It turns out that that CRE finance truism -- the sponsor counts most of all -- still rules deals these days.

That aforementioned description of the suburban portfolio might sound familiar: the properties used to belong to Washington REIT. It just sold four of the six Maryland suburban assets it put on the market earlier this year to an affiliate of Brookfield Asset Management. The last two properties will close later this year to Brookfield for a total purchase price of $240 million.

C&W secured the acquisition financing for Brookfield via a floating rate, five-year term, 70% LTV loan that was very competitively priced in the mid 200s, Campanella says. The loan amount was the in the “couple of hundred million dollar” range, he said and the lender was a national bank. The bank is financing both pieces of the transaction.

It is a sizeable transaction and while there are still bank transactions being done at that size, they are getting harder and harder to secure, Campanella says. Especially in the suburbs.

But this deal was relatively easy to put together because of the sponsor, he said,

“The strong sponsorship is why it got done ultimately. That counted more than the portfolio being located in the suburbs.

WASHINGTON, DC--Six suburban office buildings. They are not transit-oriented and whatever amenities must be found on site, unless tenants are willing to hop in the car and drive somewhere for lunch.

To say the least, such properties are not the hot asset class for 2016, although they are arguably doing better than a few years ago.

Still, acquisition financing in this tightening capital markets environment should, by all accounts, be difficult to find.

Yes and no, according to Cushman & Wakefield's Executive Managing Director John Campanella. It all depends on the sponsor, he tells GlobeSt.com.

It turns out that that CRE finance truism -- the sponsor counts most of all -- still rules deals these days.

That aforementioned description of the suburban portfolio might sound familiar: the properties used to belong to Washington REIT. It just sold four of the six Maryland suburban assets it put on the market earlier this year to an affiliate of Brookfield Asset Management. The last two properties will close later this year to Brookfield for a total purchase price of $240 million.

C&W secured the acquisition financing for Brookfield via a floating rate, five-year term, 70% LTV loan that was very competitively priced in the mid 200s, Campanella says. The loan amount was the in the “couple of hundred million dollar” range, he said and the lender was a national bank. The bank is financing both pieces of the transaction.

It is a sizeable transaction and while there are still bank transactions being done at that size, they are getting harder and harder to secure, Campanella says. Especially in the suburbs.

But this deal was relatively easy to put together because of the sponsor, he said,

“The strong sponsorship is why it got done ultimately. That counted more than the portfolio being located in the suburbs.