TYSONS CORNER, VA-The Macerich Co. has secured a complex $850 million refinancing package for its landmark Tysons Corner Center retail center. The package was put together with the participation of three lenders -- Northwestern Mutual, Prudential Mortgage Capital Co., and TIAA-CREF, each of which kicked in $283.3 million.
The 10.3-year loan has a 4.10% interest rate. Scott Kingsmore, senior vice president of finance for Macerich said the financing closed in less than 30 days, despite its complexity.
Tysons Corner Center is a key asset in a massive project under development by Macerich consisting of a 22-story class-A office tower, a 429-unit, 30-story apartment tower and a 17-story hotel, all of which will be connected by a 55,000 square-foot pedestrian plaza. These buildings are not part of the collateral for the financing, but did offer additional appeal to the lenders, according to Kingsmore. Indeed, Tysons Corner Center is a regional retail star, considered to be one of the most successful malls in the United States.
Last year the project got a huge boost when Macerich and Alaska Permanent Fund Corp. revealed a slew of third-party development agreements, including with hotel specialist Woodbine Development Corp., multifamily development company Kettler, and Hines, which will manage the office development.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
