Los Angeles, CA – November 28, 2016 – CBRE Capital Markets’ Debt & Structured Finance team has arranged $60 million in financing for a 127,000-square-foot retail component within Main Street Cupertino, a state-of-the-art, mixed-use development located in Cupertino, California.
John Nelson and Erik Franks of CBRE’s San Francisco, California, office arranged the financing on behalf of the borrower, a Sand Hill Property Company joint venture. The LIBOR-based, variable-rate loan was provided by a major life insurance company.
Of the financing, Mr. Nelson said, “This was the most competitive, sought after financing I have seen in quite some time, given the demographics in Silicon Valley, the Cupertino submarket, and the sponsorship. The financing was a perfect fit for both the sponsor and the capital provider.”
The Main Street Cupertino development consists of office, retail, hotel and apartment components. The office portion was completed earlier this year, while the retail portion is slated to be completely finished by the end of the year. Several retailers are already open for business, including Lazy Dog, Eureka! Burger, Alexander’s Steakhouse, Philz Coffee, and Target Express. The hotel, franchised to be a Marriott Residence Inn, is slated for completion by mid-2017, with the apartments scheduled to be completed by the end of 2017. The development is accentuated by a dynamic urban-contemporary design which will include a one-acre town square and a half-acre community park.
Located in the heart of the Silicon Valley, Cupertino is home to several of the largest technology companies in the world and boasts a 2016 Average Household Income of $188,627. Its prominent location allows retailers, as well as employers, to draw from high-end communities along the I-280 corridor, producing a diverse group of employees and clientele. Cupertino’s demographic profile is truly unique in comparison to any other city in the Bay Area.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.