SAN FRANCISCO—Mesa West Capital has provided locally-based investment firm Stockbridge Capital Group with a $185 million loan to recapitalize 140 New Montgomery.

The 26-story historical class A building was constructed in 1925 as the headquarters for Pacific Telephone and Telegraph and was the tallest building in San Francisco at the time. The telephone company had owned the building until its acquisition by Stockbridge in 2007. The collateral includes a 411-stall, 8-story structured parking garage adjacent to the property.

Ownership is completing a $100 million renovation of the property which includes brand new state of the art building systems (including mechanical, electrical, plumbing and fire protection systems), a multi-million dollar seismic upgrade and more than 1,300 new operable windows in the tenant spaces. The property is anchored by business review website Yelp!, which leases approximately 150,000 square feet on 12 floors. Overall, the building is 90% leased. Other tenants include enterprise management software developer Software AG, online neuroscience research company Lumosity, design firm Knoll Inc., and three financial services firms.