Parkview Financial Provides $110M Loan for Connecticut Office Buy
The bridge loan facilitated the largest property sale of the year in the county.
Parkview Financial recently provided a $110 million bridge loan that paved the way for 200 Elm Partners BH LLC, an entity of A.M. Property Holding II Corp. and Northeast Capital Group, to acquire an approximately 557,600-square-foot office asset in Stamford, Conn.
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Elm Partners purchased the Class A complex from Building and Land Technology in what CT Insider describes as a $235 million deal that marks the largest property sale in Fairfield County year-to-date and one of the largest real estate transactions in the state of Connecticut in the past decade.
The complex, which consists of two interconnected buildings carrying the addresses of 200 Elm St. and 695 E. Main St. on a 7.7-acre site, last changed hands in early January 2012, when Building and Land Technology acquired the then-vacant former headquarters of General Reinsurance Corp. for just $30 million and renamed it BLT Financial Centre.
200 Elm St. and 695 E. Main St. Image courtesy of Parkview Financial
Sited within the Greater New York metropolitan area, the complex last underwent a renovation in 2016 and today it is 80.8 percent leased. The tenant roster features such names as Deloitte, Henkel of America Inc. and Webster Bank. Additionally, the property offers a four-story underground parking facility that can accommodate more than 1,400 vehicles and a list of amenities that includes a café, fitness facility and entertainment space.
Elm Partners acquired the office complex with a long-term hold in mind and plans to execute a leasing program to stabilize the property.
Debt funds meeting demand
Paul Rahimian, CEO of Parkview Financial, said in a prepared statement that the transaction was a compelling bridge loan opportunity as this asset has credit tenants, stable cash flows and a strong institutional sponsorship team. Firms like Parkview are bridging the gap, so to speak, for a significant segment of borrowers in today’s market.
According to a third quarter 2021 report by CBRE, “Alternative lenders—debt funds and mortgage REITs—led volume in the third quarter, accounting for 39 percent of all non-agency loan closings. This share was consistent with the second quarter, as borrowers continued to seek financing for value-added assets. Year-to-date, bridge loans accounted for close to 90 percent of alternative lender loan closings.”
Elm Partners expects to place permanent financing for the Stamford asset at a later date.
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