Tag Archives: Pollack Investments

Arizona Cardinals quarterback Carson Palmer, Cheryl Pollack, Michael Pollack and Gilbert Mayor John Lewis. Photos courtesy of Pollack Investments.

Michael Pollack unveils biggest challenge of career

Horse Being LoweredReal estate entrepreneur and Valley philanthropist Michael Pollack of Pollack Investments has transformed hundreds of shopping centers, totaling more than 10-million square-feet of space, but never in his 40+ years of rehabbing centers has Pollack made this dramatic of a transformation until now.

Pollack unveiled his rehabilitated shopping center at Gilbert and Ray Roads in Gilbert, alongside Cardinals’ quarterback Carson Palmer, who has spent the last six months rehabbing a torn ACL.  Together Pollack and Palmer shared their two inspirational rehabilitation stories of 2015.

“For me this was the biggest architectural challenge of my career,” said Pollack.  “We took something that was out of date and ugly, and refigured it to look like an old Hollywood western town.  Just like Carson Palmer’s rehabbed knee will give fans something to cheer about this season, I’m confident this new refreshed center at Ray and Gilbert will keep the community happy for years to come.”

Gilbert Mayor John Lewis presented Pollack with a special recognition award, and Pollack presented a contribution to the Healing Hearts Animal Rescue and Refuge. The non-profit, which rehabilitates animals and horses across the Valley.

While Palmer might not be an expert in the area of renovation, the Cardinals’ QB can sympathize about the time it takes to rehabilitate something of significance.

“This guy definitely deserves the credit. Michael’s center may have actually been a bigger undertaking than my knee,” joked Palmer. “But in all seriousness, I have spent a good six months working with my doctors and physical therapists and I’m happy to report I am getting close to being in possibly the best shape of my career. Just looking forward to getting back on the field and having a great season.”  

Palmer, who now calls the Valley home for much of the year, is very supportive of civic improvements and the local industry.  

Pollack even found a special place to incorporate the fiberglass horse that he saved from the ugly 12,500-square-foot strip mall after he purchased it in 2013.  During the press conference Pollack, alongside Palmer will use a crane to unveil the horse and its new Western setting.

“I can remember looking at that horse when I first rolled into town 22 years ago,” said Pollack.  “It is a great feeling to know we not only saved the center, but today can find a new special home for the fiberglass horse and give some needed dollars back to an organization that rehabilitates real living and breathing horses right here in our own community.” 

Michael Pollack - Real Estate Investments

Michael Pollack closes February with $10M shopping center sale

Real Estate Entrepreneur Michael Pollack ends February with the $9.9 million sale of Bethany Square Shopping Center, a 100,000 square-foot mixed use center located at the northeast corner of 43rd Avenue and Bethany Home Road in Phoenix.  

The owner and CEO of Mesa based Pollack Investments purchased the center in 1997 for $2.8 million. At the time the center was at 25-percent occupancy and in need of renovations.

“When we purchased this shopping center, we had several goals.  First it was in need of some small cosmetic repairs and secondly,  it needed to be brought up to full occupancy,” said Pollack.   “I’m proud to say we sold a vibrant and thriving center that is now at 99-percent occupancy and one the neighborhood can be proud of.”

The true mixed use property contains a large school, Goodwill and a combination of office and retail use.

Pollack, who still owns 100 commercial properties, including a Food City anchored shopping center located at Bethany Home Road and 27th Avenue and another center at Bethany Home Road and 59thAvenue, said it was time to move onto a new project.

That philosophy has been at the core of what his Mesa based Pollack Investments has been doing in shopping centers across California, Nevada, Texas and Arizona for the past 42 years.  

“I’ve bought and sold a lot of property over the years and I’m pleased with where we take these projects from and what we’re doing right now across the Valley.  We’re all about making our state better, one project at a time,” he said.

In the first two months of 2015, the real estate entrepreneur has already purchased several buildings, including the shop space attached to a Food City Grocery at the northeast corner of Mesa Drive and Southern in Mesa.  Pollack, who paid $1.1 million for the 20,000 square feet of retail space, plans another exciting renovation and repositioning of that property.

“This is a center that has long been neglected and is in need of some serious attention and a complete overhaul of the space,” said Pollack.  “I hope to make this Food City Anchored Shopping Center at Mesa Drive and Southern something that not only the tenants, customers and neighbors can be proud of, but the entire city can enjoy for years to come.”

In Gilbert, Pollack is also deeply involved in what may be one of his most dramatic retail transformations to date at the southeast corner of Ray and Gilbert Road.  In the spring of 2013 Pollack purchased the 12,500-square-foot rundown strip center that housed a fiberglass horse on the roof of the plaza.

“I can remember looking at that horse when I first rolled into town 24 years ago,” said Pollack. “It has been an architectural challenge. We are taking something that was totally antiquated and ugly. “My goal is to reposition the center and reconfigure it to look like something you would see at Disneyland.  We have even found a special place to incorporate the original fiberglass horse into the new western setting.”

As part of the repositioning of the Gilbert and Ray project, Pollack totallyrenovated the large adjoining restaurant space and brought a new tenant, JC’s Steakhouse to the center. With the center at 100% occupancy, construction should be completed by April 1, 2015.  

“This is a real-life example of what can be done with a rundown center.  I have taken one of the worst looking, most run-down shopping centers in Gilbert and I am turning it into the best looking center around,” said Pollack. 

Pollack is also proud to announce the purchase of a free standing building in front of his Alma School Villages Shoppes II project located between Elliot and Warner on Alma School Road in Chandler.  Pollack has grown the shopping center from 20,000 to 56,000 over the last decade and saw the opportunity to improve another building.

“The opportunity came up to buy the free standing building that fronts on Alma School Rd. that hashoused Oasis Bedrooms for many years,” said Pollack. “So we are pleased to take on another renovation and look to fill this 8,256 square foot space when the tenant moves out in about 120 days.”

But that’s not it for the real estate entrepreneur, in 2015 Pollack is also re-investing in the northeast corner of Alma School Rd. and Elliot Rd. in Chandler where he has brought the physical occupancy rates of the center to over 95% from a low of just 50% during the “Great Recession of 2009 to 2012.

The newest tenant at the Chandler location, AZ Elite Youth Sports and Gym will be where families can strengthen their bodies and strengthen their bonds together. AZ Elite is a premier fitness club for adults, teens and children alike, inclusive of a state-of-the-art gym, swim school, gymnastics program, rock-climbing wall, batting cages and training center. The 42,000-square-foot facility offers an array of adult fitness classes, as well as athletic training programs for children and teens in swimming, gymnastics, dance and more. Additionally, they will bring the family together in monthly fitness special events.

While the kids are immersed in their activities and classes, parents can work out in the gym, take their own class or relax at the same fitness club facility. When children aren’t scheduled for a class that day, their childcare center will keep kids happy and entertained while parents get in their workout. AZ Elite also offers a spa complex that includes massage therapy, skin care treatments, tanning and spray tanning options.

“We are so excited about AZ Elite Youth Sports and Gym Center being a part of our Chandler center. We feel that they can turn this into a center where families can come and have fun and exercise together,” Pollack said.

Pollack is also excited to welcome Rocker World and Zia Records to the center.  “We just recently celebrated the grand opening of Zia Records and we’re excited to welcome one of my all-time favorite record, CD and DVD stores,” said Pollack.


Pollack Reality TV, WEB

Michael Pollack to Make National TV Debut in ‘Barry’d Treasure’

It’s no secret, Valley real estate entrepreneur Michael Pollack, of Pollack Investments loves collecting rare memorabilia.  From his sought after Frank Polk Slot Machine collection to owning the largest 3D Advertising Museum in the World to a beautiful collection of rare Baranger displays, Pollack owns some of the biggest and most sought after collections around the globe.

Over the years many have stepped in to help the Valley real estate mogul track down his next great find. So it was no surprise that Pollack is showcasing his rarities with the help of Barry Weiss and the new series “Barry’d Treasure,” to help find his next beloved antiques.

Watch “Barry’d Treasure” on A&E April 15th, at 10PM/9C as the Valley’s favorite collector teams up with Weiss on the episode entitled “The Unbearable Enlightenment of Barry” to find Pollack’s next great treasure.

“This was a lot of fun, not only to be working with Barry, but for him to help me find another great addition for my collection,” said Pollack.  “I have been collecting antiques since I was a little boy and anyone who knows me will tell you, finding these little gems and restoring them is a full-time job and I’m just glad Barry could help me.”

ASU Report, Commercial Real Estate, AZ Business Magazine July/August 2011

ASU Report Claims Commercial Real Estate On Upswing, Experts Still Cautious

Is Commercial Real Estate On the Upswing?

While many people have been watching the housing-market crisis in the Valley, fewer have paid attention to the situation in commercial real estate. Industrial and office space, retail and multi-family units are among the types of properties also affected by the recent real estate plunge. However, a recent report from the W. P. Carey School of Business at Arizona State University finds that although the housing market is still struggling, the commercial market may be starting to rebound.

“While the Phoenix-area residential housing market declined for more than three years, the commercial real estate market drop lasted less than a year and a half,” says Karl Guntermann, the Fred E. Taylor Professor of Real Estate at ASU, who authored the fourth quarter 2010 Repeat Sales Index Report (ASU-RSI) with research associate Adam Nowak.

However, Craig Henig, managing director for CB Richard Ellis, has a different take on the data.

“This report offers a clear picture of repeat sales for residential, commercial and segments of the multi-family market — on a macro-level,” he says. “However, the indices used to complete the study are trailing indicators and not necessarily what’s happening today.

“In addition, the report does not provide a breakdown or data about exact submarkets or residential and commercial property types, which would tell us which specific areas of the market or product types are still struggling or are in fact beginning to show signs of improvement,” he continues.

According to research by Cassidy Turley BRE, there have been some “glimpses” of recovery. However, the overall commercial real estate market is still relatively flat. Cassidy Turley BRE’s research adds that until significant job gains are made,
vacancies in the Greater Phoenix market cannot be absorbed because companies will not consider expanding, opening new locations or even starting new businesses.

The commercial real estate market first went negative in 2008, and by the end of 2009, commercial prices in Metro Phoenix had bottomed out at an unprecedented annual rate of decline of almost 40 percent. The new figures from ASU show that by the end of 2010, prices had already bounced back to almost a 13-percent annual rate of increase.

“Big investors are starting to buy up some of these commercial properties for 50 to 60 cents on the dollar,” Guntermann explains in his report. “Long term, the Phoenix market still has the fundamentals for growth, so they see real investment opportunities here.”

Guntermann’s report adds that developers aren’t building commercial properties right now, so no new supply is being added. This means that as the economy picks up and demand increases in the next few years, it will take a while for developers of new properties to catch up.

The ASU study is based on repeat sales and uses the same methodology as the S&P/Case-Shiller index, which was developed for 20 national housing markets. Repeat sales compare the prices of a single property against itself at different points in time, instead of comparing different properties with different quality factors.

Those in the industry put a lot of stock in the S&P/Case-Shiller index, but they say that it is a better gauge when discussing the single-family home market as opposed to commercial properties.

“This type of index only partially shows the overarching trends of the CRE industry,” says Daniel H. Pollack of Pollack Investments. “As a result of removing ‘sales with extremely high or low prices per square foot,’ the true market moving transactions are ignored. … Without these sales, the picture painted by the index is not a true representation of what is happening currently in this market.”

Pollack adds that the report does not explore factors such as large changes in supply, customer preferences and demographic shifts.

“Overall, the ASU-RSI is a good general barometer of what is happening in the market, but it fails to capture what is going on at the street level or to give any indication of how the Phoenix market compares to the rest of the country,” Pollack says. “These are both critical factors for any serious CRE professional to consider when analyzing a market.”

Arizona Business Magazine July/August 2011