OakNorth Bank Provides $24.2M Loan to Roadside Development and Hudson Bay Capital for Bethesda Towers Acquisition
OakNorth Bank Bank has provided a $24.2 million loan to a joint venture between Roadside Development and Hudson Bay Capital to support the acquisition of Bethesda Towers, a three-building office campus located at 4330, 4340, and 4350 East-West Highway in downtown Bethesda, Maryland, the bank announced June 29, 2026.
Deal Overview: Financing a Large Suburban Office Campus
The $24.2 million facility from OakNorth Bank funds the acquisition of Bethesda Towers, which comprises approximately 600,000 square feet of office space across three 11-story buildings. The campus sits less than half a mile from Bethesda Metro Station and within proximity to downtown Washington, D.C. Nearby major employers include the National Institutes of Health, Walter Reed National Military Medical Center, and Marriott International.
The total sale price was not disclosed.
The $24.2 million OakNorth loan is relatively modest against a campus of this scale, suggesting the financing may represent one component of a broader capital structure, though no additional debt or equity has been publicly disclosed.
The Joint Venture: Roadside Development and Hudson Bay Capital
Roadside Development, founded in 2000 and based in Washington, D.C., is a vertically integrated real estate developer, owner, and operator focused on large-scale mixed-use opportunities throughout the Washington metropolitan area. The firm has developed and renovated more than 8.5 million square feet of real estate and currently owns and manages over 1.5 million square feet of commercial property and more than 1,300 residential units.
Hudson Bay Capital, founded in 2006, is a global alternative asset manager with over $20 billion of assets under management, investing across a range of asset classes and strategies.
Richard Lake, Founding Partner at Roadside Development, commented on the transaction: "Bethesda Towers is a high-quality asset in an exceptional location at the heart of one of the Washington metropolitan area's most dynamic and desirable submarkets. Its scale, connectivity, and proximity to major employers make it a compelling investment opportunity, and we're excited to explore the property's future potential. We are pleased to be partnering with OakNorth and Hudson Bay Capital on this acquisition and look forward to conceptualizing our vision for the asset."
OakNorth's Perspective on the Bethesda Submarket
Max Saidman, Managing Director of Debt Finance at OakNorth, said: "Bethesda Towers is a significant office asset in one of the most attractive and affluent submarkets in the Washington D.C. region. Its prime location, strong surrounding fundamentals, and excellent connectivity underpin its long-term appeal. Roadside Development has an outstanding track record of acquiring, developing, and operating complex real estate assets, while Hudson Bay Capital brings deep institutional investment expertise. Together, they are exceptionally well positioned to steward the future of this property, and we are delighted to support them with this financing."
OakNorth Bank, launched in September 2015, describes itself as a digital bank focused on entrepreneur-led businesses. The bank says it has provided over $22 billion in lending across the UK and US since inception.
Strategic Context
The campus occupies a position in downtown Bethesda, a submarket characterized by strong demographics and high household incomes, according to the announcement. The property's proximity to Bethesda Metro Station provides direct connectivity to downtown Washington, D.C., and the surrounding area benefits from the presence of major institutional employers.
The joint venture has not publicly disclosed specific redevelopment or repositioning plans. The acquisition announcement noted the partners look forward to "conceptualizing our vision for the asset."
About the Lender
OakNorth Bank is authorized by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The bank says it has supported the creation of more than 70,000 jobs and generated more than £40 billion in economic value through its lending activity since launch.
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