"A transaction of this magnitude is proof that deals structured the right way can secure a large sum of third-party financing despite the challenging market," says JLL managing director Thomas Beneville, in a statement. He, along with JLL managing director Ron Cariola and vice president Michael Carpenter, represented Brandywine in the sale.

The two properties at 33 W. State St. and 50 E. State St. span 473,658 square feet and are currently 96.5% leased. The State of New Jersey recently signed 15-year leases for most of the space in the buildings, which are located in Downtown Trenton near the Capital Complex. An affiliate of Brandywine will manage and lease the two properties for a seven-year period following the closing.

According to a release from Brandywine, a Radnor, PA-based REIT, $22.5 million--of the $85-million sales price due at the closing--has been deferred by the company as a seven-year, 6% cash-pay/7.64% per-million first mortgage the buyer obtained for the purchase. Most of the gain Brandywine will recognize on the sale will be deferred under the installment method of accounting until the repayment of the second mortgage loan.