HFF Arranges $36M Financing for Washington, D.C., Office Building
- Oct 08, 2008
The Washington, D.C., office of Holliday Fenoglio Fowler L.P. has announced that it arranged $36 million in financing for 1401 K St., a 124,700-square-foot Class A office building in Washington, D.C. HFF senior managing directors Bill Asbill and Bob Donhauser and director Cary Abod worked exclusively on behalf of Guardian Realty Investors L.L.C. to arrange the five-year, fixed-rate financing through AIG Investments. The loan proceeds were used to acquire the property and establish reserves for future tenant improvements, leasing commissions and capital expenditures. HFF will service the loan.Located in the K Street corridor of Washington, D.C., on Franklin Square, 1401 K S. is within walking distance of the McPherson Square Metrorail station, the Red Line at Farragut North Metrorail station, The White House, the Treasury Department building and the Department of Commerce building. The property was renovated in 1997. “K Street, which provides a well-known and prestigious location within Washington, D.C., attracts prominent lobbying groups, law firms, private and government-related organizations and others, and demands premium rents due to the convenient location and minimal vacancy,” Asbill added. “The rental rates are significantly below market which should result in significant growth in the cash flows.” Guardian Realty Investors L.L.C. and its affiliates own and operate 49 office buildings totaling in excess of 3.5 million square feet in Washington, D.C., Northern Virginia and suburban Maryland. The company has been acquiring, developing, financing, leasing and managing office buildings for over 40 years.