Dealmaker: HFF Secures $156.2M for Washington, Texas Offices

Holliday Fenoglio Fowler, Houston, secured a $95.5 million construction loan for Centre 425, a 16-story, 363,000-square-foot office project with ground floor retail space in Bellevue, Wash.

Working on behalf of Schnitzer West LLC and an institutional investor, HFF’s debt placement team of Senior Managing Director Michael Tepedino, Managing Director Tom Wilson and Director Jennifer Keller placed the loan with a national bank. It represents the second construction financing HFF secured on behalf of Schnitzer for Seattle-area development projects in the past year. 

Centre 425 broke ground in December 2014 at the corner of 4th Street N.E. and 106th Ave. N.E. in downtown Bellevue, 10 miles east of Seattle. Upon completion in the fourth quarter, the Class A office development will feature flexible floor plates allowing for modern layouts and workspaces. 

The property, located two blocks from the Bellevue Transit Center and four blocks from Interstate 405 on Lake Washington, will have 8,800 square feet of retail space. Bank of America and a high-end coffee shop have pre-leased the retail portion.

HFF also arranged $60.7 million in post-closing acquisition financing for Galleria Place, two Class A office buildings totaling 401,000 square feet plus a stand-alone retail site across from the Galleria Mall in Houston.

Working on behalf of an affiliate of Lincoln Property Co. and a pension fund client, HFF placed the three-year floating-rate, interest-only loan with ACORE Capital, Larkspur, Calif. HFF Senior Managing Director Susan Hill led the debt-placement team.

Located directly across from the Houston Galleria retail center, Galleria Place consists of Galleria Place I (5251 Westheimer), an 11-story, 217,000-square-foot office building; Galleria Place II (5333 Westheimer), a 10-story, 178,500-square-foot office building; Sage Plaza, a 6,000-square-foot retail building, and a single-story Regions Bank branch.