CBRE secures financing for Charleston mixed-use developments
March 8, 2016
CBRE’s Capital Markets Debt & Structured Finance team has secured a $35 million loan to recapitalize an 89,919-sq.-ft. creative mixed-use development called Half Mile North and provide construction financing for a similar and associated 131,174-sq.-ft. development to be called Pacific Box & Crate in Charleston, S.C. Jeff Ackemann and Porter McDonald of CBRE’s Atlanta office arranged the financing from Citizens Bank on behalf of Raven Cliff Company, LLC, which is the developer of the two projects.
Half Mile North is close to being delivered and is nearly fully leased. Pacific Box & Crate, one-fourth of a mile away from Half Mile North, is slated to deliver in the fourth quarter of 2016 and will provide additional creative office space and retail, drawing from the tech and creative synergies at Half Mile North.
“This is a first of its kind for Charleston,” Ackemann said. “Half Mile North and Pacific Box & Crate are first movers in a unique and rapidly developing northern peninsula location, combining creative office and a thoughtful mix of retail that comes at the right time, capitalizing on Charleston’s demand for more authentic environments with room to grow. It presents an alternative to Charleston’s traditional downtown office environment, directly in the path of Charleston’s northward growth. The financing helped to create the type of environment, attracts talent, with creative office workers, chef-driven restaurants, upscale coffee shops, high-end retail and even a brewery on-site.”
Creative office tenants BoomTown and Phish Labs have signed leases at Pacific Box & Crate, and Blue Acorn already occupies space at Half Mile North. Half Mile North and Pacific Box & Crate together encompass 221,093 square feet that is a combined 83% leased with leases pending for nearly all of the remaining availability.
“Dubbed ‘Silicon Harbor’, Charleston has become a hotbed for technology firms that are experiencing tremendous growth and attracting top talent to the area,” Ackemann said. “These tech-based companies have unique needs and the Upper Peninsula provides the opportunity to build flexible space custom made to fulfill tenant requirements and accommodate rapid expansion.”
Raven Cliff’s Stephen Zoukis added “We are gratified at the strong leasing response we have enjoyed. It is very rewarding to participate in the early stage of developing a modern, efficient neighborhood to accommodate Charleston’s vibrant economy without adding yet more pressure to its historic district.”
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.
