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CHICAGO-Prudential Real Estate Investors and Prudential Mortgage Capital Co. have completed the financing for the merger of Boston-based Heritage Property Investment Trust and Bradley Real Estate Inc., which is based here.

While the combination was billed as a merger, Bradley REIT CEO Thomas D’Arcy said the deal is essentially a takeover of Bradley REIT by Heritage REIT.

The total financing package is $760 million, which involves $100 million of equity, which will leave Prudential with an 8% stake in Heritage, $235 million in mortgage financing and arrangement of $425 million in unsecured bank credit.

Prudential will be securitizing the $235 million mortgage portion of the financing in a single borrower CMBS issue next month. This deal will be separate from Prudential’s planned $1 billion CMBS conduit that will also be launched next month.

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