Macerich Nabs $230M Loan for Arrowhead Towne Center in Arizona
- Dec 08, 2011
December 8, 2011
By Barbra Murray, Contributing Editor
For the second time in one month, The Macerich Co. has completed a substantial financing deal with Prudential Mortgage Capital Co. The shopping center REIT recently got its hands on a $230 million loan secured by the 1.2 million-square-foot Arrowhead Towne Center in Glendale, Ariz.
“The deal was attractive given the strong sponsorship of Macerich, lack of direct competition to the mall, extensive trade area, and high quality asset with strong operating fundamentals,” Elizabeth Velazquez, a director with Prudential, told Commercial Property Executive.
The financing came in the form of a seven-year, fixed-rate first mortgage loan for the super-regional mall, which sits approximately 20 miles north of Phoenix. Macerich increased its ownership stake in the 18-year-old asset to 66.7 percent in June 2011, when it acquired General Growth Properties Inc.’s 33 percent interest.
Prudential’s faith in Macerich and its portfolio is evidenced by the commercial mortgage lender’s willingness to dole out what amounts to nearly half a billion-dollars within the last four weeks. On November 7, Prudential announced that hit had partnered with Northwestern Mutual Real Estate Investments to provide Macerich with a $200 million loan collateralized by the REIT’s 1.3 million-square-foot Los Cerritos Center in Cerritos, Calif.