Suburban Philly Office Gets $17.8M Refi After Distribution Tenant Expands Footprint

A 110K SF Main Line office park has been refinanced via a nonrecourse loan.

Sponsor Balashine Properties secured the $17.8M loan for Swedesford Crossing at 480-500 Swedesford Road in Wayne. It was originated by Morgan Stanley and coordinated by D2 Capital Advisors.

The tenant base includes Affiliated Distributors, which expanded its corporate headquarters at the complex earlier this year, according to a press release.

A D2CA team, including Vice President of Capital Markets Jack Cortese and Chief Operating Officer David Frankel, secured the five-year, fixed-rate loan.

It is structured so that, in the event of a default, the lender wouldn’t be able to pursue any of the borrower's assets other than the property securing the loan.

“The office market has been challenging for commercial real estate investors and this is a great example of the sentiment shifting from the lending community,” Cortese said in a statement.

After the pandemic hollowed out interest and faith in the sector, office lending nearly doubled year-over-year in 2025 to $46B, according to an Avison Young study. The brokerage found that 70% of those new originations were for trophy assets.

Swedesford Crossing was built in 1975 and renovated in 2007. Balashine purchased it with a value-add business plan in 2021.

There has been some movement in the broader submarket in recent weeks.

Insurance firm HSB disclosed plans to exit its space down the street at 595 Swedesford Road in April and has inked a new 41,700 SF lease about 3 miles away at Rubenstein Partners’ 965 Chesterbrook Blvd. in Berwyn.

Balashine’s portfolio spanning the Midwest and greater Philadelphia also includes Harvest Point, a 118K SF office complex at 930 Harvest Drive in Blue Bell. It used to own County Line Commerce Center, a 444K SF office park in Warminster, which it sold in 2022.

CORRECTION, JUNE 22, 2:10 P.M. ET: An earlier version of this story included incorrect context about the structure of the loan. It has since been updated.