TIAA Bank Supplies $193M Loan on Industrial Portfolio Recap
By Andrew Coen February 8, 2023 2:33 pm
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Adler Real Estate Partners inked $193 million of permanent financing for the recapitalization of a nine-property light industrial portfolio throughout the Sun Belt and Mid-Atlantic regions, parties to the deal announced Wednesday.
TIAA Bank provided the five-year, fixed-rate, nonrecourse loan on the light industrial properties totaling 1.7 million square feet at infill locations in South Florida, Maryland, Texas, North Carolina and Alabama.
“The recapitalization of this portfolio was very important for our firm in order to achieve a win for investors,” Matthew Adler, founder and managing principal of Adler Real Estate Partners, said in a statement.
Lauren Ervin, vice president at TIAA Bank, said in a statement that the deal helps Adler “structure a flexible prepayment schedule.”
JLL (JLL) arranged the transaction with a capital markets debt-placement team led by Chris Drew, Melissa Rose and Christopher Gathman.
The properties consist of 145 tenants across 17 different industries including technology, medical supplies, health care, aeronautics, consumer goods and construction/materials. The assets, which were constructed between 1981 and 2001, have “above-market occupancies,” according to JLL.
The portfolio features two properties in South Florida including the Delray North Business Center and 1001 Broken Sound Parkway in Boca Raton. It also includes an asset in the Baltimore-Washington, D.C., corridor at Rivers Business Park I & II in Columbia, Md.
“The ability to secure accretive financing in this turbulent capital markets environment is a testament to Adler Real Estate Partners’ brand name as well as the quality of the assets included in the collateral,” Drew said in a statement.
Andrew Coen can be reached at acoen@commercialobserver.com.
