CHATTANOOGA, TN—Atrium Memorial Medical Office Buildings has secured an $11.3 million refinancing. The two-building medical office complex spans 102,705 square feet in Chattanooga, TN.
HFF represented the borrower, Diversified Realty Ventures, a privately-held real estate investment firm with offices in Bethesda, Maryland, and Richmond, VA. HFF placed the three-year, floating-rate, non-recourse bridge loan with Colony Capital. HFF team director Michael Klein led the charge.
“The borrower was seeking a short-term solution that would enable them to take out their existing debt on a non-recourse basis and have the ability to earn-out additional proceeds for tenant improvements, leasing commissions and capital improvements as they executed their business plan,” Klein tells GlobeSt.com. “Colony Capital provided the borrower with an aggressive floating rate, a structure that catered to the borrower’s needs and closed within a tight timeframe.”
The medical office property includes The Atrium Professional Building, a 57,855-square-foot, two-story building and the Atrium Surgery Center, a 44,850-square-foot surgery center building. The healthcare real estate is connected via an air-conditioned skywalk and share parking at the 6.83-acre site. Atrium is located at 1949 Gunbarrel Road, one-half mile from Erlanger Hospital East Campus and adjacent to the Hamilton Place Mall approximately 20 minutes from Downtown Chattanooga.