JLL Arranges Financing for Mixed-use Salt Lake City-area Center
Salt Lake City— JLL announces that it has secured permanent financing for Holladay Marketplace, a 22,151-square-foot, fully leased, mixed-use retail and office property in the suburban Salt Lake City community of Holladay, Utah.
JLL worked on behalf of the borrower, Rockworth Companies, to secure the 15-year, sub-4.5 percent, non-recourse, fixed-rate loan with a national private debt fund. Loan proceeds will be used to repatriate owner equity on the recently constructed project that is already 100 percent leased.
Holladay Marketplace is part of the Holladay Village Square master-development, which was developed by the borrower in 2014 and awarded the 2018 Urban Design Utah Legacy Award for the thoughtful town center and plaza design. Featuring wood-frame construction with a brick, stucco and glazed-glass exterior, the two-story Holladay Marketplace is net leased to a diverse tenant mix that consists of four retail tenants on the main level and two office tenants on the second floor.
Located 10 miles south of downtown Salt Lake City, Holladay Marketplace is situated on 1.15 acres at 4667 South 2300 East in the heart of Holladay, one of Salt Lake City’s premier affluent submarkets. The property is in a highly coveted location within Salt Lake City’s Central East submarket and situated on a hard corner just south of the junction of Holladay’s two main thoroughfares, 4500 South and 2300 East. The property benefits from exposure from those two main streets as well as being surrounded by residential neighborhoods.
The JLL Capital Markets team representing the borrower was led by Managing Director Mike White
“The unique attribute of this loan was the long-term, 15-year, fixed-rate structure open to prepayment any time after the second year,” Mr. White said. “The prepayment fee was fixed at a nominal amount and was not yield or defeasance driven. This offered both long-term interest-rate protection and the flexibility of an affordable prepayment option if desired by a subsequent purchaser in future years. The investment objectives of the owners were perfectly optimized by this highly-unusual feature.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment advisory, debt placement, equity placement or a recapitalization. The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.
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