GE Finances $67M for Offices
- May 16, 2008
GE Real Estate has announced two financing deals for office buildings, with total funding of some $67 million. GE will provide Vision Equities with $30.6 million to refinance Parkway 120, a Class A office building located in Old Bridge, N.J. Vision Equities acquired the 211,900-square-foot office in 2001 and has increased its occupancy from 47 percent to 79 percent since then. Vision Equities will use the money to invest in the building to attract new tenants to the property. Vision Equities, which operates approximately 15 million square feet of office space in Northeast New Jersey, has previously worked with GE Real Estate. GE indicated that a primary reason they entered into a relationship with the firm was due to its successful track record in the region. Vision Equities has been able to attract businesses such as Healthnet, Fragomen Del Rey, and VSNL to its properties in the New Jersey market. GE Real Estate also announced it has loaned $36.5 million to an affiliate of Forester Properties to purchase an office building in Clayton, Mo. The 18-story, 295,600-square-foot National City Center is located near St. Louis County’s government offices. The deal took just six weeks to close and includes a hold back for tenant improvements in the amount of $2.5 million. The building, opened in 1999, includes a four level parking garage. GE noted the attractiveness of the building to potential tenants and Forester’s expansion plans as the key factors in agreeing to finance the company’s purchase of the building. GE Real Estate is a business unit of GE Commercial Finance. Both Vision Equities and Forester Properties cited the firm’s ability to provide low-cost, accessible financing in the current tight credit market as a key impetus to form a financial partnership with GE Real Estate.