Search
 

282,950-SF Repositioning Begins With $28M Loan

DALLAS-Lincoln Property and Pacific Coast take the deed to the class A office and finance it, getting a reserve pool for upgrades, leasing and an early-out for perm roll or resale.

By Connie Gore | Updated on April 09, 2008

DALLAS-Lincoln Property Co. and Pacific Coast Capital Partners LLC have secured $28 million in after-the-fact acquisition financing, setting up a reserve pool for upgrades and leasing and an early-out should the 282,950-sf class A office building be sold during the note’s three-year term. The loan closed within 30 days of the application crossing the lender’s desk.

Lincoln and El Segundo, CA-based Pacific Coast acquired the 15-story office building at 10000 N. Central Expressway in late December. Robert Stone, vice president of Capmark Finance Inc. in Dallas, says loan talks began shortly before the acquisition was closed, but went silent until after the deal was done. Once the buyers resumed loan talks, he says Capmark cleared the three-year, interest-only loan within 30 days. John Brownlee, senior managing director in Dallas for Holliday Fenoglio Fowler LP, arranged financing for the borrower of record, PCCP LLC.

Stone can’t disclose the interest rate, but did say it’s a Libor-based floater, a move tied to the building’s 55% occupancy at closing time. As they packaged the financing, occupancy rose to nearly 70% with the Dallas-based Lincoln team bedding down 40,000 sf in several deals, according to Stone. Lincoln didn’t return telephone calls by deadline to discuss the new leases.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.