Dealmaker: Newmark Arranges $102M for Office, Hotel Properties

Newmark, San Francisco, arranged $75 million in fixed-rate financing for TOPA Financial Center, two 23-story Class A office towers in downtown Honolulu, Hawaii.

Located on the island of Oahu, the property includes 508,000 rentable square feet on a full city block.

Newmark Principal George Mitsanas and Associate Jasmine Polson arranged the fixed-rate financing. They placed the 10-year loan with a 30-year amortization schedule with a Newmark correspondent life insurance company lender.

“As some spreads contract to offset the minor increases in treasury rates, overall cost of commercial debt remains historically low for the best assets,” said Newmark Principal and CFO Michael Heagerty. “While many lenders assumed their commercial mortgage allocations would be met after an active first half, additional capital has become available for the second half of the year, although not for every asset class.”

Newmark also arranged $27.2 million in fixed-rate financing for the Stanford Park Hotel in Menlo Park, Calif. Principals Robert Slatt and Jeff Wilcox and Associate Charlie Kokernak arranged the non-recourse life insurance company loan.

The 162-room full-service hotel opened in 1984. Located on a single-parcel ground lease from Stanford University, the hotel borders the university, the Stanford Shopping Center and downtown Palo Alto.