Dealmaker: HFF Arranges $215M for Office Assets

Holliday Fenoglio Fowler, Houston, arranged $215 million for office properties in Florida, California and Maryland.

In West Palm Beach, Fla., HFF secured $115 million in financing for Esperanté Corporate Center, a 256,000-square-foot office tower.

Borrower RedSky Capital and JZ Capital Partners received a fixed-rate senior loan through Apollo Global Management and a fixed-rate mezzanine loan through a life insurance company.

Esperanté Corporate Center is one of three Class AA office towers in West Palm Beach following a renovation completed in the first quarter. Tenants at the 20-story property include Bank of America, Holland & Knight and Chatham Lodging Trust.

Located at 222 Lakeview Avenue in downtown West Palm Beach, the office tower sits on the Intracoastal Waterway four miles from Palm Beach International Airport and less than one mile from Brightline Transit’s West Palm Beach station that connecting south Florida’s three major commerce hubs via rail.

The debt placement team representing the borrower included HFF Senior Managing Directors Chris Drew and Hermen Rodriguez and Director Maxx Carney. “Hedge funds and private equity firms continue to flock to Palm Beach,” Drew said.

HFF also secured $63.5 million in bridge financing for Creekside@17, a recently completed Class A office building near Silicon Valley in Campbell, Calif.

Senior Director Chris Gandy led the HFF team that represented the borrower, a venture between The Carlyle Group, Washington, D.C., and South Bay Development Co., Los Gatos, Calif. Oaktree Capital Management LP, Los Angeles, supplied a five-year floating-rate loan.

Completed earlier this year, Creekside@17 totals 177,815 square feet. The five-story building offers 36,000-square-foot average floorplates adjacent to Santa Clara Valley Transportation Authority’s Hamilton light rail station.

In Rockville, Md., an HFF team closed a $36.5 million refinancing for Park Plaza I and II, two Class A office buildings totaling 264,000 square feet. Senior Director Daniel McIntyre and Director Jay Graham represented borrower Marcus Partners, Boston, and arranged a floating-rate loan through EagleBank, Bethesda, Md.

Loan proceeds took out the original acquisition loan and provided funds for the borrower to continue implementing its business plan.