Dealmaker: Walker & Dunlop Arranges $100M

Walker & Dunlop, Bethesda, Md., arranged $100 million for office and senior housing properties in Wisconsin and Florida.

The firm completed a $32 million financing for Spectrum Brands’ Middleton, Wis. headquarters. The four-story building near Madison includes 222,000 square feet.

Walker & Dunlop Vice President Mike Lee said the borrower sought an 80 percent loan-to-value loan to refinance a construction loan. Walker & Dunlop structured the five-year loan with a 79 percent LTV and a 1.44x debt service coverage ratio.

“The recently completed headquarter facility for Spectrum Brands provided a functional, efficient and environmentally friendly workspace which replaced their former older, obsolete space,” Lee said. “The borrower utilized the attractive debt terms available in the market to enhance the value of this investment.” He noted that last year Madison’s office market vacancy reached its lowest level since 2009. The metro includes nearly 30 million square feet of office space.

Spectrum Brands’ consumer products include Rayovac batteries, Kwikset locks and Black & Decker tools.  

Walker & Dunlop also arranged a $68.2 million construction loan for Atria at Villages of Windsor, a Class A senior rental community in Palm Beach County, Fla.  

Big Rock Partners, Delray Beach, Fla., plans to open 218 units on 22.5 acres in 2017. Atria at Villages of Windsor will include independent living, assisted living apartments 54 memory care units.  

Walker & Dunlop’s servicing portfolio just surpassed $50 billion, making it the seventh-largest commercial mortgage servicer in Mortgage Bankers Association rankings. The firm services more than 4,800 loans with an average servicing fee of 25 basis points.