahn. He added, “Although the building suffered some tenant losses and a decline in net operating income over the past couple years, the receivership has successfully leased a majority of the vacant space and has stabilized income.”

1770 First Street is part of a larger portfolio of properties in the Wextrust Capital Receivership, which appointed Hilco Real Estate as the exclusive marketing agent. In September, 2008, Wextrust executives were charged with fraud for operating a ponzi-like scheme. Since then, the company has been in receivership under the guidance of Timothy J. Coleman.

Andrew Becker, a spokesman for Hilco Real Estate, who will be running the sale, stated, “We plan to capitalize on the interest in this property that dates back to 2008, when we began receiving inquiries. Based on the property’s current 92% occupancy rate and its net operating income of $801,472, we believe the asset is more attractive as an investment today than it has been over the past three years.”

For more information on this property and others in the portfolio visit www.hilcorealestate.com/wextrust or by calling 847-313-4790. Information on the receivership can be found online at www.wextrustreceiver.com.

About Hilco Real Estate, LLC

Hilco Real Estate helps businesses improve leverage and cash flow by repositioning and restructuring their real estate commitments. The company’s focus is to optimize value in the shortest period of time. Core competencies include strategic advisory and consulting services, owned portfolio disposition, lease portfolio sales/assignments, lease termination, lease renegotiation, leasing/subleasing, sale of non-core owned assets, sale/leaseback transactions, and fee and appraisals for leased and owned assets. The company, which is headquartered in Northbrook, Ill, is a division of The Hilco Organization. For more information please visit www.hilcorealestate.com.

About Badger Real Estate Advisors, LLC

Badger Real Estate Advisors, LLC was formed in 2009 with a focus on real estate restructuring, including investments, acquisitions, deal making, and consulting. The Badger team has unparalleled experience in the restructuring of real estate assets, specializing in both leased and owned real estate. Principal services include strategic consulting and advisory services, portfolio advisory, portfolio management, restructuring and disposition and receivership and turnaround services.

About Frontline Real Estate Partners, LLC

Frontline Real Estate Partners, LLC focuses on acquiring distressed real estate assets across the U.S., as well as providing real estate consulting and advisory services in bankruptcy and distressed situations. The company is an experienced, sophisticated buyer of real estate assets, with the company’s leadership team having acquired a substantial portfolio of retail and industrial assets, including sale-leasebacks and empty facilities. Frontline also serves as a trusted advisor to lenders, bankruptcy attorneys, turnaround consultants and companies with real estate restructuring needs. Principal services include strategic advising and consulting on portfolio management, restructuring, disposition, receivership and turnarounds. For more information please visit www.frontlinerepartners.com.