01 / Understand
The financing decision
What happens to supportable income when the anchor renews, leaves or triggers other lease rights?
Create an anchor-event map before relying on the center’s blended occupancy or rent growth. Record what happens if the grocer renews, stops operating while paying rent, leaves entirely or is replaced. The useful financing file connects each event to actual small-shop lease language, replacement work and the time when those consequences affect cash.
Trace contingent lease rights
Regency Centers’ 2025 annual report describes co-tenancy provisions that may change other tenants’ obligations when a significant tenant vacates. This is an issuer disclosure, not a rule for every shopping center. Read the actual trigger, notice, cure and replacement language in each relevant lease.
Sources: Regency Centers — 2025 Annual Report
Distinguish rent payment from store operation
Regency Centers’ 2025 report also describes anchors going dark while continuing to pay rent. For the subject property, separate anchor cash rent, operating status and other tenants’ contractual rights rather than using one occupied/vacant flag.
Sources: Regency Centers — 2025 Annual Report
Identify rights outside the owned parcel
Prepare a diagram of owned anchor space, separately owned pads, shared parking and access arrangements. Obtain the governing agreements. A proposed replacement or subdivision should remain a separate scenario until the relevant consents and physical costs are supported.
A hypothetical decision
Hypothetical: the anchor keeps paying but closes
A grocer closes its store while continuing lease payments during a remaining term.
Model the actual anchor cash receipts, then separately apply only verified co-tenancy consequences and supported leasing effects. Identify who can regain possession and when replacement work could start.
The takeaway: A rent-paying dark store and an operating anchor are different cases; the documents determine how that difference reaches borrower cash.
Dedicated to grocery-anchored shopping centers
Download your niche underwriting package.
Use this dedicated Excel workbook with its lender guide and document checklist. Read the workbook instructions, replace illustrative assumptions with your evidence, and keep the guide beside your analysis.
Model scope and limitations
Anchor operation and anchor rent are separate inputs. A dark anchor can remain rent-paying. A zero operating fraction does not automatically eliminate its rent.
Co-tenancy relief is a user-entered scenario: affected share times reduction times dark fraction of the month. The model does not interpret triggers, cure periods, alternate-rent provisions, termination rights or enforceability.
- All numerical values are illustrative; no market facts or lender approval are asserted.
- The twelve-month operating model omits taxes on investor returns and future refinancing costs except expressly entered items.
- Legal, licensing, environmental, engineering and lender-specific recognition require actual diligence.
Excel .xlsx · PDF .pdf · No email required. Preparation materials do not constitute a loan offer or a lender’s document requirements.
Package reviewed by Jason Taken ·
Next: gather your lender documents ↓Related core asset model
Compare the existing core workbook.
The scope below describes the related core asset workbook. The dedicated niche package above has its own instructions and limitations.
The existing Retail underwriting model provides a property-cash-flow starting point.
Model scope and additional analysis
Its aggregate assumptions do not interpret co-tenancy clauses, enforce operating covenants or model every anchor event.
Prepare an additional schedule: Add a lease-trigger matrix and month-by-month anchor transition schedule before selecting workbook inputs.
Test property-level loan sizing · Check post-closing liquidity
Questions to prepare for a lender
Use these questions to organize a financing discussion. A lender sets its own credit requirements and determines which evidence applies to your transaction.
What changes on the anchor’s next decision date?
Provide a critical-date schedule covering renewal notices, lease expiry, purchase options, termination rights and the loan’s maturity.
Which other leases react to an anchor event?
Create a clause-by-clause matrix with the affected rent, contractual trigger, cure period and unresolved legal interpretation.
What does replacement require before new rent begins?
Collect replacement-tenant evidence, demising and building-work bids, leasing assumptions and cash needed during the transition.
03 / Prepare
Build your document checklist.
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Print uses your browser’s PDF option. Checklist selections are for your preparation, not a lender’s completeness determination.
Continue the learning path.
Grocery-anchored center rollover and lender concentration
Separate anchor rent, reimbursement dependence and shop collections when testing a grocery-anchored center through lease rollover.
Retail co-tenancy clauses and debt-coverage stress
Model each co-tenancy trigger, remedy and cure date separately, including cases where a dark anchor still pays rent but other tenants receive relief.
Case: Grocery-anchored acquisition with an anchor renewal deadline
Compare financing paths before the renewal outcome is known. Includes hypothetical anchor-loss coverage and loan-choice scenarios.
Sources and applicability
The references support the specific points identified above. Preparation questions, checklists and hypothetical decisions are the publication’s analysis, not instructions issued by the source or a lender.
- Regency Centers — 2025 Annual ReportRisk Factors, anchor tenants and co-tenancy, PDF page 25 · Checked 2026-10-21
Issuer-specific contractual-risk disclosure; not evidence about the reader’s leases.
AI-assisted research and preparation. Published by Jaken Finance Group. Reviewed by Jason Taken on 2026-10-21. Report a correction.