CBRE Debt & Equity Team Secures Financing For Fairfield Business Center
SADDLE BROOK, N.J. (September 13, 2013) – CBRE Group Inc., New Jersey’s largest commercial real estate brokerage firm, announced today that its Debt & Equity Finance Group recently completed the financing for Fairfield Business Center in Fairfield, N.J., on behalf of a partnership owned and managed by Denholtz Associates and The Zaro Group.
The CBRE team of James Gunning, Donna Falzarano, and Evan Kleppe, secured an $18 million non-recourse loan with Redwood Trust. The loan is a 10-year fixed-rate first mortgage loan with a 30-year amortization.
The $18MM non-recourse loan was secured by the seven-building development known as Fairfield Business Center, a 336,000-square-foot flex/office park situated in the heart of the Fairfield/Route 46 submarket, recognized as one of the strongest flex/industrial markets in New Jersey. The portfolio had occupancy at closing of more than 85%. CBRE negotiated a competitively priced, 10-year fixed rate loan, which will allow Fairfield Property Associates to pay off existing debt and complete a capital improvement plan to one asset converting it from use as a gym to flex/office, as the demand for this space in Fairfield Business Center has been increasing.
Fairfield Business Center is comprised of seven buildings constructed in the mid 1970’s ranging in size from 15,000 to 63,000 sq. ft. All are multi-tenanted with diverse tenant rosters, posing limited market and rollover risk to the lender.
Denholtz Associates, led by Steven Denholtz, is a privately held national and fully integrated real estate company. The firm focuses on the acquisition, development, re-development and management of office, industrial and flex space. The company currently owns and operates a diverse portfolio that is comprised of approximately 6 million sq. ft. of space. The portfolio is occupied by more than a thousand tenants and spans six states including Florida, Georgia, Illinois, Kentucky, New Jersey and Pennsylvania.
Jerold Zaro has practiced law for 36 years, focusing on real estate, banking and finance, corporate and government affairs, as counsel for Sills, Cummis & Gross. Mr. Zaro also is the Managing Member of The Zaro Group, an entity that sources equity for a variety of office, retail, industrial, and multifamily real estate ventures.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2012 revenue). The Company has approximately 37,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 300 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.