JLL Assists Brookfield With $855M Purchase, Financing

The 37 logistics facilities and nine office assets are located in key markets including Dallas, Los Angeles, Denver, the Inland Empire and the San Francisco Bay Area.

Arlington Square in Arlington, Va.
Arlington Square in Arlington, Va.

The JLL Capital Markets team did double duty on the sale of an $854.5 million logistics and office portfolio, completing the transactions of 46 assets in 12 states and securing $475.5 million in acquisition financing.

Brookfield-sponsored private equity funds purchased both portfolios consisting of 37 assets across 7.6 million square feet in logistics facilities and nine assets totaling 1.1 million square feet of office space from TA Realty. The transaction, first announced in early April by TA Realty, includes assets in key metro areas such as Chicago, Dallas, Los Angeles, Atlanta, Boston, Denver, Houston, Las Vegas, Orlando, Washington, D.C., and the Inland Empire and Bay Area in California.

JLL Capital Markets did not release names of team members involved in the transactions. TA Realty previously said partners Nicole Dutra Grinnell, Michael Haggerty, Jim Raisides, and Disposition Officer Luke Marchand were among its team members that worked on the portfolio sale on behalf of The Realty Associates Fund IX LP and that JLL represented the Boston-based firm in transaction negotiations. Fund IX is part of TA Realty’s flagship fund series that focused on creating diversified real estate portfolios that generate strong cash flow, benefit from intensive asset management and result in long-term value creation.

JLL noted in a news release the combination of “key locations, strong tenancy and diverse asset types gives the portfolio a low-risk income profile providing stability over the near term.”

Montrose Metro One in Rockville, Md.
Montrose Metro One in Rockville, Md.

A complete list of the assets and their locations was not released by any of the parties but the Washington Business Journal previously reported three of the properties were Arlington Square, a 145,000-square-foot building in Arlington, Va., that was the former U.S. Fish & Wildlife Services’ headquarters; Prince Street Plaza, 52,800 square feet, Arlington; and Montrose Metro One, nearly 120,000 square feet in Rockville, Md.

A Yardi Matrix report on Arlington Square notes that the property was among seven assets now owned by Brookfield Properties that were part of a loan in the amount of roughly $139 million held by Deutsche Bank as of March 31. The five-year loan matures March 31, 2022. In addition to office space at Arlington Square it includes office space at The Quadrangle Business Park – University Corporate Center 1 and University Corporate Center III in Orlando; office and retail space at Montrose Metro One; office space at Prince Street Plaza; office and retail space at Grand Avenue Courtyard in El Segundo, Calif., and office space at 1355 Windward Concourse, Alpharetta, Ga.

Image courtesy of Yardi Matrix