Thorofare Capital has funded a $17,600,000 fixed rate bridge loan for the acquisition of Halethorpe Farms Industrial Facility.  In just 10 days from application, Thorofare funded the portfolio loan when a major bank, imperiled by a shortened escrow period, failed on a CMBS execution. Halethorpe Farms is an industrial (warehouse/distribution) facility totaling 689,000 square feet and it is currently 85% leased to six commercial tenants as well as several cell tower vendors.

Located in the Baltimore/Washington Corridor, minutes to I-95, Halethorpe Farms has unparalleled truck access to major interstates, the Port of Baltimore and BWI Airport.  Over 60% of the gross revenue is received from investment grade tenants, anchored by Halethorpe Extrusions, a wholly owned subsidiary of Alcoa (NYSE: AA).  Alcoa, a 125-year old company with 60,000 employees in 31 countries, occupies 378,928 square feet (55% of the building) on a long-term lease and has continued operations of their largest heat treatment line at Halethorpe Farms since 1991.  Alcoa receives inbound extruded aluminum via the CSX rail spur and distributes the semi-finished heat-treated material via containers through the Port of Baltimore.  Other notable companies on the tenant roster include Poole & Kent, EMCOR (NYSE: EME), Wollenwebber Trucking and ReDirect Recycling, as well as several antennae vendors such as T-Mobile, Verizon, and AT&T.

Thorofare’s non-recourse acquisition facility allows for immediate prepayment, which enables the sponsor to proceed with procuring a permanent loan given the limited rollover risk and in-place cash flow.  The interest-only structure was sized to 75% of the total project capitalization, which includes tenant improvements, leasing commissions, and capital expenditures.

The sponsor is an affiliate of Blue Ocean Realty, a Baltimore-based value-add commercial real estate investment and management firm.  With over 2,650 of combined residential units as well as more than 1,000,000 SF of commercial real estate, Blue Ocean is one of the largest owner-managed investment companies in the Baltimore metropolitan area.