CBRE Arranges $98.2 Million In Financing For Reston Executive Center
CBRE Capital Markets has arranged $98.2 million in debt financing for Reston Executive Center, three Class A office buildings totaling 494,264 square feet located within the Reston Town Center, one of the most successful suburban downtown developments in America. CBRE worked exclusively on behalf of an entity controlled by The JBG Companies to arrange a five-year bridge loan through Wells Fargo Bank. The property is located at 12100, 12110 & 12120 Sunset Hills Road.
The owner purchased the property in November 2012, when it was 77.5% leased. The owner plans to implement an intensive capital expenditure program and an aggressive leasing plan in order to increase its occupancy during the next 12 to 18 months. The property is the largest investment to date in JBG’s eighth opportunity fund, which closed in 2011 with $752 million of equity.. In 2012, JBG closed over $2 billion in property financings, consisting of construction, bridge and permanent loans.
Reston Executive Center offered a unique opportunity for the owner to acquire the last parcel available for re-development within Reston Town Center. The strong market fundamentals and prime location position Reston Executive Center for continued strength in its leasing activity. It also affords the opportunity to potentially reposition the properties as higher density assets in the future.
“The strength and attributes of the borrower combined with the health of the Reston Town Center, which has seen approximately 1.3 million sq. ft. of leasing since 2010, resulted in very favorable financing terms. These terms will allow the owner to execute its capital expenditure and leasing plan while maintaining flexibility with respect to potential future redevelopment,” said Joe Donato of CBRE’s Washington, DC Capital Markets team.
The CBRE team representing the buyer in this transaction included Vice Chairman Joe Donato and Vice President Matthew Williams.
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.
About the JBG Companies
Headquartered in Chevy Chase, Maryland, The JBG Companies is a private real estate investment firm that develops, owns and manages office, residential, hotel and retail properties. The company has more than $10 billion in assets under management and development in the Washington DC Metropolitan Area. Since 1960, JBG has been active in the communities where it invests, striving to make a positive impact. More information can be found by visiting the company's website: www.JBG.com, or by calling 240.333.3600.