New York Real Estate Journal

Proscia, Westhoff and Turley of Cronheim place $23 million for industrial complex

October 28, 2013 - Brokerage
Janet Proscia, Anna Westhoff and David Turley of Cronheim Mortgage arranged permanent financing of $23 million on a one million s/f industrial complex in Los Angeles County. The 10-year fixed-rate loan carried a 4.26% interest rate and was placed with Aviva Investors, which Cronheim represents as correspondent and servicing agent. This transaction marks Cronheim's second recent area industrial financing, both completed with insurance companies. The subject consists of an 11-building complex situated on over 49 acres just off Railroad Ave., 25 miles north of Los Angeles. Developed in the 1950s-1960s, the subject property's construction is primarily metal, with pitched roofs and clear ceiling heights between 19' and 35'. With occupancy near 100%, the complex's more than 170 tenants include a wide range of TV and film studios, moving and logistics firms, and several fabrication businesses. Westhoff said, "The property's age, complex tenancy and construction type gave some life insurance company lenders pause at first, but we were able to show the key location and market characteristics that consistently make this complex a magnet. From there, we built a competitive debt market around the transaction." Proscia said, "This New York-based client knew they wanted the flexibility and attractive long-term interest rate an insurance company could provide. Thanks to our understanding of the asset and market, our correspondent was able to deliver both, plus a substantial cash-out to the client."