WealthCap and JBG Secure $108M Chase Tower Loan

Landesbank Baden-Wurttemberg (LBBW), the Stuttgart-based parent company of three commercial banks, has provided a $107.6 million loan against the Chase Tower in Chevy Chase, Maryland. The financing was arranged by Cushman & Wakefield to replace a $82.2 million loan provided by Metropolitan Life Insurance Co. in 2005. The collateral property consists of a 12-story office building with 230,000 sf at 4445 Willard Ave. and a two-story retail building with 15,835 sf at 4459 Willard Avenue, according to a Commercial RealEstate Direct article. It is owned by a venture of JBG Cos. and WealthCap Management Inc., a subsidiary of UniCredit Bank of Munich, Germany.

"We continue to see strong Lender demand for quality buildings with strong sponsorship," said John Campanella of Cushman & Wakefield. Chase Tower is a 245,835 square foot mixed-use project comprised of a Class A, 12-story office building, a two-story retail building and a community park located in Chevy Chase, MD. It is one block from the Friendship Heights Metro Station (Red Line), which provides direct access to downtown Washington, DC and other areas including Bethesda, Rockville and Gaithersburg. The property was originally developed by JBG and JPMorgan Asset Management, but JPMorgan sold its 90% stake in 2005 to WealthCap.

For more news and information visit Blumberg Partners.

Exeter Buys Chicago Area Industrial Portfolio

Avison Young, the Toronto-based commercial real estate services firm, has sold a 900,000-square-foot portfolio in the Chicago industrial market to Exeter Property Group for an undisclosed sum. The four-building industrial portfolio located around the perimeter of Chicago was sold by an Avison Young fund managed by J.P. Morgan Asset Management. Erik Foster and Mike Wilson of Avison Young's national industrial capital markets group handled the transaction, and Foster told GlobeSt.com that the net lease purchase is part of a larger trend.

"We've seen a lot of buyers that need higher returns making purchases in class B submarkets within core markets like Chicago," said Foster. Although each of these properties is relatively new and fully-leased to strong credit tenants, they are located in suburban Monee and Batavia, and in Portage, IN, all part of the greater Chicago market but outside the truly core submarkets like I-55.

The properties in the portfolio include:

• A 246,300-square-foot building at 25777 S. Cleveland Ave. in Monee, IL in the greater Chicago market. The tenant is Liberty Furniture, a privately owned furniture manufacturer with a national distribution base. Built in 2001, the building has 30-foot ceiling heights.
• A 239,700-square-foot facility at 25975 S. Cleveland Ave. in Monee, IL, in the greater Chicago market. DIY Group, a packaging, warehouse and distribution services company, leases 100 percent of the space, built in 2005. The building has 30-foot ceiling heights.
• A 251,465-square-foot building at 1160 Pierson Dr., in Batavia, IL, in the greater Chicago market. The space is leased by DS Containers (193,465 SF), a consumer packaging company, and Superior Health Linens (58,000 SF), a healthcare supply company. Built in 2006, the building has 30-foot ceiling heights.
• A 157,120-square-foot building at 5900 Carlson Ave. in Portage, IN, in Northwest Indiana, considered part of the greater Chicago market. The building was built in 1995, has 29-foot ceiling heights and is leased to Manufacturing Solutions. The tenant is a leading manufacturing and engineering company.

For more news and information visit Blumberg Capital Partners.

HFF Arranged $41.15M in Financing for Middlesex Logistic Center

Holliday Fenoglio Fowler, LP (HFF) announced this week that it had arranged $41.15 million in construction financing for Middlesex Logistic Center in Edison, New Jersey. The project, developed by JG Petrucci Co., is a 570,000 square foot distribution center due to be delivered in 2003, according to a report from The Commercial Observer.

HFF worked exclusively on behalf of the sponsor, JG Petrucci Co., Inc., to structure joint venture equity from institutional investors advised by J.P. Morgan Asset Management. In addition, on behalf of the partnership, HFF secured the construction loan through M&T Bank. The HFF team representing the borrower was led by senior managing director Jon Mikula and managing director Michael Nachamkin.

Middlesex Logistic Center is being designed and built to LEED-certification standards featuring 36-foot ceiling heights, 108 loading doors, 140-foot truck courts and parking for 149 trailers.

For more news and information visit Blumberg Capital Partners.

130 Prince Street Sold for $140.5M to Invesco

Waterman Interests, a privately-held CRE company, completed the sale of 130 Prince Street in Manhattan for $140.5 million to Invesco this month. Waterman purchased the building in 2007 along with institutional investors advised by J. P. Morgan Asset Management for $112 million according to CoStar data. Fried Frank represented the Waterman Interests partnership on the sale, as did Eastdil Secured.

"Since purchasing the asset in 2007, obviously the capital and commercial real estate markets have been through unprecedented volatility," said Philip Waterman III "Tod" Founder and Managing Member of Waterman Interests, LLC. "To have been able to deliver exceptional returns for our investors in this transaction occurred only as a result of our team's execution at the asset level, and I congratulate each of them for their tenacious effort through some challenging times."

Hilary Spann, Executive Director at J.P. Morgan Asset Management, said of the deal, "We have enjoyed an extremely collaborative and productive business relationship with Tod. He and his team have performed exceptionally well at 130 Prince Street."

130 Prince Street, totaling roughly 88,000 square feet of office and retail space, was 96% leased at the time of sale with major tenants including MAC Cosmetics, Cole Haan, Lacoste, True Religion Jeans, and Monika Chiang.

For more news and information visit Blumberg Capital Partners.