SAN FRANCISCO – John Kerslake, senior vice president/senior director of NorthMarq Capital’s San Francisco-based regional office, arranged the $240 million construction-permanent loan for Hillsdale Shopping Center, a 1,130,500 sq. ft. property undergoing redevelopment, located at 60 31st Street in San Mateo, California. The transaction was structured with a 15-year term with 3-years of interest-only followed by a 30-year amortization schedule. NorthMarq arranged financing for the borrower through its correspondent relationship with a life insurance company.
The regional mall redevelopment will feature the opening of a new Dining Terrace, which will be built during the first six months of 2017. Throughout construction and redevelopment (which began with the demolishing of the formers Sears building, Food Court and old Cost Plus World Market in September 2016), the mall will remain open to visitors. Major tenants include: Nordstrom, Macy’s and Forever 21 Mega Store, as well as 120 specialty stores and restaurants including Paul Martin’s American Grill, The Cheesecake Factory, Michael Kors, The Apple Store, Banana Republic, The LEGO ® Store, Williams-Sonoma, L’Occitane, DSW Shoes, H&M, and many more.
“The transaction enabled the borrower to pay-off their existing loan and finance the cost of the planned remodel, ultimately allowing the borrower to place long-term attractively priced debt on the property,” explained Kerslake.
NorthMarq Capital, the largest privately held commercial real estate financial intermediary in the U.S., provides debt, equity and commercial loan servicing through its 36 offices across the U.S. The company has built long-term relationships with life companies, CMBS platforms and local, regional and national banks, with a long track record of multifamily loan origination through Freddie Mac, Fannie Mae and FHA/HUD. The company closes approximately $13 billion in commercial real estate loans annually and services a loan portfolio of more than $50 billion. For more information please visit www.northmarq.com.