CBRE Capital Markets Secures Construction Financing for Shipyards Class A Office Building

CBRE Capital Markets has secured $37.9 million in construction financing for a new Class A office building in the Shipyards development in Jacksonville, Florida.

Philip Rachels and Jeff Kinney of CBRE’s Jacksonville office worked on behalf of the borrower, Shipyards Office, LLC, a subsidiary of Iguana Investments Florida LLC, to secure the 10-year loan provided by First Horizon Bank.

The new office building will be a Class A office building located on E. Bay Street in Jacksonville, Florida, near EverBank Stadium, home of the Jacksonville Jaguars and many events through the course of the year.

The proposed six-floor office building will total approximately 143,000 sq. ft. with ground-level retail and amenity space, including approximately 102,424 sq. ft. of rentable office space and 9,670 sq. ft. of rentable retail.

The Jacksonville Jaguars will lease three floors in the building for its business operations, with two of the remaining floors marketed for lease. Additionally, ground floor retail space will be marketed for lease.

“While office fundamentals remain challenging, we were able to secure offers from a number of lending sources who clearly understood the value of the opportunity from the ownership entity, the Jaguars as the main tenant, as well as the City of Jacksonville,” said CBRE Senior Vice President Jeff Kinney. “First Horizon’s team differentiated itself with a solid loan structure and a local team approach which secured the confidence of our client.”