Bethesda, Maryland – June 7, 2016
Walker & Dunlop, Inc. (NYSE: WD) (the “Company”) announced today it closed two deals totaling $61,350,000 for Doral Costa Office Park in Miami, Florida and High Point Office Park in Madison, Wisconsin.
In 2015, Walker & Dunlop closed 45 office park transactions totaling $493,481,050. As the economy recovers, secondary markets are experiencing increased employment and as a result, companies have expanded their staff and opened new offices, providing opportunities for new construction and building renovations to meet the requirements of their tenants. According to MBA, during the first quarter of 2016, U.S. office rents increased 4.1 percent as compared to first quarter 2015. This has made the office sector increasingly attractive to borrowers looking to invest in commercial real estate properties.
Walker & Dunlop has grown its capital markets platform to include a wide variety of capital sources to meet the financing needs of owners of office buildings, retail centers, and hotels across the United States. Senior Vice President, Paul Ahmed, stated, “Borrowers are expanding their portfolios to include office parks, although the risks are greater, clients experience higher returns and expanded outreach.”
Jorge Linkewer, manager at Doral Costa Capital, LLC, commented, “We have been involved in hundreds of millions of dollars in closed transactions with Paul Ahmed of Walker & Dunlop. Mr. Ahmed has proven himself as a seasoned and consummate professional who consistently delivers the desired results. On our latest transaction involving an approximately $50 million commercial real estate loan for a $75 million dollar acquisition, Mr. Ahmed suggested we close with Allianz. While Mr. Ahmed had experience with Allianz before, we did not. With a very tight timeframe to get the property from application to funding we were somewhat apprehensive. After the first progress call the apprehension quickly went away. They exhibited speed of execution, professionalism, and efficiency.”
Property and Transaction Details:
Doral Costa Office Park – Miami, Florida
- Led by Walker & Dunlop Senior Vice President, Paul Ahmed
- The $49,750,000 loan was structured as a 10-year fixed rate loan, followed by a 25-year amortization schedule
- Expedited commitment – less than 30 days
- Features two 4-story Class A office buildings and a 3-story outparcel building on a 17-acre site
- 284,798 square feet of office space
- Building was awarded Energy Star label in 2014 for operating efficiency
- 96% leased to a mix of local, national, and international clients
- Key tenants: World Fuel Services, Medtronics USA, Phelps Dodge, HSBC Bank USA, and Samsung
High Point Office Park – Madison, Wisconsin
- Led by Walker & Dunlop Vice President, Justin Nelson
- The $11,600,000 loan was structured as a 10-year fixed rate loan and a 1.67x debt service coverage ratio
- Includes eleven office buildings varying from 1-3 stories
- 217,814 square feet of office space
About Walker & Dunlop
Walker & Dunlop (NYSE: WD), headquartered in Bethesda, Maryland, is one of the largest commercial real estate services and finance companies in the United States providing financing and investment sales to owners of multifamily and commercial properties. Walker & Dunlop, which is included in the S&P SmallCap 600 Index, has over 600 professionals in 28 offices across the nation with an unyielding commitment to client satisfaction.