HFF arranges sale and financing for industrial facility in Chesapeake
Holliday Fenoglio Fowler LP (HFF) said Wednesday that it arranged the $30 million sale of the Oceaneering Building, a 154,000-square-foot, industrial flex manufacturing facility with office space in Chesapeake.
The company also secured $21 million in acquisition financing for the building located at 2155 Steppingstone Square.
HFF said it marketed the property on behalf of the seller, Armada Hoffler Properties, a Virginia Beach-based real estate investment trust. LCN Capital Partners, a private-equity firm with offices in New York and London, purchased the building. HFF worked on behalf of the new owner to place the acquisition loan with Goldman Sachs Mortgage Co.
According to HFF, the Oceaneering Building was completed this year as a build-to-suit office and manufacturing facility that is 100 percent leased on a triple-net basis to Oceaneering International Inc., a deepwater engineering and applied technology company.
The building has two adjacent pad sites — one on either side of the current structure — that can accommodate 58,000 square feet of future expansion. Developed by the seller, the two-story building features 86,000 square feet of office space, and 68,000 square feet of warehouse/manufacturing space.
It is less than nine miles from Norfolk International Airport and downtown Norfolk. Interstate 64 is adjacent to the property along with Route 264, which offers access to the greater Hampton Roads region.
Executive Managing Director Stephen Conley and Senior Managing Directors Dek Potts, Timothy Hall, Jim Meisel and Andrew Weir led the
HFF investment sales team representing the seller. Managing Director Cary Abod led the HFF debt placement team representing the new owner.
“The Oceaneering Building attracted significant investor interest due to the credit of the tenant and the long-term lease commitment that Armada Hoffler secured as part of the build-to-suit for this state-of-the-art facility,” Potts said in a statement.