Axonic Capital Provides $30.8M Senior Loan To Deugen Development For 5 Wood Hollow Road Conversion

The asset involved in this transaction is a development site located at 5 Wood Hollow Road in Parsippany, New Jersey. The site has a building size of 330,000 square feet and is positioned within a market experiencing increased demand for industrial facilities. The loan amount secured for this project is $30,800,000, provided by Axonic Capital in the form of a senior loan. This loan is aimed at supporting the conversion of an office building into a Class A industrial facility, reflecting current trends in real estate development in the Northeast.

Summary of transaction details:

• Property Type: Development Site
• Transaction Amount: $30,800,000
• Lender: Axonic Capital
• Landlord: Eric Gormeley - Deugen Development
• Market: Parsippany, NJ
• Asset Size: 330,000 BSF
• Loan Type: Senior

This deal involves key individuals including Eric Gormeley, who represents Deugen Development in the acquisition and conversion of the property. The project aligns with a trend where aging office spaces are being repurposed into logistics and industrial use, responding to sustained demand from tenants and challenges in finding new developable land in the region.