SADDLE BROOK, NJ-In two separate deals, the New Jersey office of CBRE|Melody has arranged financing totaling $25.3 million for the owners of two buildings, one in the Garden State and the other in Maryland. James Gunning, senior director, and vice president Donna Falzarano of the firm teamed up to arrange both of the transactions.
In the New Jersey deal, the duo arranged permanent financing amounting to $14 million for the office/warehouse condominium located at 750 Walnut Ave. in Cranford. The loan was secured on behalf of owner Hartz Mountain Industries of Secaucus, NJ, and the funding was provided by AIG Global Investment Group. The financing package carries a 5.63% interest rate for a 10-year term. For the first five years the borrower will pay interest only, and a 30-year amortization schedule will begin in year six.
"AIG provided great pricing and maximum flexibility for this refinance opportunity," Gunning says.
Located about 10 miles from Newark Liberty International Airport, 750 Walnut Ave. is a 172,000-sf commercially owned condominium. The building is currently fully occupied by Bank of America, Laboratory Corp., Shamrock Technologies and Public Service Electric & Gas.
In the second transaction, Gunning and Falzarano arranged permanent-debt financing of $11.3 million for a FedEx warehouse facility located in White Marsh, MD. The loan was secured on behalf of the Morris Cos., Rutherford, NJ, and the funding was provided by Citigroup Global Markets Realty Corp.
"This was a refinance of an existing loan," Gunning says. "It was made to accommodate the tenant's requirement to expand the building. Citigroup was very flexible and provided great terms," he continues, noting that the financing package carries a 6.08% interest rate for a 10-year term and 30-year amortization."
Built in 2001, the single-story asset contains more than 134,000 sf of office and warehouse space. It's currently 100% leased to FedEx, and an entire side of the building is dedicated to dock-high loading and includes 24 loading bays. The property is on the fringes of the Baltimore metro area.
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