SAN FRANCISCO—Regency Capital Partners has arranged a $24 million loan for the refinance of the mixed-use property at 220 and 244 Jackson St. in San Francisco. 220 Jackson St. is home to the Kokkari Restaurant on its street level, with two floors of office above.
The building next door, 244 Jackson St., has 5A5 Steakhouse on the ground floor with three levels of office above. The total square footage of both buildings is approximately 56,055.
RCP arranged the debt on behalf of William B. Baner of Parkfront Investment LLC and Ban-Jackson LLC, with Barclays Capital. The property was previously financed in December 2011 for a five-year term however the borrower wanted to obtain new financing for a longer term while fixed rates are at low ebb and the commercial office market is strong. The 10-year, non-recourse loan is interest-only for the full term with a fixed rate below 4.5%.
Michael Grausz of RCP led the advisory team securing the debt on behalf of Parkfront and Ban-Jackson.
The property was originally utilized as a two-story warehouse of brick and timber construction. The current owner acquired the property in 1997 and subsequently gutted and expanded it to 4-stories. The original exterior masonry walls remain intact on the first and second floors but have been covered with a stucco exterior. The renovation included a full seismic retrofit, installation of ADA upgrades and a modern mechanical and fire/life safety systems.
The properties are located in the prime area of Jackson Square, one of the oldest commercial neighbourhoods in San Francisco and now one of the most desirable locations for venture capital companies and professional offices.