NorthPark Management Company has agreed to refinance a Dallas Shopping center that is nearly fully leased for $1.2 billion.
Wells Fargo led the loan-providing efforts on the NorthPark Center property, with both Goldman Sachs and Morgan Stanley playing roles. The new debt will get rid of the existing one.
NorthPark, which is run by the Nasher/Haemisegger family, will use the proceeds to buy back all equity interests in the property.
According to JLL, which represented NorthPark on the refinancing, the Class AA++ asset is "recognized as one of the top five shopping destinations in the United States." It gets traffic from wealthy surrounding neighborhoods, including Preston Hollow, University Park and Highland Park, the brokerage said. Plus, Dallas' strong job market helps.
The 1.9 million square foot property hosts major tenants, including Nordstrom, Macy's, Dillard's, Eataly, AMC and Neiman Marcus. Occupancy overall sits at 98.6 percent. In addition to shopping and dining, the NorthPark Center is known for its public arts programs, which includes partnerships with artists, universities, galleries, museums and institutions. More than 190 rent space at NorthPark Center, which has been around for 60 years.
"The property's exceptional performance metrics, strategic location and elevated shopping experience make it one of the most successful shopping centers in the country," JLL Managing Director Timothy Joyce said in a statement.
In the second quarter, Dallas-Fort Worth posted the sixth-best retail vacancy rate, at 4.8 percent, according to a market report from Colliers. However, the metro had the most retail space under construction, with 7.2 million square feet underway.
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