SAN FRANCISCO, March 25, 2015 – Prudential Mortgage Capital Company provided $118.5 million in financing to Donahue Schriber Realty Group toward its purchase of four grocery-anchored shopping centers in California and Washington, the company announced today.
Prudential Mortgage Capital Company is the commercial mortgage lending business of Prudential Financial, Inc. (NYSE:PRU). The financing, provided in four separate 10-year, cross-collateralized, fixed-rate loans, is secured by four properties – Gilman District in Berkeley, Calif.; Village Oaks in San Jose, Calif.; Lakeland Town Center in Auburn, Wash.; and Westgate North in Tacoma, Wash.
“These properties are located in strong retail locations with dense populations and high median incomes. The superior quality of these Class A properties, two of which are newly constructed, along with their strong grocery anchors, helped make this an attractive transaction for us,” said Elizabeth Velazquez, a director with Prudential Mortgage Capital Company’s San Francisco office who led the transaction.
“Another key factor in deciding to finance these properties was the experience and strength of Donahue Schriber. This is our first loan with the firm and we look forward to continuing our relationship with them.”
“Donahue Schriber was very impressed with the creativity and speed in which Prudential was able to close the first transaction. They have proven to be consistent providers of capital and we are thrilled with these executions,” said Dave Mossman, Chief Investment Officer.
Throughout these financings, Donahue Schriber Realty Group was advised by Craig Zarro of Preferred Capital Advisors. Grocery-anchored properties are desirable in retail as there is typically a regular flow of customers who need food, medicine, and other everyday items, according to Velazquez.
A brief description of the properties follows: Gilman District Berkeley A newly constructed 91,228 square foot retail center in Berkeley, Calif., the property is located near major transportation hubs and anchored by a Whole Foods market and Office Depot. Village Oaks A newly-constructed 320,000 square-foot retail center in San Jose, Calif., the property is located in the Hitachi master-planned community on Cottle Road and Great Oaks Parkway, close to major transportation hubs and located in a region that is underserved by retail. It is anchored by a Safeway, Target and Lowe’s. Lakeland Town Center A 125,421 square-foot retail center in the Lake Tapps community within the city of Auburn, Wash., it is situated within an industrial area with an affluent community. It is anchored by Haggen, the largest independent grocer in the Pacific Northwest. Westgate North.
A 129,229 square-foot retail center in Tacoma, Wash., the property is situated along a heavily-trafficked corridor on the north end of the city’s trade area. It is anchored by a newly renovated Safeway and an Ace Hardware. Prudential Mortgage Capital Company is a national full-service, commercial and multifamily mortgage finance business with more than $84.7 billion in assets under management and administration as of December 31, 2014. Leveraging a 135-year history of real estate finance, the company offers one of the most comprehensive lines of real estate finance products and originates loans for Fannie Mae DUS®, Freddie Mac Program Plus® and specialized affordable housing programs; FHA; Conduit; Prudential’s general account and proprietary balance sheet program; and other institutional investors. The company maintains a loan servicing portfolio of approximately $81.3 billion, as of December 31 2014. For more information, please visit http://www.prumortgagecapital.com.
About Prudential Financial
Prudential Financial, Inc. (NYSE:PRU), a financial services leader with more than $1 trillion of assets under management as of December 31, 2014, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees are committed to helping individual and institutional customers grow and protect their wealth through a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds and investment management. In the U.S., Prudential’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century. For more information, please visit www.news.prudential.com.