DENVER, BOULDER AND COLORADO SPRINGS, COLO. — HFF has secured $124.3 million in financing for the acquisition of a 41-property industrial portfolio across Denver, Boulder and Colorado Springs. Kevin MacKenzie, Jeff Sause, Leon McBroom and Spencer Richley arranged the 10-year, fixed-rate acquisition loan through Nuveen Real Estate for the borrower, Berkeley Partners. Spread across 19 properties, the portfolio features a total of 1.95 million square feet of industrial space. Situated on a total of 126.3 acres, the portfolio comprises 14 industrial facilities in Denver, three in Colorado Springs and two in Boulder. The properties were built between 1973 and 1996 and are 93 percent leased to 178 tenants.
DENVER — SteelWave LLC and Rialto Capital Management have received $54.6 million in bridge financing for the acquisition and repositioning of a vacant office/data center property in downtown Denver. Leon McBroom and Eric Tupler of HFF arranged the four-year, floating-rate loan through Square Mile Capital Management for the borrowers. Loan proceeds will be used to acquire and reposition the asset into a state-of-the-art office building. Located at 930 15th St., the 12-story building features 223,000 square feet of vacant office/data center space. The buyers plan to renovate the property with floor-to-ceiling glass curtain wall on two facades and the installation of executive parking stalls, a collaborative lounge area, café and wine bar, rooftop fitness center, bike lab, rooftop event area and lounge, and conference center. Renovated office suites will features 1,345-foot slab-to-slab ceilings, fiber connectivity and modernized mechanical systems.
MESA, ARIZ., AND SPRINGFIELD, ORE. — Walker & Dunlop has funded $39.3 million in financing for two seniors housing properties in Arizona and Oregon. Kevin Giusti, Michael Davis and Jeff Ringwald of Walker & Dunlop led the origination team for the transactions. The Walker & Dunlop team structured a $25.8 million Fannie Mae loan backed by The Summit at Sunland Springs, located at 2415 S. Signal Butte Road in Mesa. Owned Ahlstrom Investments and managed by Avista Senior Living, the facility offers assisted living and memory care units. Prior to the property’s full stabilization, Walker & Dunlop secured a 10-year, fixed-rate loan while recapitalizing the property owner’s equity. The team also arranged a $13.5 million refinance through Freddie Mac for The Rawlin at Riverbend Memory Care. The Freddie Mac loan enabled the sponsor, Onelife Investments, to recapitalize 100 percent of its equity while providing a 15-year, fixed-rate loan. The dedicated memory care facility is located at 3491 Game Farm Road in Springfield.
NEW YORK CITY — AIG has provided a $280 million loan to refinance Empire Stores, a newly redeveloped retail and office building in the DUMBO neighborhood of Brooklyn. The six-story property, which is located at 55 Water St., is comprised of 377,929 square feet of office space and 65,082 square feet of ground-floor retail. Aaron Appel, David Sitt, Jonathan Schwartz, Adam Schwartz, Keith Kurland, Jackson Sastri and Eliott Zeitoune of JLL Capital Markets secured the 15-year loan on behalf of the borrowers, Midtown Equities and HK Organization. Terms of the financing were undisclosed.
FAIRFIELD, N.J. — HFF has secured two loans totaling $27 million to refinance Greenbrook Executive Center, a 203,028-square-foot, office building in Fairfield. Located at 100 Passaic Ave., the three-story building is near the Willowbrook Mall as well as Interstate 80 and Route 46. Jim Cadranell and Matthew Pizzolato of HFF secured the two loans on behalf of the borrower, Accordia Realty Ventures. Silverpeak Argentic provided a $22.4 million, 10-year securitized loan and Morrison Street Capital provided a $4.5 million, 10-year mezzanine loan. The financing allowed Accordia to buy out its institutional equity partner, Guggenheim Real Estate. Accordia and Guggenheim who they have owned the asset with since 2006.
AMESBURY, MASS. — Cornerstone Realty Capital has arranged a $5.7 million acquisition loan for Briggs Mill, a 44-unit apartment complex in Amesbury. Located at 20 Cedar St., the former mill building was converted into apartments in 2014. All units feature stainless-steel appliances, ample closet space and hardwood floors in the kitchen and living room. Building amenities include a community room with a kitchenette and entertainment area, storage units and a fitness center. Cornerstone worked on behalf of the undisclosed borrower to deliver a fixed-rate financing structure with two years of interest-only payments followed by a 30-year amortization through an agency lender.
ORLANDO, FLA. — HFF has arranged $28.9 million in equity financing for the development of Radius Apartments in Orlando. The 13-story, 389-unit community will be situated two blocks north of Lake Eola and less than a mile north of downtown Orlando. HFF worked on behalf of an affiliate of Banner Real Estate Group to arrange $14.9 million in joint venture equity from Westminster Capital LLC and $14 million in preferred equity through a blue-chip life company. The building is slated for completion in 2020 and will feature 12 stories of residential space situated above street-facing retail space on the first floor, an adjacent six-story parking garage and a public courtyard. The roof of the parking garage will be utilized as an amenity deck that will include a pool, cabanas, outdoor kitchen, dining and grilling area, bar and sun shelf.
TROY, MICH. — Juniper Capital Group has arranged a $10.5 million bridge loan for the acquisition of Cross Creek, a 141,468-square-foot shopping center in Troy. Bob’s Discount Furniture recently signed a lease for the former Babies ‘R’ Us space. Kohl’s also occupies the property. Nate Lowy of Juniper Capital arranged the nonrecourse loan on behalf of the borrower, Weissman Corp. C3 Capital Partners provided the loan.
LOS ANGELES — Calmwater Capital has provided a $63 million loan to Relevant Group for the completion of Thompson Hotel in Los Angeles’ Hollywood neighborhood. The hotel is currently under construction, and Relevant Group expects to deliver the luxury boutique hotel in early 2020. Located at 1541 Wilcox Ave., the proposed 188,393-square-foot hotel will feature 190 rooms, a rooftop swimming pool, a rooftop restaurant and bar, and a fitness center, as well as a ground-floor restaurant concept in partnership with Rodrigo Oliveira, one of Brazil’s most celebrated chefs. Two Roads Hospitality will manage the hotel.
Every year brings a few question marks in terms of what’s ahead. Some years have more unknowns than others; many agree 2019 is one of those years. From politics to the stock market to trade tensions, this year has its share of variables on top of traditional uncertainties, such as natural disasters. Add lots of capital chasing fewer deals, an affordability imbalance, and a disconnect between buyers and sellers, and those question marks continue to multiply. Lenders have generally remained disciplined and diligent in the current market, estimating their level of risk and confidence as best they can. While they don’t have a crystal ball any more than the rest of us do, many finance professionals believe flexibility may be the key to thriving in 2019. “Most lenders, particularly Fannie Mae and Freddie Mac, have adapted to a more fluid financial climate,” states Marcus & Millichap’s 2019 Multifamily North American Investment Forecast. “Lenders remain cautious, adopting tighter underwriting standards but aggressively competing to place capital into apartment assets.” As with many temporary blips on the horizon, the report recommends seeing the forest as a whole, rather than getting distracted by a few worrisome-looking trees. “Strong demand drivers supporting long-term yield …