Walker & Dunlop Structures $92 Million in Acquisition Financing for Two High-Rise Office Buildings

Rhea-AI Summary

Walker & Dunlop has secured $91,767,640 in financing for the acquisition of two prime office buildings: Bank of America Tower in Jacksonville, Florida and 65 East State Street in Columbus, Ohio. These properties, notable for their architectural prominence, have undergone significant upgrades to enhance their appeal. The financing package includes interest-only bridge loans provided by Prime Finance and Voya, reflecting robust demand despite a challenging market. The firm aims to leverage its extensive capital network, having completed $11.0 billion in loan originations in 2020.

Positive

• Secured $91.7 million financing for two high-profile office properties.
• Properties have seen millions in capital improvements, enhancing value.
• Demonstrated strong demand for financing amidst a challenging market.

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• None.

BETHESDA, Md., Feb. 11, 2021 /PRNewswire/ -- Walker & Dunlop, Inc. announced today that it structured $91,767,640 in financing for the acquisition of Bank of America Tower, located in Jacksonville, Florida and 65 East State Street, in Columbus, Ohio. Both properties are marquis office buildings that define their respective city's skylines.

Walker & Dunlop's Adam Schwartz, Aaron Appel, Keith Kurland, and Jonathan Schwartz, as well as Michael Ianno, Sean Bastian, and Ian Hawk arranged the financing package for longtime client, Group RMC. The team leveraged their extensive network of capital providers, identifying Prime Finance as the ideal lender for Bank of America Tower, and Voya as the ideal lender for 65 East State street. The pair of three-year, interest-only bridge loans were arranged with attractive floating rates.

Both properties have undergone several millions of dollars in capital improvements, positioning them as the premier office towers in their respective markets. Walker & Dunlop's Adam Schwartz commented, "We witnessed an incredible amount of demand for this financing given the best-in-class sponsor and the attractive asset type, despite a challenging capital markets landscape during the COVID-19 pandemic. Together, the W&D team drove a competitive process among a number of qualified capital providers for these marquis office assets."

Bank of America Tower is the only LEED-certified office tower in Jacksonville and features unparalleled views of the St. Johns River. The 44-story, Class A high-rise building features over 662,241 rentable square feet, a 5-story annex with an additional 35,881 square feet, as well as 900 parking spaces. In addition to a new HVAC system, recent upgrades have been made to the property's amenities, lighting systems, security systems, elevator modernization, and refurbishment of all the common areas and lobby.

65 East State Street is a 26-story high rise office tower with approximately 494,487 rentable square feet. Located in the heart of Columbus, Ohio's Central Business District, the institutional quality asset is directly across the street from the Ohio State Capitol Building on Capitol Square, which is the city's political and business core. Recent capital improvements include an exterior façade renovation, a new conference center and fitness center, updated lobby and elevator cabs, renovated exterior patio, and new monument signage.

Walker & Dunlop has one of the strongest networks in the industry, having arranged financing with over 250 capital sources in 2020 alone. In that same period, the firm completed $11.0 billion of brokered loan originations. For information about Walker & Dunlop's view on the apartment market, including expert perspectives on markets, leadership, and the road ahead, visit our new Driven by Insight information center.

About Walker & Dunlop
Walker & Dunlop (NYSE: WD), headquartered in Bethesda, Maryland, is one of the largest commercial real estate finance companies in the United States. The company provides a comprehensive range of capital solutions for all commercial real estate asset classes, as well as investment sales brokerage services to owners of multifamily properties. Walker & Dunlop is included on the S&P SmallCap 600 Index and was ranked as one of FORTUNE Magazine's Fastest Growing Companies in 2014, 2017, and 2018. Walker & Dunlop's 1,000+ professionals in 41 offices across the nation have an unyielding commitment to client satisfaction.

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SOURCE Walker & Dunlop, Inc.

FAQ

What is the purpose of the financing announced by Walker & Dunlop?

The financing is intended for the acquisition of Bank of America Tower and 65 East State Street.

What is the total amount financed for the acquisitions?

Walker & Dunlop structured $91,767,640 in financing.

Who were the lenders involved in the financing?

Prime Finance and Voya provided the interest-only bridge loans.

What are the key features of the Bank of America Tower?

It is a 44-story, LEED-certified building with over 662,241 rentable square feet.

How did the recent capital improvements affect the properties?

The improvements have positioned them as premier office towers in their markets.