Delray Beach, FL – May 26, 2015 – CBRE Capital Markets’ Debt & Structured Finance team originated a $3.5 million loan to re-finance a ground lease of a future Walgreens location on Atlantic Avenue in Delray Beach, Florida.
Jason Hochman of CBRE’s Boca Raton office arranged the loan on behalf of the property owner, Partners Point, LLC. The lender provided the non-recourse 10-year loan with a low, fixed interest rate and a 25-year amortization.
“We took this opportunity to a wide array of lenders including life companies, conduits and banks,” said Mr. Hochman. “At the end, we chose a bank which offered the best combination of total loan proceeds, a long-term fixed rate and the longest amortization period. Because Walgreens is not set to open until later this year, we worked with the lender to structure terms that allowed my client to lock in the rate and close the loan now.”
Strategically located at the southwest corner of Atlantic Avenue and Jog Road, a major intersection in central Delray Beach, the property was formerly leased to BB&T. In June of 2014, Walgreens signed a 60-year ground lease on the property and worked to get approvals to construct a new building. It has now begun construction and the store is scheduled to open later this year.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 52,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 370 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.
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melinda.sherwood (at) cbre (dot) com