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Tuesday, 05 December 2017

Blackstone Mortgage Lends $200Mln Against San Jose, Calif., Office

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Blackstone Mortgage Trust has provided $200 million of financing to facilitate the $225.5 million, or $373.55/sf, purchase of the 603,666-square-foot headquarters of Brocade Communication Systems in San Jose, Calif.

As reported, the three-building property, at 110, 120, and 130 Holger Way, was purchased by a venture led by Lane Partners of Menlo Park, Calif., from Brocade, which last month was acquired by Broadcom Ltd.

The property's sale and the mortgage were arranged by NKF Capital Markets.

While the property is still fully occupied by Brocade, the thinking is that the company eventually will be vacating. As part of its acquisition, it's already announced it would be laying off more than 400 employees at the San Jose headquarters.

The property, constructed specifically for Brocade in 2010, sits on 10 acres at the intersection of State Highway 237 and North First Street. It includes a parking garage with a capacity of 1,821 vehicles and has a solar-energy system on its rooftops. It has earned the LEED Gold certification and includes grilling areas, a basketball court, fitness center with locker rooms, game room and 300-seat cafeteria.

The property, now referred to as HQ@first, is next to a rail station, providing access to the CalTrain, Amtrak and Ace Train systems and soon to the Bay Area Rapid Transit system. It's also across from the @First retail center, an 84,000-sf property owned by American Realty Advisors whose tenants include CVS, Target, Chick-Fil-A, Five Guys and Panera.

Comments? E-mail Orest Mandzy, or call him at (267) 327-4281.



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Additional Info

  • Syndicate to Realpoint: No
  • Cities: San Jose
  • States: California
  • Sector: Office
  • Subject: Mortgages/Financing (MOR)
  • Company: Blackstone Real Estate Advisors
  • Valuation: More than $150 million
  • Private: No
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Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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Top Bookrunners Domestic, Private-Label CMBS - 2016
Investment Bank #Deals Vol$mln MktShr%
JPMorgan Securities 14.94 10,350.16 15.14
Deutsche Bank 14.21 9,926.60 14.52
Wells Fargo Securities 13.36 9,513.96 13.92
Citigroup 10.87 8,061.79 11.80
Goldman Sachs 10.05 7,563.72 11.07

 

RCA CPPI

 

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CMBS 2.0 Spreads

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Top CMBS Loan Contributors - 2016
Lender #Loans Vol$mln MktShr%
JPMorgan Chase Bank 133.67 8,670.33 13.34
Goldman Sachs 156.20 7,418.37 11.41
Deutsche Bank 178.17 6,510.75 10.02
Citigroup 184.41 5,512.20 8.48
Morgan Stanley 113.18 4,130.53 6.35

 

 

 

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