HFF Secures $54.7 Million Financing for Pittsburgh Office Campus

PITTSBURGH, PA–HFF arranged $54.65 million in financing for the Allegheny Center Office Complex, a three-building campus totaling 1.22 million square feet on Pittsburgh's North Shore, which owner Faros Properties says will be extensively renovated.

Working on behalf of Faros Properties, LLC, HFF placed the three-year, floating-rate loan with Wells Fargo Bank.  Loan proceeds were used to purchase the property and make capital improvements. 

Allegheny Center Office Complex consists of One and Two Allegheny Square and the Concourse in addition to a parking garage with 2,550 spaces.  Originally built as a shopping mall before its office conversion in the early 1990s, the Concourse is the largest of the three buildings at 804,268 square feet. The eight-story One Allegheny Square has 156,914 square feet, and the 13-story Two Allegheny Square has 265,953 square feet. 

Tenants include PNC, Bank of America and numerous data center companies.  Located along Pittsburgh's North Shore in the Greater Downtown Pittsburgh market, the property is blocks from the Pittsburgh Light Rail Transit, known as the “T.”  Faros is planning significant capital improvements to the complex.

The HFF debt placement team representing the borrower was led by executive managing director Gerard Sansosti, senior managing director Nick Matt and senior real estate analyst Tom Rieck.

“Faros has done a tremendous job with the apartments at Allegheny Center, and their plans for the office portion of the complex are very exciting,” says Sansosti.  “They have brought a fresh approach to the Pittsburgh commercial real estate market, and their long-term approach is positive for the assets that they have acquired.”

Faros Properties is a New York City-based real estate investment firm established by Jeremy Leventhal, Alexander Leventhal and Elliot Gould as a platform to target long-term private investment opportunities.  Faros primarily targets core investments in supply-constrained markets with high concentrations of intellectual capital.  Faros and its predecessor companies trace their roots to family-owned operations.