PCCP Lends $123M for Refinance of Massive, Seattle Mixed-Use Asset
American Life has nabbed a $122.7 million loan to refinance a 717,684-square-foot office and hospitality property in Seattle, the developer announced Wednesday.
PCCP provided the financing for 255 South King Street, a property that was completed in 2018, and consists of a 209,476-square-foot office tower plus a 23-story, 282-room Embassy Suites by Hilton hotel.
A Cushman & Wakefield equity, debt and structured finance team of Dave Karson, Chris Moyer, Stephen Michels, Zachary Kraft and Lauren Greenberg represented the borrower as exclusive advisor on the transaction.
“We are glad that we decided early on to keep the Embassy Suites open, albeit with reduced staffing, during the pandemic so that we could be poised to take advantage of the unique opportunities during the pandemic and could ramp up quickly when demand returned,” Larry Ice, CFO of American Life, said in a statement.
The hotel includes 10,000 square feet of meeting and event space, a pool, fitness center and parking garage, along with 17,292 square feet of retail space. The 11-story office tower is 100 percent leased and sits atop a seven-story retail and parking garage podium.
The property is located within Seattle’s Pioneer Square neighborhood. It is a short walk from T-Mobile Park, the home of Major League Baseball’s Seattle Mariners, and Lumen Field, home of the National Football League’s Seattle Seahawks and Major League Soccer’s Seattle Sounders FC.
“We had strong credit support from the office building which helped offset the softer market demand for the hotel during the pandemic,” C&W’s Karson said in a statement. “But this particular hotel is recovering well and the location down by the stadium has become very appealing given access to both Bellevue and Downtown Seattle.”
Officials for PCCP did not immediately respond to a request for comment on the refinancing.