CHICAGO — Wintrust Bank has provided a $21 million loan for the acquisition of a five-property industrial portfolio totaling 665,903 square feet in metro Chicago. The portfolio includes: 550-600 North Commons in Aurora; 710-854 Foster Ave. in Bensenville; 1400-1538 Elmhurst Road in Elk Grove Village; 3456 North Ridge Ave. in Arlington Heights; and 8220 North Austin Ave. in Morton Grove. Christopher Carroll and Jason Bond of HFF arranged the financing on behalf of the borrower, Clear Height Properties. The seller was not disclosed.
SILVER SPRING, MD. — Phillips Realty Capital has arranged $22.5 million in permanent financing for WesTech Corner, a 41,262-square-foot shopping center in Silver Spring, about six miles north of Washington, D.C. Mark Remington of Phillips Realty Capital arranged the loan through United Bank on behalf of the borrower, Rappaport, which acquired the property in 2014. WesTech Corner was fully leased at the time of financing to tenants such as Five Guys, Chick-fil-A, Qdoba Mexican Grill, Fridays, Panera Bread, IHOP and Capital One Bank.
BRIDGEWATER, N.J. — JLL Capital Markets has arranged the $32.5 million refinancing for Somerset Corporate Center IV, a 310,000-square-foot office building in Bridgewater. JLL secured the financing through Sterling National Bank on behalf of the owners, SJP Properties and PGIM Real Estate. Located at 400 Somerset Corporate Blvd., Somerset Corporate Center IV is part of the master-planned Somerset Corporate Center. The complex was constructed in 2001 and is made up of five office buildings totaling approximately 1.3 million square feet.
MYSTIC, CONN. — Fantini & Gorga has secured a $4.6 million first mortgage loan for the acquisition of the Days Inn & Suites in Mystic. A major New England-based financial institution provided the financing to the undisclosed borrower, a long-time client of Fantini & Gorga, as part of a 1031 exchange. The property consists of a 120-room, two-story motel with 51,732 square feet of space on a nearly five-acre lot.
MIAMI — Melo Group has received an $85 million loan for the construction of Art Plaza Apartments, a 667-unit apartment community located at 58 N.E. 14th St. in downtown Miami. Construction is underway on the transit-oriented development, which is located one block from the Miami-Dade Metromover School Board Station. The community will include two 34-story towers with a mix of one- and two-bedroom apartments units, as well as 11,764 square feet of ground level retail and restaurant space. Community amenities will include a resort-style pool, Jacuzzi, fitness center, valet service, covered garage parking and a social room for residents. Florentino Gonzales of Shutts & Bowen represented Melo Group in the loan transaction, and Elena Otero of Holland & Knight LLP represented Ocean Bank. Melo Group expects to wrap up construction on Art Plaza Apartments in mid-2019.
WEST PALM BEACH, FLA. — Aztec Group has arranged a $42 million construction loan for a 208-room Marriott Autograph Collection Hotel located in downtown West Palm Beach. Boaz Ashbel of Aztec Group originated the financing through Florida Community Bank N.A. on behalf of the hotel owner and operator, Concord Hospitality Enterprises Co. The hotel will be located at 201 N. Flagler Drive, within a 435,000-square-foot mixed-use project under development by Navarro Lowery Properties. In addition to the new hotel, the site will feature 250 residential units, more than 30,000 square feet of retail and restaurant space, outdoor recreational space and a multi-level parking structure. The hotel is scheduled to open in fall 2019 and will feature a full-service restaurant, fitness center, 4,000 square feet of meeting space and a rooftop swimming pool and lounge.
PHENIX CITY AND MOBILE, ALA. — Capital One Multifamily Finance has provided a combined $37 million in agency loans for the acquisition of two multifamily communities in Alabama. In Phenix City, Capital One provided a $26.5 million Fannie Mae loan on behalf of EBSCO Income Properties for the acquisition of The Grand Reserve at Phenix City. The 12-year, fixed-rate loan features eight years of interest-only payments and a 30-year amortization schedule. Developed in 2010, The Grand Reserve at Phenix City features a pool, clubhouse and a fitness center. A 22-acre, grocery-anchored shopping center is scheduled to open adjacent to the property in 2019. In Mobile, Capital One provided a $10.5 million Freddie Mac loan for the acquisition of Southern Oaks Apartments. The 10-year, fixed-rate loan features five years of interest-only payments and a 30-year amortization schedule. StoneRiver Co. acquired the 224-unit asset from the PEM Real Estate Group. Built in 1975, Southern Oaks Apartments feature a clubhouse, fitness center, barbecue station and a swimming pool. StoneRiver plans to update the community with new appliances, flooring, countertops and painting. Chad Thomas Hagwood of Capital One originated both transactions.
GARDENA, CALIF. — iBorrow has provided a $17 million loan for two properties in Gardena. The name of the borrower was not released. The assets are a two-story, 125,849-square-foot flex/R&D building and an adjacent two-story, 20,916-square-foot office building. Will McCabe of iBorrow originated the loan.
CHARLOTTE, N.C. — Capital One Multifamily Finance’s Chad Thomas Hagwood kicked off with a fastball. When prompted with the often used “what inning are we in?” question, Hagwood’s response was indicative of how competitive commercial real estate lending is today. “I don’t know what inning we are in of the cycle, but I know I want to play ball,” says Hagwood, senior vice president of Capital One Multifamily Finance. “People are after it, and we intend to fight it out tooth and nail.” Hagwood’s commentary came during the closing capital markets panel of the ninth annual InterFace Carolinas, a half-day event that drew 212 attendees from North and South Carolina’s commercial real estate community. Bryson Thomason, senior director of Greenville, S.C.-based PMC Real Estate Capital, moderated the panel. The most intense competition for financing is in the multifamily space because of the proliferation of Fannie Mae and Freddie Mac and their designated lenders. The two government-sponsored enterprises (GSEs) have been competing against each other as well as other lenders. Hagwood describes the competition between the two agencies as a “bloodbath.” “It’s all out brutal warfare competition the two,” says Hagwood. “I do expect Fannie and Freddie to be very competitive …
LEXINGTON, MASS. — HJ Sims has closed $52.1 million in financing for new construction and a health center repositioning at Brookhaven at Lexington in Lexington, Massachusetts. The 32-acre life plan community was opened in 1989 and was expanded and renovated in 2006. A recent master planning process identified a need for significant renovations and reconfigurations, as well as additional independent living apartments. Total financing included a $36 million short-term, taxable construction loan with a floating interest rate and a 12-year, $16.1 million taxable term loan maturing in 2030 with a fixed interest rate of 3.89 percent.