Houston Office Tower Gets $147M Loan

Natixis originated the floating-rate loan for the refinancing of San Felipe Plaza, a Class A asset in the Galleria/Uptown submarket.
San Felipe Plaza
San Felipe Plaza

CPP Investment Board has secured a $147.3 million floating-rate loan for the refinancing of San Felipe Plaza, a Class A office tower in Houston. Natixis originated the loan, which will be used to pay off the existing loan, cover financing and closing costs and fund future leasing costs at the property. Financing was arranged by Susan Hill of HFF.

Located at 5847 San Felipe St., the 46-story asset has 980,473 square feet of office space and is located within the Galleria/Uptown neighborhood. Managed by Parkway Properties, the property was renovated in 2015 and features amenities such as a fitness center, multiple dining options, a conference center and a 9-story parking garage with 2,591 spaces. Additionally, the property is LEED Silver certified and Energy Star labeled.

The existing loan matures in December and was worth $110 million, according to Yardi Matrix data. CPP Investment Board acquired the asset in 2005 from EQ Office in a portfolio sale that totaled $280.5 million and included five other properties.

Last month in the same Houston submarket, Health Care Service Corp. renewed its lease for 48,214 square feet at 1800 W. Loop S., a KBS Realty Advisors-owned property.

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