The redeveloped building had a number of other factors in its favor. Fifth Third Bank leases the building's entire office component, and a diverse tenant roster leases 80% of the retail component. Furthermore, garage revenues have increased each of the past three years, and the 180-unit multifamily component has seen the absorption rate surpass all estimates.

“AT580 offered an unique, exceptional and challenging financing opportunity in one of the most dynamic cities in the country,” Mudd adds. “To meet Anderson Birkla's preference of doing both loans with the same lender, we leveraged the multifamily financing piece off of the more attractive, cash-flowing commercial piece. If a lender wanted to finance the commercial component, they would have to do the multifamily component as well.”

Fifth Third Bank

CINCINNATI—Cushman & Wakefield recently secured a $35.50 million permanent CMBS loan and a $34.68 million construction loan from Deutsche Bank for the financing of AT580, a 17-story mixed-use tower located at 580 Walnut St. in Cincinnati's CBD. After a few tough years, the downtown here, like many across the Midwest, has started attracting new office tenants and residents, and that is bringing in new investment.

Phil Mudd and Brad Geiger of C&W were exclusive agents for owner/developer Anderson Birkla Investment Partners, LLC.

The firm acquired AT580 out of receivership in 2013 and embarked on redeveloping the office and retail property into office, retail, garage and multifamily components. Anderson Birkla condominiumized each of the four individual components and sought two separate loans totaling $70.18 million. The office, retail and garage condominiums secured permanent financing, and only the multifamily condominium secured the construction loan.

The multifamily loan is especially significant because, as the Washington, DC-based Mudd tells GlobeSt.com, lenders across the nation have tightened multifamily lending standards. But this project had advantages. “Downtown Cincinnati is outstanding. The street car system, restaurants, new buildings, and the uniqueness and creativity of AT580 all made for a great story.”

The redeveloped building had a number of other factors in its favor. Fifth Third Bank leases the building's entire office component, and a diverse tenant roster leases 80% of the retail component. Furthermore, garage revenues have increased each of the past three years, and the 180-unit multifamily component has seen the absorption rate surpass all estimates.

“AT580 offered an unique, exceptional and challenging financing opportunity in one of the most dynamic cities in the country,” Mudd adds. “To meet Anderson Birkla's preference of doing both loans with the same lender, we leveraged the multifamily financing piece off of the more attractive, cash-flowing commercial piece. If a lender wanted to finance the commercial component, they would have to do the multifamily component as well.”