Vero Capital JV Lands Recap for Sun Belt Office Portfolio

Vero Capital, formerly known as Admiral Capital Group, along with Prime Finance, have closed on the equity recapitalization of a four-property office portfolio located across the Sun Belt.

The partnership gained access to more than $20 million of immediately available capital for leasing costs and capital improvements. Walker & Dunlop arranged a $108 million CMBS loan originated by Goldman Sachs and Argentic.

The ownership acquired the assets two years ago and signed more than 400,000 square feet in leasing agreements at the properties, also implementing various capex programs. Tenants across the portfolio include Samsung, Kimley-Horn and Associates and BAE Systems.

The almost 1 million-square-foot ensemble is located in Alpharetta, Ga., Plano, Texas, Raleigh, N.C., and Falls Church, Va. The portfolio boasts a weighted average lease term of 4.8 remaining years and a weighted average occupancy of 84.9 percent.

The two-building Parkway at Avalon measuring 197,000 square feet is one of the office assets recapitalized. The 15-acre Alpharetta campus came online between 2000 and 2001 and features a pair of six-story structures with 24,600-square-foot average floorplates and more than 800 parking spaces. Vero Capital acquired the asset from Velocis for $53 million, according to CommercialEdge information, with help from a line of credit originated by Column Financial.

Walker & Dunlop New York Capital Markets Managing Director Sean Reimer, Senior Managing Directors Aaron Appel, Keith Kurland, Jonathan Schwartz and Adam Schwartz, along with Senior Analyst Christopher de Raet arranged the deal.

Last year, Vero announced the $29 million overhaul of a 410,000-square-foot, two-building office complex in Scottsdale, Ariz. The company picked up the value-add property in 2021 from Velocis.