JLL Capital Markets arranges $22.45m acquisition financing

Holtsville, NY JLL Capital Markets has arranged $22.45 million in acquisition financing for 5000 Corporate Court, a class A office building totaling 264,482 s/f.

JLL worked on behalf of the borrower Northpath Investments, to secure the three-year, fixed-rate bridge loan with Shem Creek Capital.

Constructed in 2000, 5000 Corporate Court is 90.3% leased to five tenants, four of which are General Service Administration (GSA) organizations. The two-story property features parking for more than 1,800 vehicles as well as a tenant lounge on site.

5000 Corporate Court is positioned on a 37.33-acre parcel in Central Long Island. The property has access to highways, including the Long Island Expwy. and County Rd. 97, while also maintaining access to the LIRR, which provides commuter rail access from Manhattan to the tip of Long Island. The Central Suffolk County office submarket is one of the strongest in the state with close to 11 million s/f of office space and a vacancy rate less than 7%.

JLL’s Debt Advisory team representing the borrower was led by senior managing director Michael Klein, director Max Custer and associate Gerard Quinn.

“The sponsor is acquiring a well-located office property that benefits from Suffolk County’s tax base and a deep labor pool that is expected to continue to attract and retain tenants for years to come.  Moving forward, the Northpath and Primex team will be able to unlock the value that the excess land provides,” said Klein.

“Shem Creek was able to quickly grasp the attractive fundamentals of the deal and was able to easily navigate the transaction’s complexities while still meeting an aggressive closing timeframe. They were a pleasure to work with,” said Custer.

“We are bullish on the Suffolk County office market and have been looking to expand our portfolio in the region. This property presented us with an opportunity to use our knowledge from our other office campus in the area, Brookhaven Professional Center, to acquire a high-performing asset at an attractive price point. I believe that both properties will complement each other nicely as they each cater to different types of tenants,” said Gershon Alexander, principal at Northpath.