The Wharf Lands $847M Construction Loan For Phase 2
The development team behind The Wharf has landed its second $800M-plus loan this year.
Hoffman-Madison Waterfront, a partnership of Hoffman & Associates, Madison Marquette and PSP Investments, announced Thursday it obtained an $847M construction loan for The Wharf's second phase.
Goldman Sachs led the syndicate, along with Starwood Capital Group, Mack Real Estate Group and Pentagon Federal Credit Union. Eastdil Secured brokered the deal.
The team says it is the largest private construction loan in D.C.'s history. It comes just three months after The Wharf secured an $800M loan with a Wells Fargo-led syndicate to refinance the project's first phase.
Phase 1 of The Wharf delivered in October 2017 with three hotels, two office buildings, two apartment buildings, two condo buildings, a 6,000-person concert venue and a host of restaurants and retailers.
The Hoffman-Madison Waterfront team broke ground in March on Phase 2, set to include another 1.5M SF of mixed-use development along the Southwest waterfront, directly to the east of the first phase. The development team in December signed Williams & Connolly to anchor Phase 2 with a nearly 300K SF lease. The project is scheduled to deliver in 2022.
"Due to the quality of sponsorship and unparalleled value of The Wharf, this was one of the nation's most competitive construction loans with significant interest from several financial institutions interested in fully underwriting the loan," Eastdil Secured Managing Director Nicholas Seidenberg said in a release.
