MACK Goes Commercial
As versatile as football and baseball star Bo Jackson, single-family powerhouse MACK Cos is seamlessly expanding into commercial deals with its eye on residential synergy.
One of the largest local owners and managers of single-family rentals (over 1,000 homes totaling more than $150M), fast-growing MACK found itself needing new office space at the end of last year and some great opportunities presented themselves, VP Eric Workman (snapped on Halloween with the kids) tells us. Recent acquisitions in Tinley Park: the 7,500 SF Gateway Plaza at 6800 Oak Park Ave (below); the 12k SF High Pointe Plaza at 6787 159th St; the and 8,000 SF Centennial at 6820 S Centennial Dr, which will become office space for about 40 MACK employees early this year. Eric says the firm's "AAA model" translates easily to commercial deals—A tenants want A properties in A locations.
Will MACK continue focusing on distressed properties? That's like asking McDonald's if it'll stay in the hamburger business, Eric says. The company’s strong presence in the southern 'burbs and extensive network in the banking and construction industries have given it a leg up in sourcing and closing deals. And it's keeping an eye on each one for its specialty, adding a residential component. "The commercial buildings themselves might be smaller, but the pieces of land that accompany each project can accommodate vertical or adjacent multifamily residential," he says. MACK Construction, a division of MACK focused on large public work, commercial, and multifamily construction projects, will also be a big help. The firm knows local governments, building codes, and contractors well, making for easy redevelopments of its new buys.