Appian has been approached by investors seeking to place capital inthis part of the country, principal Dan Gonzalez tells GlobeSt.com,which is one reason why the company expanded into this sector. It alsohas clients or developers who are seeking funding.So far the company has identified more than $40 million seeking investor placement and over $20 million worth of deals looking to befinanced, he says.
The source of the funds ranges from high-net worth individuals toinstitutional investors such as pension funds. The majority of it isdomestic, Gonzalez says, expect for one Asian-based group that islooking to deploy capital in, and around, the District.
The funding Appian raises will be leveraged by debt; here too, Appianhas established willing sources, mainly among insurance companies.The company plans to follow this announcement with another initiative in afew weeks, Gonzalez says. It is also putting together aprogram that will finance large state projects for Virginia. Thestate, like many these days, is in disarray and cannot finance all ofthe large capital projects that need to be done, he explains. Thisprogram will be more specialized than the general development fundingAppian just announced. "These will be bond-like transactions--conduits provide private money for public projects."
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
