Dealmaker: CBRE Arranges $25M in Alabama, Florida
CBRE arranged $25 million for office and office/warehouse assets in Hoover, Ala. and Miami.
CBRE Capital Markets’ Debt & Structured Finance team arranged $20 million for Riverchase Center, a 306,000-square-foot Hoover office complex.
Vice Chairman Charles Foschini and Senior Vice President Christopher Apone of CBRE’s Miami office arranged the loan on behalf of Adler-Kawa and PointOne Holdings. A national money center bank provided the financing at a floating rate with a seven-year term and 65 percent loan-to-value ratio.
“Despite the recent market volatility, we were able to maintain a competitive lending environment due to the high quality of the asset and sponsors,” Foschini said. “Both of the borrowers are experienced fund-based owner-operators based out of Miami.”
Built between 1985 and 1988, Riverchase Center encompasses eight single-story buildings in north-central Alabama. The submarket has one of the tightest office markets in the Southeast with a 9 percent 10-year historical average vacancy rate. Tenants including Progressive Insurance, Walgreens drugstore and Frito-Lay occupy 88 percent the portfolio.
Foschini and Apone also arranged $5 million in interim financing for The Wynwood HQ Building, a 28,200-square-foot two-story warehouse/office building in Miami’s Wynwood Arts District, formerly called the Garment and Fashion District.
City National Bank, Los Angeles, provided the loan to Metro 1 Properties, Miami. The financing will allow Metro 1 to convert the property into a Class A showroom/retail property with a second-story creative office component.
“Against a competitive field of options, we looked for a lending source that understood the Wynwood District and that would enable the most value creation at the lowest cost of capital,” Foschini said.
Apone said the Wynwood neighborhood is undergoing “unprecedented” growth and value appreciation, “as evidenced by recent acquisitions by highly sophisticated investors and institutions.” Built in 1965, the Wynwood HQ Building sits directly adjacent to the Rubell Family Collection Building.
