Waterfall Asset Management Secures $127 Million for Chesterbrook Office Campus Refinancing

Waterfall Asset Management, a prominent alternative investment manager with a focus on specialized finance solutions, has successfully completed a refinancing deal for the Chesterbrook Campus worth $127 million. This landmark agreement aims to bolster their commercial real estate lending efforts within the vibrant Philadelphia market.

The Chesterbrook Campus, an expansive 1.1 million square-foot property consisting of 14 Class A office buildings, is situated in the sought-after King of Prussia/Wayne submarket. As part of this refinancing initiative, Waterfall collaborated closely with Rubenstein Partners, a seasoned real estate investment adviser known for their strategic office property investments.

By providing a flexible financing structure, the refinancing is designed to effectively support Rubenstein's ongoing business objectives for the campus, which includes initial proceeds as well as dedicated funds to enhance leasing activities and implement vital capital improvements.

This opportunity was identified by Ready Capital, a leading player in the real estate finance sector known for originating, acquiring, financing, and servicing loans for small- to medium-sized commercial projects. Zach Liebmann, the Head of Commercial Real Estate at Waterfall Asset Management, noted that the Chesterbrook investment aligns perfectly with their overarching commercial real estate credit strategy, emphasizing the property's strong asset backing and the proficiency of the industry-leading borrower managing it.

Ezra Zucker, an associate on Waterfall's Commercial Real Estate Lending team, expressed enthusiasm for this collaboration. He highlighted Rubenstein's impressive history of optimizing value within the office market, adding that Chesterbrook offers a compelling investment opportunity due to its outstanding asset class and strategic positioning within suburban Philadelphia.

Originally acquired by Rubenstein Partners in 2019, the Chesterbrook Campus has since undergone significant enhancements, with over $50 million dedicated to capital improvements. These upgrades have included the development of