HOUSTON-A private partnership from Oklahoma City has refilled its till with $28.9 million in a refinance of a 377,750-sf build-to-suit that it bought shortly after completion. The 10-year financing has a 75% loan to value.

The flex building, situated on five acres at 5100 N. Sam Houston Pkwy., is net leased for 15 years to National Oilwell Varco. A spokesman in NorthMarq Capital Inc.'s Houston office says the new owner acquired the building with 1031 exchange money and interim debt. He says the new capital will be used to pay down the bridge loan.

John Burke, senior vice president and managing director for NorthMarq's Houston office, arranged financing through American National Insurance Co. of Galveston, TX. Terms include a sub-6.5% fixed-rate interest and 26-year amortization, according to a NorthMarq press release.

The spokesman tells GlobeSt.com that the asset attracted interest from lenders because it is new, has a credit-grade, long-term tenant and is in a good location. The northwest submarket historically experiences high demand for industrial and flex space, keeping vacancies in the single digits.

Still, the spokesman says placing the loan had challenges because it was constructed for a specific company rather than being a generic warehouse or flex space. "This was an expensive, state-of-the-art, highly improved warehouse building," he says. "A lot of lenders prefer multi-tenant space."

InSite Realty Partners LP in Houston built it and sold it immediately to the Oklahoma City partnership. "When they purchased it, the tenant was moving in," the spokesman explains. "This was a relocation of five operating divisions for National Oilwell Varco."