New York-based Irgang Group has shelled out $85 million for Gilbert Gateway Towne Center, a major East Valley shopping hub at the Power Road and Loop 202 interchange. The deal includes roughly 274,000 square feet spread across 13 buildings on about 35.5 acres and closed in a brisk 45-day window, with the buyer lining up acquisition financing right out of the gate.
Deal and Financing
According to ConnectCRE, Meridian Capital Group arranged roughly $60 million in acquisition financing for Irgang Group, with Citi providing the debt. ConnectCRE reports the loan was structured at more than 70% loan-to-cost and carries full-term interest-only payments, with Simon Rosenfeld and Ariel Taieb arranging the financing on behalf of the borrower.
Loan Paperwork and Appraisal
A collateral term sheet filed as part of a CMBS offering shows the debt as a $60,000,000 acquisition loan with an initial 10-year, interest-only structure and a fixed coupon near 6.7% (note date Jan. 30, 2026). The same filing lists an as-is appraisal of $85.35 million as of Dec. 9, 2025, and an underwritten loan-to-value of about 70.3%, which works out to roughly $310 per square foot. StreetInsider also details underwriting reserves and lockbox controls tied to the loan.
Tenants and Recent History
The center’s lineup features Ross Dress for Less, Michaels, Mega Furniture, Chick-fil-A, Tillys and other national chains, and was reported to be essentially fully leased at the time of sale. ConnectCRE previously reported that Mega Furniture acquired the property for roughly $50.2 million in 2021 and refinanced in 2023, making the current price a notable jump for the seller. That quick run-up in value helps explain how this deal moved so fast.
Why Investors Paid Up
At roughly $310 per square foot, the sale shows investors are still willing to pay a premium for well occupied, grocery- and value-anchored centers in the East Valley, where household incomes and traffic counts support big-box and casual-dining tenants. The CMBS package identifies Mark Irgang and Jason Sakow as the buyer sponsors and lists Skyline Seven Real Estate as property manager, signaling that Irgang Group is betting on active asset management to protect and grow cash flow. Those underwriting details point to an asset-management play rather than a near-term redevelopment.
For the East Valley, the transaction is another sign that stabilized retail nodes remain firmly on investors’ radar even as capital costs rise. The next chapter will hinge on how hard Irgang Group pushes on tenant renewals and leasing to drive rents higher from here.
