HFF announces $11.2M financing of 8-building light industrial center in Orlando
FLORHAM PARK, NJ – February 5, 2018 – Holliday Fenoglio Fowler, L.P. (HFF) announces the $11.2 million acquisition financing for Silver Star Commerce Center, an eight-building light industrial center totaling 254,915 square feet in Orlando, Florida.
The HFF team worked on behalf of the borrower, Denholtz Associates, to place a three-year, floating-rate loan with Rialto Capital Management (Rialto). Proceeds will be used to purchase the property and make capital improvements, including a new façade, exterior painting, new tailboard and dock levelers, constructing truck wells and replacing the tenant entrance doors.
Situated on 19.50 acres at 3600-3820 Silver Star Road, Silver Star Commerce Center is in the Northwest Orange County Industrial submarket. The center is within one mile of both State Route 434 and U.S. Highway 411 and proximate to Interstate 4, all of which provide unparalleled access to the state of Florida. Additionally, the property is less than 12 miles from Orlando International Airport. Silver Star Commerce Center comprises eight light industrial warehouse and office spaces that are 95 percent leased to 31 tenants and contain clear heights ranging from 14 to 20 feet.
The HFF debt placement team included managing director Michael Klein, director Preston Reid and senior managing director Michael Weinberg.
“Despite the center being 96 percent occupied at closing, Denholtz Associates has an extensive business plan that will enable them to attract and retain high-quality tenants to the property and increase the net operating income annually moving forward,” Klein said. “Rialto was able to provide a short-term, floating-rate loan at maximum proceeds that will enable the borrower to execute its plan and reposition it for the future.”
“For our team, acquisitions are always viewed through the lens of maintaining high occupancy through both the short-term and the long-term,” said Stephen Cassidy, president of Denholtz Associates. “This opportunistic financing will enable us to purchase this stable, income-producing asset and position in it a manner that will attract tenant interest well into the future. We thank HFF and Rialto for their shared vision and look forward to executing out multi-tenant investment strategy at this property.”
About Denholtz Associates
Currently celebrating their 65th anniversary, Denholtz Associates is a privately held, fully integrated real estate development, investment and management company. Denholtz Associates actively targets multi-tenant office and industrial properties in select markets to diversify risk and provide maximum returns for its capital partners. Utilizing its substantial in-house operational capabilities and extensive knowledge of targeted locations, Denholtz capitalizes on unique opportunities in the marketplace. Additional information for Denholtz Associates is available online at denholtzassociates.com.
HFF and its affiliates operate out of 25 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF). For more information, please visit hfflp.com or follow HFF on Twitter @HFF.