Case Studies
Midtown Center
Milwaukee, WI
A partnership of Canyon-Johnson Urban Fund and Milwaukee-based Boulder Venture LLC in 2001 acquired the 700,000 sq. ft. shopping center formerly known as Capitol Court, built in 1955. At the time of purchase, the development was 20% leased and functionally obsolete. A dramatic three-year revitalization effort ensued, which included demolition of the mall and development of 454,000 sq. ft. of new Class "A" retail space in its place.
At the time of sale to Inland Western Milwaukee Midtown LLC in February 2005, Midtown Center was approximately 98 percent leased, anchored by a 150,000 sq. ft. Wal-Mart, with other retailers including Pick 'n Save, A.J. Wright, Footlocker, Kids Footlocker, Payless Shoes, Milwaukee Police Department, T-Mobile, Concordia University, Starbucks, Applebee's and Pizza Hut, Culvers, Ashley Stewart, Rainbow Apparel and Firestone.
The $50.2 million project was successful in creating value through development in an urban setting while providing economic opportunities for local residents. Because the center was strategically-located in an area that was home to 250,000 residents within a three-mile radius-five times the average in Wisconsin-the income density provided extraordinary purchasing power per square mile.
The City of Milwaukee also established clearly-defined revitalization objectives for the project and worked with Canyon-Johnson and Boulder Venture to ensure its success. Through a public-private partnership with the City, a $6.5 million Tax Incremental District (TID) Grant was provided for the development of Midtown Center. Capitol Court's tax assessment was $6,205,000 on January 1, 2001, and as of January 1, 2004, was $34,359,700, which exceeded the projected assessment by nearly $2 million. 1,500 new jobs for the community were also projected as a result of the new Midtown Center.
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