Financing Closes for Bravern Office Commons
- Jan 18, 2011
January 18, 2011
By Barbra Murray, Contributing Editor
With the assistance of real estate services firm Holliday Fenoglio Fowler L.L.P., Principal Global Investors secured $205 million in financing for the acquisition of The Bravern Office Commons, the 755,000-square-foot office component of the mixed-use The Bravern development in Bellevue, Wash. Principal Global, acting on behalf of a client, purchased the Microsoft-occupied office complex from Investcorp and joint venture partner Schnitzer West L.L.C. for an aggregate $410 million.
Located 10 miles outside Seattle in Bellevue’s central business district, Bravern Office Commons is the centerpiece of the 1.6 million square-foot Bravern, which also encompasses two buildings featuring 455 upscale residential units, a retail village offering 310,000 square feet of high-end retail and a seven-level parking facility.
Financing for Principal Global’s acquisition of Bravern Office Commons came in the form of a 10-year fixed-rate loan from Pacific Life Insurance Company. The capital markets are loosening up, but high-end properties like Bravern Office Commons, which opened its doors in 2009, are the ones that are really catching the attention of lenders. Deloitte L.L.P. bottom lines it in its 2011 outlook report. “Owners of trophy properties have been able to obtain new financing from sovereign wealth funds, insurers, private equity firms, and even some CMBS, while owners of lower-tier properties have had few options.”