Western Reserve Partners LLC reported today that it advised Giltz & Associates Inc. in a transaction in which Giltz exchanged 28 properties for cash and Operating Partnership Units with Cedar Shopping Centers, Inc. (NYSE:CDR). Giltz & Associates, an Ohio Subchapter S corporation with offices in North Canton, Ohio, develops, acquires, leases and manages retail and residential real estate throughout the Eastern United States.

The transaction is valued at approximately $130 million. In addition to the property exchange, Cedar has agreed to purchase future Giltz developments over the next two years based on a Future Property Purchase Agreement. Giltz will continue to manage the exchanged properties for Cedar.

“Giltz’s management team was seeking a strategy that would provide a sufficient ongoing revenue stream but not involve an immediate tax liability,” said Victor Faris, Managing Director, who led the Western Reserve team that arranged the deal. “We are pleased that our close collaboration has resulted in such a successful outcome.”

Harry Giltz, President of Giltz & Associates, said, “Vic and his team were very creative in their approach, identifying and utilizing all the appropriate deal elements to address our needs. We appreciate their hard work on our behalf.”

By accepting Operating Partnership Units, Giltz was able to defer tax liabilities and capital gains associated with selling 28 properties. The transaction also provided Giltz with liquidity, tenant and geographic diversification, price appreciation and an income stream from management fees and quarterly REIT dividends. Western Reserve also helped close a loan collateralized by the Operating Partnership Units, providing a line of credit for future development.

Western Reserve Partners LLC is a Cleveland, Ohio-based boutique investment banking firm that provides customized investment banking solutions for middle-market companies. The firm’s founding partners collectively have more than 100 years of experience and have directly executed more than 400 transactions and managed more than 1,200 transactions. For more information, visit www.wesrespartners.com. For additional information, please call Victor F. Faris at (216) 589-9531 or e-mail him at vfaris@wesrespartners.com

The testimonials presented are applicable to the individuals depicted and may not be representative of the experience of others. The testimonials are not paid and are not indicative of future performance or success.