NEW YORK, NY – HFF announced today that it has arranged $79 million in financing for The Confluence, a 288-unit, luxury residential tower in downtown Denver under development by PM Realty Group (PMRG) and National Real Estate Advisors (National).
Working on behalf of the PMRG/National joint venture, HFF secured a 48-month, 65 percent loan-to-cost construction loan through a national bank. In 2013, HFF arranged the joint venture partnership between PMRG and National to develop the high-rise tower.
The development site is situated on 1.21 acres at the southwest corner of 15th Street and Little Raven Street in the Riverfront Park area of the Lower Downtown district. The 34-story tower will provide mountain and skyline views and will include 10,000 square feet of retail and a 300-space underground parking garage. Due for completion in 2017, units will include one-, two- and three-bedroom options averaging 1,040 square feet. Community amenities will include a state-of-the-art fitness center, swimming pool with lounge and cabanas, spa, fire pit, game room, clubhouse and business center.
The HFF team representing the borrower included managing directors Rob Rizzi and Josh Simon, associate director Colin Oberg and real estate analysts Leon McBroom and Matt Gangaware.
“The Confluence will undoubtedly be the preeminent multi-housing property in Denver, offering an unmatched combination of location, lifestyle, design and amenities, and will serve as a striking addition to the Denver skyline,” said Rizzi. “PM Realty Group and National Real Estate Advisors have emerged as one of the foremost development partnerships for best-in-class multi-housing properties in the country.”
“This financing is very accretive to the development,” added Simon. “We built in a longer initial term with extension providing more of a mini-perm option without sacrificing the very low floating-rate or any other terms of the loan.”
Headquartered in Houston, Texas, PM Realty Group (PMRG) is one of the nation’s leading real estate companies focusing on comprehensive property services, development and acquisitions. With a strategic presence in 30 markets, PMRG provides the highest quality services to its clients and investors. PMRG’s clients and investors include large financial institutions, advisors and high net worth individuals. By capitalizing on the team’s experience and expertise, PMRG has the ability to undertake large and challenging management, leasing, development and acquisition projects. PMRG’s portfolio, including projects managed for third parties, includes commercial office buildings, mixed-use centers, corporate headquarters, industrial buildings, medical facilities, high-rise multifamily buildings and re-appropriated military facilities. Our goal is to generate exceptional returns for our clients and investors by focusing on real estate fundamentals. For additional information, visit www.pmrg.com or contact Kristen Burney, Vice President and Director of Marketing at kburney@pmrg.com or 713-209-5910.
National Real Estate Advisors has $2.3 billion in net assets under management invested in commercial and multifamily real estate valued at $7.5 billion (as of 9/30/14). Through its open-end fund and separate account for pension fund clients, the company invests in major U.S. urban markets, using a build-to-core strategy in large-scale development and redevelopment projects. National builds investment portfolios of stabilized modern property assets—apartment, office, mixed-use, industrial, data centers and hotels—with design features, technological enhancements, and amenities that can drive high tenant demand and create value over time. The firm is a subsidiary of the National Electrical Benefit Fund. For more information visit, www.natadvisors.com.
HFF (Holliday Fenoglio Fowler, L.P.) and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 23 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.