Dealmaker: KeyBank Real Estate Capital Provides $400M

KeyBank Real Estate Capital, Cleveland, provided $398.6 million for office and multifamily property portfolios in several states.

Senior Vice Presidents Alex Buecking and Josh Berde and Commercial Real Estate Lending Relationship Manager Devin Jolley arranged a $237.1 million first mortgage bridge loan that allowed Bridge Investment Group Partners to acquire a twelve-property office portfolio.

The subject properties, all Class A and B office properties, include nine multi-tenant and three single-tenant buildings totaling more than 2.2 million square feet of rentable space. The assets in Arizona, Illinois, Georgia, Florida, Maryland, Massachusetts, Michigan and Tennessee are currently 71 percent leased.

KeyBank Real Estate Capital also provided $161.5 million to refinance a thirteen-asset age-restricted multifamily portfolio. Senior Vice Presidents Dirk Falardeau and David Pyc originated the loan for sponsor Calamar Enterprises Inc., Omaha, Neb.

Most of the financing–$113.25 million–was provided through the Fannie Mae Delegated Underwriting and Servicing program, structured as two cross-collateralized pools with seven- and twelve-year terms. KeyBank provided the remaining $48.25 million from its balance sheet.

The subject properties in New York, New Hampshire, Missouri and Nebraska total nearly 1,500 units.

Falardeau said six properties remain in the lease-up process; three were financed through Fannie Mae’s Near-Stabilization program and three were placed on Keybank’s balance sheet until the properties meet the agency’s refinance parameters. He noted four New York properties contained Payment in Lieu of Tax agreements, so Keybank worked with county officials to update the PILOT agreement language to adhere to both Fannie Mae DUS and KeyBank requirements.