Turley, Westhoff and Proscia of Cronheim advise on $50 million refinance

David Turley, Anna Westhoff and Janet Proscia of Cronheim Mortgage advised on the $50 million refinance of a three-property, 750,000 s/f office building portfolio. The loan was provided by a national bank, which funded a non-recourse, moderately leveraged, five-year facility. The one and two-story professional office buildings offer attractive, functional, low-cost space with easy parking access in a serene campus setting. They are occupied with a mix of small professional office, medical, corporate satellite, education, and government users. "Sponsorship bought the assets a few years ago with a value-add investment strategy. They improved the assets with the help of significant building upgrades and a focus on brand/image enhancement," said Westhoff. "The institutional prejudice against older suburban office was a challenge, but one we were able to overcome." "Under the client's direction, we conducted an extensive marketing effort to create options representing a variety of financing strategies. In the end, they executed a bank facility that offers low-cost, flexible financing at an attractive leverage point," Turley said. "Thanks to our in-depth market research and analysis, we were able to convince the lender of the properties' intrinsic value and potential for out-performance during the continuing economic recovery."