PGIM secures $295 million green loan
PGIM Real Estate secured $295 million in green funding on behalf of its leading US grassroots real estate fund. The debt is backed by the 340-unit West Edge in Seattle, which PGIM acquired in February for $292.8 million, according to Yardi Matrix data.
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Urban visions sold the 39-story LEED Gold-certified residential tower in the Belltown submarket. Completed in 2018, the green building features up to three-bedroom units with floor plans averaging 984 square feet. West Edge includes two entertainment suites, a lounge with adjoining open-air terraces, a conference room, a fitness center and a rooftop terrace, among other amenities, as well as 11,000 square feet of retail space fully rented.
In the first half of the year, 81 communities totaling 12,953 units in the Seattle metro received some form of financing, with loans issued during that period totaling more than $2.7 billion, according to Yardi Matrix. Of this total, more than $480 million was for green buildings or developments proposed for LEED designation.
In June, Cushman & Wakefield helped Security Properties secure $193 million in joint venture debt and equity for the development of The Confidential, a 212-unit mixed-use project less than a mile from West Edge. Designed to achieve LEED Silver certification, the property is expected to go live in 2024.
PGIM Real Estate closed last year with nearly $22.4 billion in issuance worldwide, representing approximately 15% growth over 2020, driven by growth in bridge loans and solutions of preferred shares.
In addition to PGIM Real Estate’s core U.S. real estate fund, which earned a five-star Global Real Estate Sustainability Benchmark (GRESB) rating, the real estate investment and finance company also remains an active investor with more than 70% of its multi-family and office buildings. heritage classified in green buildings.
In early June, a partnership between CARROLL and PGIM sold a 3,564-unit multi-family portfolio of 12 properties across the Sun Belt for $885.5 million. In March, as asset manager of NEX, a major shopping center in northeastern Singapore, PGIM secured a $900 million green refinancing package issued by DBS, OCBC Bank and UOB. The mall is BCA Green Mark Goldplus certified.