Daily market intelligence on mortgages, equity raising, investment sales, and CMBS.

Friday, 03 November 2017

Macerich Eyes Mortgages for Broadway Plaza, Tysons Tower

The mall REIT, which during the latest quarter generated $391 million of excess proceeds from recent financing activity, is looking at placing mortgages against two unencumbered assets: the Tysons Tower office building that it started developing three years ago in suburban Washington, D.C., and Broadway Plaza, a recently revamped retail center in Walnut Creek, Calif.

Commercial Real Estate Direct Staff Report

Macerich Co. is considering placing a mortgage against its Tysons Tower, a 529,000-square-foot office building that's connected to its Tysons Corner mixed-use complex in suburban Washington, D.C.

The 22-story building, developed on a speculative basis three years ago in Tysons Corner, Va., is just about stabilized, making it ripe for a permanent loan. It's currently unencumbered and likely could support more than $100 million of financing, given that office properties in the Tysons Corner area have been selling for prices approaching $300/sf.

Macerich owns the property with the Alaska Permanent Fund. It was developed as part of an expansion of Tysons Corner Center, a 1960s-era mall that remains among the country's top performing properties, with inline stores generating $980/sf in annual sales, and has become the centerpiece of a mixed-use property that also includes a 300-room Hyatt Regency hotel and Vita, a 30-floor luxury apartment building with 429 units.

Tenants at Tysons Tower include Intelsat, which occupies 188,000 sf under a lease that runs through 2027, and Deloitte, which takes 88,000 sf under a lease that also runs through 2027.

Meanwhile, the company also is...


“The Weekly”

“The Weekly” is Commercial Real Estate Direct’s PDF newsletter, sent to subscribers every Friday morning. With over 100 news stories published on Commercial Real Estate Direct each week, “The Weekly” features the top stories in commercial real estate that industry participants need to know first. “The Weekly” also contains:

  • Breaking mortgage, CMBS, and REIT news

  • Quarterly league tables with rankings of B-piece buyers, book runners, and lenders

  • Industry moves and changes in “The Insider“

Data Digest







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




cppichart FP



CMBS 2.0 Spreads


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





  • Challenging Retail Environment Weights on REITs
    Mixed economic news is weighing on retail markets, pushing REIT performance down in 2015. This week, the National Retail Federation announced that back-to-school spending is expected to be down 9.3% in 2015. This news came on the heels of a report from the Commerce Department stating that retail sales declined 0.3%...
  • US REITs Feeling Effects from Turmoil in Greece and China
    International economic forces have taken center stage this week, affecting both US stock markets and REITs. The crash in the Chinese stock market and ongoing concerns about the future of Greece in the eurozone drove markets down during the first half of the week. REITs fared better than the overall market...

  • What Does Increased Construction Mean for Apartment REITs?
    REITs so far this year have raised $17.1 billion of capital through the sale of unsecured notes, bringing the total raised over the past two and a half years to just more than $75 billion. That’s more than they raised during the previous five years. The massive volume shouldn’t be a surprise as it comes while the yield from 10-year Treasury bonds, the benchmark...
shouldn’t be a surprise as it comes while the yield from 10-year Treasury bonds, the benchmark against which most REIT’s price their bonds