Lenders Find Strong Sponsorship, Long-Term Lease As Plusses in Westchase
Borrower Parkway Property Investments recently obtained a five-year floating rate refinance loan for Two CityWestPlace, an office tower totaling 443,549 square feet at 2107 CityWest Blvd.
HOUSTON—Two CityWestPlace, an office tower totaling 443,549 square feet at 2107 CityWest Blvd., is located within the larger four-building CityWestPlace office complex in the Westchase submarket. The tower offers 20 stories of class-A office space, which is currently 99% leased.
The 29-acre park is positioned 12 miles west of downtown Houston along the Sam Houston Tollway near the Energy Corridor and CITYCENTRE, plus residential areas such as Briargrove Park, Spring Branch and West Memorial.
The asset recently obtained a refinance loan. JLL capital markets arranged the refinancing, working on behalf of the borrower Parkway Property Investments to secure the five-year floating-rate loan. Regions Bank led the loan and syndicated half with Citizens Bank. The JLL team representing the borrower was led by senior managing director Susan Hill, and analysts Jett Lucia and Sherri Rollins.
“Lenders were attracted to the extremely strong sponsorship as well as the fact the building is fully leased to an investment-grade tenant with a long-term lease,” Hill tells GlobeSt.com.
Tenants have access to various offerings shared across the four buildings, including expansive outdoor space, conference space, a dry cleaner, salon, dentist, car detailing and auto service, and multiple food and beverage options. The indoor/outdoor recreational offerings include two fitness centers, a jogging track, soccer field, basketball court, sand volleyball and bocce ball court.
On a geographical basis, technology-oriented and Sun Belt markets continue to drive office net absorption. Just eight markets, Silicon Valley, Dallas, Phoenix, Austin, Charlotte, San Francisco, Boston and Houston, accounted for roughly 44% of the occupancy gains in 2019, according to a report by JLL.