Holliday Fenoglio Fowler, L.P. (HFF) announced today that it has arranged $32.4 million in financing for Brookwood Office Center, a 169,459-square-foot, nine-story office building in Birmingham, Alabama.
HFF worked on behalf of the borrower, an indirect subsidiary of Preferred Apartment Communities, Inc., to secure the 15-year acquisition loan through Sentinel Asset Management. The 3.52 percent, fixed-rate financing will also be serviced by HFF.
Completed in 2007, the LEED Silver-certified Brookwood Office Center is fully leased to a mix of national and international corporations, including Kinder Morgan, Merrill Lynch and PriceWaterHouseCoopers. Jos. A. Bank and O’Henry’s Coffee occupy the ground-floor retail space and tenants have access to a four-story, 896-space parking structure. The property is situated on 5.08 acres at 569 Brookwood Village within the Brookwood Village upscale mixed-use shopping development. This location is immediately off of Highway 280 in the Mountain Brook/Midtown submarket of Birmingham, an affluent area boasting an average household income within three miles of more than $97,000, an average home value of more than $371,000 and a population base in which more than 62 percent of residents hold a bachelor’s degree or higher. The Birmingham market is the largest office market between Georgia and Texas and comprises over 58 million square feet of office space.
The HFF debt placement team representing the borrower was led by senior managing director Ed Coco and senior real estate analyst Matt Casey.
About Preferred Apartment Communities
Preferred Apartment Communities, Inc. is a Maryland corporation formed primarily to acquire and operate multifamily properties in select targeted markets throughout the United States. As part of its business strategy, the firm may enter into forward purchase contracts or purchase options for to-be-built multifamily communities and it may make real estate related loans, provide deposit arrangements or provide performance assurances, as may be necessary or appropriate, in connection with the development of multifamily communities and other properties. As a secondary strategy, the firm may acquire or originate senior mortgage loans, subordinate loans or mezzanine debt secured by interests in multifamily properties, membership or partnership interests in multifamily properties and other multifamily related assets and invest not more than 20 percent of its assets, subject to any temporary increase unanimously approved by its board of directors, in other real estate related investments such as grocery-anchored shopping centers, senior mortgage loans, subordinate loans or mezzanine debt secured by interests in grocery-anchored shopping centers, membership or partnership interests in grocery-anchored shopping centers and other grocery-anchored shopping center related assets as determined by its manager as appropriate for the company. At June 30, 2016, the company was the approximate 96.4 percent owner of Preferred Apartment Communities Operating Partnership, L.P., or the Operating Partnership. Preferred Apartment Communities, Inc. has elected to be taxed as a real estate investment trust under the Internal Revenue Code of 1986, as amended, commencing with its tax year endedDecember 31, 2011.
About HFF
HFF and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 23 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.
