Mortenson Properties gets financing for The 324 office in Salt Lake City
Salt Lake City— JLL Capital Markets announced today that it has arranged financing for The 324, a 214,500-square-foot office building located at 324 S. State Street in Salt Lake City, Utah.
JLL worked on behalf of the borrower, Mortenson Properties, the real estate investment arm of M.A. Mortenson Companies, to secure the four-year, floating-rate loan, with a one-year extension, through ArrowMark Partners. The loan will allow for additional proceeds for the borrower to use towards planned renovations.
The 324 was converted to office space in the 1980’s from its historic roots as the famed Auerbach’s Department Store, which was originally constructed in 1911. The property’s office spaces average 38,000 square feet, with most recent renovations occurring in 2019 and future plans to implement a robust amenity package featuring the addition of a market-leading rooftop patio that will provide indoor and outdoor space and offering breathtaking views of the Wasatch Range.
The five-story property sits on 1.88 acres and is prominently located on the corner of State Street and Broadway at the heart of Downtown Salt Lake City, with tenants having access to the city’s bustling restaurant, entertainment and night life scenes, financial centers and shopping. Additionally, the office is just steps from the city’s most notable landmarks, such as the Eccles Theater, Gallivan Center and the 700,000-square foot City Creek Mall.
The JLL Capital Markets team representing the borrower was led by Senior Director Leon McBroom.
“This deal was placed on pause as a result of COVID-19, but we continued to track the debt market and advise Mortenson,” stated McBroom. “As lenders started to reenter the market in late May, Mortenson put the deal back under contract. We were thrilled with the feedback from quotes sourced from 10 different lenders. We ultimately elected to go with ArrowMark, and their balance sheet execution was deemed extremely important in eliminating execution risk.”
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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