ATLANTA—Despite massively low occupancy, Campanile, a 20-story class A office building in Midtown Atlanta, has won investor confidence. The former Bell South headquarters has secured a $72 million loan. The building is 50% leased.

Buchanan Street Partners, a lender for core plus and value-add income properties, made the loan on the 445,280-square-foot office building. Buchanan's non-recourse first mortgage retires existing financing and gives Dewberry Capital, which has owned the property since 2010, new funds for leasing costs.

“We were attracted to the high quality of this asset, the strong credit of its anchor tenants and its central location in a positive trending submarket,” says Bob Dougherty, partner at Buchanan. “Dewberry Capital is well-regarded for its expertise in Midtown, and we were able to meet their needs for an expeditious closing while devising a capital structure that was advantageous to all.”

Located at the intersection of 14th and Peachtree Streets, Campanile is a landmark Midtown office building that has undergone significant capital improvements over the past three years. Renovations include exterior upgrades to modernize the roof lines, energy efficient glass, a new digitally controlled HVAC system, upgraded chillers and cooling towers, and a complete replacement of the elevator systems and controls. The lobby and common areas have been modernized with upgraded lighting and new furnishings.

This is the second loan Buchanan has made to Dewberry in the past six months. The lender provided a $95 million loan in October 2013 to refinance Dewberry's Peachtree Pointe and Gallery Uptown complex at Pershing Point.