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AUSTIN, TX-Dividend Capital Total Realty Trust received $22 million in financing to acquire a main interest in the 156,000-square-foot Austin-Mueller Health Center from ProLogis. The seven-year, fixed-rate loan was financed by Thrivent Financial for Lutherans.

Texas Realty Capital principal John Moran arranged the financing and tells GlobeSt.com the asset has a great tenant and well-known sponsor. Despite that, pinning down the funding for the property on Mueller Boulevard just south of Dell Children’s Hospital was a challenge because of the capital markets freeze-up.

“Things became pretty unsettled in October, and a lot of permanent lenders went to the sidelines,” he comments. “When treasuries dropped right around Thanksgiving, it created a hard market for lenders to price their loans.” Despite the challenges, he adds, The Denver-based buyer was able to close on the loan within 21 days. Specific loan details were unavailable.

A recent SEC filing by Dividend Capital says the company entered into a joint venture with ProLogis to acquire Austin-Mueller Health Center, known locally as Seton Office Building at Mueller and North Austin Health Center, for $44 million. The filing says the center is 100% leased to the Seton Family of Hospitals through an 11-year, net operating lease.

The filing also says Dividend Capital contributed approximately 90% of the equity into the joint venture, dubbed TRT-ProLogis Joint Venture. Denver-based Prologis kicked in the remaining 10% equity and will continue managing the building. The building was developed by ProLogis affiliate Catellus Development Group in 2007, opened in late 2008, and serves as Seton’s administrative headquarters.

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