Regent Medical Properties Scores Major Refi in NJ
- Jul 22, 2016
By Alex Girda
New Jersey, N.J.—Regent Medical Properties recently received $91.5 million in refinancing for a medical office portfolio located mostly throughout Northern New Jersey. NorthMarq Capital arranged the refinancing through a five-year, fixed-rate loan that was split between two providers: Natixis Real Estate Capital and Morrison Street Capital.
Of the 13 properties that make up the Regent Medical Portfolio, 11 are located in high-demographic infill markets across the Northern New Jersey area. The other two properties are in Florida and New York. Totaling 353,000 square feet of medical office space, the assets feature on-site surgery centers and are closely located to major hospitals.
Roughly half of the tenant roster is borrower affiliated, resulting in a highly specialized base. According to NorthMarq Capital Managing Director Gregory Nalbandian, this particular aspect of the portfolio proved to be a challenge, especially when combined with “this refinancing representing a substantial loan basis of $260 per square foot for a suburban office portfolio.”
The financing was divided between an $81.5 million senior loan placed with Natixis Real Estate Capital, while the remaining $10 million came from a mezzanine loan originated by Morrison Street Capital.
Image courtesy of Northmarq Capital