Rhino Investments Group Secures $72.3M Financing for Randhurst Village Acquisition, with 3650 Capital and Aquarian Real Estate Partners

Rhino Investments Group has closed on $72.3 million in financing for the acquisition of Randhurst Village, a 929,899-square-foot open-air, dual grocery-anchored power center at 1 Randhurst Village Drive in Mount Prospect, Illinois, approximately 20 miles northwest of downtown Chicago. The transaction was announced September 25, 2026.

The financing comprises a $45.6 million senior loan arranged by Aquarian Real Estate Partners and a $26.7 million mezzanine loan provided by 3650 Capital. Rhino acquired the property from an affiliate of DLC Management Corp. Alpha Capital CRE served as capital advisor on the whole loan financing.

Deal Structure and Value-Add Strategy

The $72.3 million financing represents approximately 76% of the reported $95 million purchase price, or roughly $102 per square foot based on the property's 929,899-square-foot footprint. Beyond funding the acquisition, the capital stack includes a future-funding component designed to allow Rhino Investments Group to execute its value-add business plan from closing. That plan centers on leasing vacant spaces within the property and pursuing outparcel sales.

Anthony Longo, Managing Partner and founding member of Alpha Capital CRE, served as capital advisor on the transaction. Conor Lalor, President and Head of Retail Capital Markets, Keely Polczynski, Senior Managing Director, and Brian Schneiderman, Associate Director, of Newmark represented the seller.

"Randhurst Village is a dominant retail asset with a strong national tenant base, exceptional traffic and compelling value-add upside in one of Chicago's most affluent suburban corridors," said Jonathan Roth, Co-Founder and Managing Partner of 3650 Capital. "The transaction reflects 3650's continued ability to structure creative, fully capitalized financing solutions for sophisticated sponsors pursuing innovative business plans. Our tremendous confidence in the Rhino team's ability to execute its business plan is reflected in our existing relationship, and we are delighted to work with AREP on the financing."

Kevin Holmes, Partner and Head of Aquarian Real Estate Partners, said the firm was pleased to partner with 3650 Capital on the transaction. "As an ideally located property in a strong Chicago submarket, Randhurst Village is exactly the type of high-quality asset we seek to finance, with a strong tenant roster, durable cash flows and attractive long-term growth potential," Holmes said.

Property Profile: Randhurst Village

Randhurst Village was redeveloped in 2011 from a former enclosed mall into its current open-air format. The property sits on approximately 94 acres at the intersection of Rand Road/U.S. Route 12 and Elmhurst Road/Illinois Route 83, serving a trade area that includes Arlington Heights, Glenview, Northbrook, Prospect Heights and Wheeling.

The center is anchored by Costco, Home Depot and Jewel-Osco, with additional national tenants including T.J. Maxx, HomeGoods, Macy's, AMC, PetSmart, Michaels, DSW, Skechers, Old Navy, Planet Fitness and Nike Outlet. The property draws more than 9.3 million annual visits and ranks in the top 10th percentile statewide and top 16th percentile nationally among power centers, according to Placer.ai data cited in the financing announcement.

The center was approximately 92% leased at the time of sale, with more than 351,000 square feet of leases and renewals executed in the preceding year. The tenant roster carries a weighted-average remaining lease term of approximately 7.4 years, with roughly 82% of income derived from national retailers and 75% from investment-grade tenants.

Keely Polczynski of Newmark noted that DLC had executed an ambitious leasing strategy at the property prior to the sale. "Through an ambitious leasing strategy and thoughtful merchandising, the team strengthened an already dominant retail destination and positioned the property for long-term success," Polczynski said. "The result was an institutional-quality offering with excellent anchors, durable cash flow and compelling future upside that generated strong interest from the investment community. Rhino's conviction in the asset never wavered, and despite market volatility, the transaction closed at the original contract price."

Sponsor's Perspective

Sanjiv Chopra, CEO of Rhino, characterized the acquisition as a significant opportunity. "Randhurst Village is a generational retail asset that we believe is significantly undervalued relative to its market position, traffic profile and income potential," Chopra said. "3650 and AREP's efficiently structured financing solution enables us to move quickly to position the asset for long-term value creation. We are grateful for their support and look forward to executing on this significant opportunity."

3650 Capital noted a prior lending relationship with Rhino through previous investments, a factor the firm cited as underpinning its confidence in the sponsor's execution capabilities.

Market Context

The transaction's implied purchase price of approximately $102 per square foot compares to a reported average transaction price of $187 per square foot across the Chicago retail market in the second quarter of 2026, with an average market capitalization rate of 8.3% during that period. The spread between Randhurst's per-square-foot basis and the broader market average reflects both the property's remaining vacancy and the value-add opportunity that Rhino is seeking to capture through lease-up and outparcel monetization.

The financing structure — combining senior debt from Aquarian Real Estate Partners with mezzanine capital from 3650 Capital and a built-in future-funding mechanism — is designed to support that execution without requiring a near-term refinancing to access additional capital. 3650 Capital is co-founded and managed by Toby Cobb, Justin Kennedy and Jonathan Roth, and is headquartered in Miami with offices in New York, Los Angeles, Dallas, Atlanta, Nashville and Washington, D.C. Aquarian Real Estate Partners is the real estate investment arm of Aquarian Investments, which manages approximately $27.9 billion of book value assets under management as of June 30, 2026.

Sources

Aquarian Real Estate Partners – 3650 Capital, Aquarian Real Estate Partners Arrange $72.3M in Financing for Acquisition of Chicago-Area Power Center (September 25, 2026)