Angelo Gordon Lands $49M Refi for Denver Office Tower
- Aug 21, 2020
CBRE Capital Markets has orchestrated the refinancing of Stanford Place III, an approximately 370,000-square-foot office asset in Denver. Acting on behalf of the property’s owner, Angelo Gordon, CBRE arranged a $49 million loan through Prime Finance.
Angelo Gordon has owned Stanford III since acquiring the Class A building for $39.3 million in 2016, with the assistance of a $37.8 million loan from Mesa West Capital. In the new refinancing deal with Prime Finance, CBRE’s Jeff Halsey and Brady O’Donnell represented Angelo Gordon. “Despite the headwinds in the commercial lending market, we were pleased with the lender appetite for a deal like Stanford Place III,” Halsey told Commercial Property Executive.
Carrying the address of 4582 S. Ulster St., Stanford III sits within the Denver Tech Center, a premier business community located roughly 15 miles outside Denver’s central business district. The 17-story office tower first opened its doors in the 1980s and has maintained its Class A status through a series of renovations over the years. Stanford III also offers a host of amenities, including a deli/café and collaborative common area, a new training center and secure bike barn. Apartment investment company Aimco is one of the lead tenants, having inked a lease agreement for nearly 50,000 square feet in 2018. SteelWave, which had co-owned the property with Brookfield Asset Management before selling to Angelo Gordon four years ago, serves as the property manager for Stanford III.
Closing in the time of COVID-19
The lending community is still behaving cautiously amid the pandemic. According to a report by CBRE, while broad liquidity was restored to the market in the second quarter and multifamily agency and certain industrial deals were bright spots, other sectors suffered from selectivity and the withdrawal of CMBS and alternative sources of capital. CBRE’s Lending Momentum Index dropped by 29.3 percent quarter-over-quarter and 20.5 percent year-over-year. However, the firm noted that it had observed an increase in loans under application in the weeks leading up to the third quarter. Halsey said, “We are definitely starting to see more lender activity as we move further along in the current environment and hope that it continues to improve toward the end of the year.”