Allstate REIG Lends $80M to ProLogis Fund

LAS VEGAS-Allstate Real Estate Investment Group recently provided an $80-million loan to ProLogis North American Industrial Fund III. The collateral for the Allstate loan is a package of 13 newer warehouse and distribution buildings totaling 3.8 million sf and located in the Nevada cities of Reno and Las Vegas, and Harrisburg, PA.

The collateral was part of the 24.7 million-sf portfolio that ProLogis North American Industrial Fund III acquired from a joint venture of Dermody properties and CalSTRS last year for $1.8 billion. Dave Kocourek, co-head of production for Allstate REIG’s commercial mortgage division tells GlobeSt.com that Allstate REIG in 2004 funded a 10-year $80-million loan using the same collateral.

That previous loan was assumed by the fund when it acquired the larger portfolio, he says, and the new loan was made co-terminus with the previous loan. The interest rate on the new loan, which he declined to pinpoint, was based on the interpolated six-year treasury.