Dealmaker: Walker & Dunlop Secures $136M for Office, Industrial, Multifamily Assets

Walker & Dunlop, Bethesda, Md., secured $135.9 million for office, industrial and multifamily assets in Arizona and Texas.

In Arizona the firm structured three loans totaling $85.9 million for two Class A office buildings and two industrial warehouses in Phoenix, Tempe and Scottsdale totaling 709,000 rentable square feet.

Walker & Dunlop Senior Vice Presidents Jim Pierson and Keaton Merrell arranged the debt for Globe Corp., Scottsdale, Ariz. The loan for one property, 101 Corporate Center, provided acquisition financing; the remaining two were refinances. Debt for the two industrial warehouses, 8990 South Kyrene Road and Riverside Commerce Park, was consolidated into a single loan structure.

Separate life insurance companies provided each of the three long-term, fixed-rate loans.

Pierson called Phoenix and Tempe “ideal markets” for both industrial and office properties due to their above-average job growth and strong absorption.

Walker & Dunlop also structured a $50 million loan for Matthews Crossing, a Jacksonville, Fla. Class B multifamily property. Managing Director Alex Inman led the team representing sponsor S2 Capital LLC, Addison, Texas.

Inman noted the value-add property represented the sponsor’s first acquisition in this market.

“A steady stream of jobs has moved into the Jacksonville area with the recent addition of Amazon’s second fulfillment center expected to bring 2,500 jobs to the city by the end of 2019,” Inman said. “The announcement of a 300,000 square-foot expansion for the Mayo Clinic in the city also bodes well for the local economy.”

The 1,103-unit Matthews Crossing community is close to both University of North Florida and Jacksonville University.