CNL Commercial Secures $38M Refi Loan for Sunrise Property

SUNRISE, FL—Orlando, FL-based CNL Commercial Real Estate, Inc. and partner Long Wharf Real Estate Partners of Boston have secured $38.2-million in short-term mortgage debt to refinance its 239,373-square-foot Sawgrass Lakes Center here.

The non-recourse loan financing was originated by Mesa West Capital of Los Angeles through its Mesa West Real Estate Income Fund III, a $750-million debt vehicle, which provides first mortgage debt up to $250 million for the acquisition, refinancing and recapitalization of transitional institutional quality commercial real estate assets throughout the United States. Mesa West's Daniel Tanner originated the loan out of the firm's New York office.

The financing was arranged by the Miami office of HFF Real Estate Capital Markets led by Senior Managing Director Paul Stasaitis. Other members of the HFF team that worked on the deal included Chris Drew and Jorge Portela.

Built in 2001 by The Opus Group, the six-story Sawgrass Lakes Center is a LEED-certified office building located at 13450 West Sunrise Blvd. in the West Broward office submarket. The property is 85% leased with credit tenants such as JP Morgan Chase.

“This is an institutional quality building located in one of the top performing submarkets in Broward County,” says Tanner. “The Sawgrass area continues to demonstrate strengthening fundamentals and attract a diverse mix of tenants. We're confident the ownership is well-positioned to add value here, and our loan provides them with the flexibility to do so.”

The joint venture partnership acquired the property in an all cash transaction in March 2014. The acquisition was the first for CCRE in partnership with Boston-based Long Wharf Real Estate Partners, LLC. A portion of the loan proceeds will be allocated to leasing costs as CCRE continues to stabilize the property, Mesa West Capital states.