Waterfront Property in Kirkland Features Six Buildings Totaling 440,000 Square Feet of Office, a 100-Room Boutique Hotel, 37,000 Square Feet of Retail, and 200 Slip Lake Washington Marina; Life Company Places Loan at Superior Terms Reflecting Asset’s High Quality and Sponsorship
Seattle, Wash. (September 14, 2021) – Gantry, the largest independent commercial mortgage banking firm in the U.S., has arranged a $190 million loan to recapitalize the Carillon Point mixed-use campus in Kirkland, Wash. Fronting Lake Washington, the 26-acre property features a mix of class A office, boutique hotel, and retail space and includes an active 200 slip marina.
“There are few workplace destinations that offer the hospitality and natural environment of Carillon Point, and we are dedicated to maintaining this environment for generations to come,” said Barbara Leland Manager of Carillon Properties. “As the original developer and continuous operator of Carillon Point for three decades, we understand the critical role that financing plays in maintaining the property’s class A standards and providing a significant return to our shareholders. We have worked with Mike Taylor at Gantry for over 20 years and our faith in his ability to source the best possible financing for us was rewarded with the loan terms we received.”
Gantry’s Mike Taylor, Principal, and Patrick Taylor, Senior Associate, with the firm’s Seattle office were engaged on an exclusive basis to secure financing for the property owners. The 15-year loan was placed with Principal Real Estate Investors.
“The ownership group wanted to take advantage of the current low interest rate environment to repatriate some of their equity in the property and lock in today’s rates for the long term,” said Mike Taylor, a Principal with Gantry. “Although the loan was too large for a number of the traditional insurance company lenders we typically go to, there were a number of competitive quotes. Principal Real Estate Investors pursued the transaction very aggressively from the outset, offered the most compelling loan term and closed the transaction as originally quoted. Gantry also arranged the previous financing for the borrowers in 2009 with a different lender during the depths of the financial crisis. This time around the ultimate loan terms were quite a bit better.”
Carillon Point is one of the premier commercial properties in the Pacific Northwest with 440,000 square feet of Class A office space in five buildings with a serene, natural environment that includes the lakefront Woodmark Hotel in a sixth building, with all six buildings featuring programmed retail locations tied to an active marina. Positioned on the Lake Washington waterfront across 26-acres, the property’s stands as an unrivaled and irreplaceable landmark destination.
“Principal Real Estate Investors is focused on identifying high-quality assets within top-tier locations, and Carillon Point certainly fits those criteria,” said Joe Koenigs, Managing Director with Principal Real Estate Investors. “While mixed use projects can be complicated to underwrite, Mike, Pat and their team at Gantry helped guide us through the process so that we were able to provide an attractive lending solution to the sponsorship.”
Gantry, a privately held company headquartered in San Francisco, is a full-service mortgage banking firm with an extensive lineup of correspondent lenders utilizing Gantry’s production, closing, and servicing capabilities. Established in 1991, Gantry is currently staffed by nearly 100 professionals in regional offices throughout the western United States and in New York. The company’s national servicing platform’s outstanding loan balance exceeding $17 billion represents more than 2,000 loans located in 43 states. For more information, please visit gantryinc.com.
About Principal Real Estate Investors
Principal Real Estate Investors manages or sub-advises $96.0 billion in commercial real estate assets (as of June 30, 2021). The firm’s real estate capabilities include both public and private equity and debt investment alternatives. Principal Real Estate Investors is the dedicated real estate group of Principal Global Investors, a diversified asset management organization and a member of the Principal Financial Group®.