Holliday Fenoglio Fowler, L.P. (HFF) announces the $135 million financing for two new, build-to-suit, Class A industrial buildings fully leased to Under Armour and Amazon.com and totaling 2.2 million square feet within the Tradepoint Atlantic multimodal industrial project in the Baltimore-area community of Sparrows Point, Maryland.
The HFF team worked on behalf of the borrower, Tradepoint Atlantic, to place two separate, non-recourse loans with Allianz Real Estate, including the $71.8 million, 18-year, fixed-rate loan for the Under Armour facility and the $63.2 million, 17-year, fixed-rate loan for the Amazon facility.
The Tradepoint Atlantic site covers 3,250 acres on the Sparrows Point peninsula along the Patapsco River at the gateway to the Port of Baltimore approximately five miles southeast of Baltimore’s Central Business District. The location provides immediate access to major interstate and regional road networks via Interstate 695, which bifurcates the site and encircles the city of Baltimore and connecting the project to Interstates 95, 895, 97, 70 and 83 as well as Route 295 (the Baltimore-Washington Parkway).
Tradepoint Atlantic contains the largest privately owned rail interchange yard on the East Coast and includes a fully operational, privately owned and operated short-line railroad with more than 60 miles of track (and plans for expansion) and connections to two Class I railroads, CSX Transportation and Norfolk Southern Railway. In addition, Tradepoint Atlantic owns and operates a marine terminal within the Port of Baltimore and offers significant deep-water frontage with deep water berths.
The 1.35-million-square foot building occupied by Under Armour was completed in 2018 and has future expansion potential. The cross-dock building features 35 total dock-door positions, two drive-in doors and 38-foot clear heights. Completed in 2018, the 857,514-square-foot building leased to Amazon.com also has a cross-dock design with 63 dock doors, two drive-in doors and 41-foot clear heights. Both buildings have a small office finish.
HFF’s debt placement team representing the borrower included managing director Cary Abod, director Rob Carey and associate Kevin Byrd.
“The long-term leases to Under Armour and Amazon, state-of-the-art construction and desirable sponsorship yielded a highly competitive bidding process,” Abod said. “Allianz performed admirably as the lender, and we look forward to watching the continued development of the revolutionary Tradepoint Atlantic project.”
About Tradepoint Atlantic
The 3,250-acre multimodal global logistics center in Baltimore, Maryland, offers a gateway to markets around the United States and the world, featuring an unmatched combination of access to deep-water berths, railroads and highways. Ground-breaking agreements signed with federal and state environmental regulators in 2014 to remediate the legacy from a century of steel-making, and the financial backing of investment firms Redwood Capital Investments and Hilco Global, as well as the robust support of local and state government, enable the redevelopment of the site through further infrastructure improvements. At full buildout, Tradepoint Atlantic is projected to generate 11,000 permanent jobs, $2.9 billion in annual economic impact, and add one percent to Maryland’s gross domestic product as one of North America’s most strategic commercial gateways. www.tradepointatlantic.com
About Allianz
The Allianz Group is one of the world's leading insurers and asset managers with more than 88 million retail and corporate customers. Allianz customers benefit from a broad range of personal and corporate insurance services, ranging from property, life and health insurance to assistance services to credit insurance and global business insurance. Allianz is one of the world’s largest investors, managing over 660 billion euros on behalf of its insurance customers while our asset managers Allianz Global Investors and PIMCO manage an additional 1.4 trillion euros of third-party assets. Thanks to our systematic integration of ecological and social criteria in our business processes and investment decisions, we hold the leading position for insurers in the Dow Jones Sustainability Index. In 2017, over 140,000 employees in more than 70 countries achieved total revenue of 126 billion euros and an operating profit of 11 billion euros for the group.
About Allianz Real Estate
Allianz Real Estate is the strategic real estate organization within the Allianz Group and a leading international real estate investment and asset manager. Allianz Real Estate develops and executes worldwide tailored portfolio and investment strategies on behalf of the Allianz companies, considering direct as well as indirect investments and real estate loans. The operational management of investments and assets is currently performed in five regions, West Europe (Belgium, France, Italy, Luxemburg, Portugal and Spain), North and Central Europe (Austria, CEE, Germany, Ireland and Nordics), Switzerland, USA and Asia Pacific. The headquarters of Allianz Real Estate are located in Munich and Paris. Allianz Real Estate has approximately 56 billion euros assets under management.
About HFF
HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform, including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF). For more information, please visit hfflp.com or follow HFF on Twitter @HFF.
