Craig Hall, chairman of Hall Financial Group, secured the mortgage with 2801 Network Blvd., a two-year-old office building in a 1.2-million-sf park in the far north submarket. The New York City-based IXIS Real Estate Capital Inc., an affiliate of IXIS Corporate & Investment Bank of Paris, funded the fixed-rate loan. "He locked in early when Treasuries were 4% to 5%," Matthew Landau, IXIS' managing director, tells GlobeSt.com about a package that he classifies as "typical debt service coverage."
Landau says the option allowed Hall to decide when he wanted to take down the funds for the eight-story office building, the largest in the park. The package included a spread formula for additional earn-outs and set up two more takedowns when occupancy goes up again, according to Landau. The financing for 2801 Network Blvd. took about two months to complete, he says.
The building's largest tenants are Fujitsu and Bank of America. The quoted rate for space in the park ranges from $22 per sf to $23 per sf.
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