Shorenstein Refinancing Hills Plaza

SAN FRANCISCO-Shorenstein Co. is arranging about $150 million in mortgage financing on Hills Plaza, a mixed-use complex on San Francisco’s waterfront.

Several commercial banks including Chase Manhattan and Wells Fargo are said to be in the running for the assignment. FleetBoston Financial led the syndicated financing for Shorenstein’s July acquisition of Prudential Plaza in Chicago.

The San Francisco development firm is reportedly seeking a five-year, floating-rate mortgage with an “earn-out” provision that would permit it to increase the size of the loan as income from the property increases. Most of the complex’s office space is leased at about $30 persf, but new leases are being signed for $70 per sf to 90 per sf.