$210M Refinances Mixed Portfolio

Seligman's new funding finances each property individually, without cross-collateralization or cross-defaulting, via 10-year, interest only loans through Bank of America. Holliday Fenoglio Fowler's Susan Hill, Scott Galloway and Paul Brindley of the company's Houston and Los Angeles offices report that the borrower sought the loans to refinance floating rate debt and to lock in long term rates with the current historically low fixed terms available. Hill, Galloway and Brindley arranged the loans for Seligman & Associates Inc. and its affiliates. The multifamily portfolio properties, built in the late 1920s and early 1930s and substantially renovated since then, average more than 95% occupancy. The seven multitenant office properties, which comprise more than one million sf and were built in the late 1980s and early 1990s, have consistently maintained some of the highest occupancies in their respective submarkets. Seligman was the original developer on three of them, then bought the remaining four in the late 1990s and 2000. The two retail properties total 217,315 sf.

Seligman, which maintains corporate offices in San Francisco and Michigan and is planning a Century City office, was founded in 1954 and has developed throughout the West. The 12 Los Angeles properties in the portfolio that it financed include 61-unit Gramercy Towers, 32-unit Gramercy Manor, 58-unit Serrano Towers, 61-unit Sir Francis Drake, 59-unit St. Andrew Manor, 76-unit The Barclay, 81-unit The Du Barry, 55-unit The Fleur De Lis, 51-unit The Fontenoy, 54-unit The Havenhurst, 183-unit The Langham and 75-unit The Piccadilly. The seven Orange County and Los Angeles County office/flex properties that were refinanced include the 143,650 sf Anaheim Hills Business Center, the 148,742 sf Bridgecreek Garden Grove, the 188,040 sf Capistrano Business Center Phase I and the 98,347 sf San Juan Capistrano Business Center Phase II, the 131,082 sf Cedarbrook Business Park Office in Garden Grove, the 113,788 sf Fountain Valley Commerce Center in Fountain Valley and the 208,493 sf Valley View Commerce Office in Santa Fe Springs. The two retail properties include the 53,004 sf Ocean Dorado Retail in San Francisco and the 164,311-sf Crossroads at Sunset Retail in Henderson, NV.