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News release

SAN FRANCISCO, CA

Investors Demonstrate Risk Appetite for Micro Apartments

Jones Lang LaSalle raises $50M for multifamily property in San Francisco


SAN FRANCISCO, Feb. 18, 2014 — The country’s number one market for development and investment continues its hot streak. On behalf of Panoramic Interests, Jones Lang LaSalle’s (JLL) Capital Markets experts secured $50 million in construction financing for The Panoramic, a proposed multifamily complex that will feature 160 micro apartments. Washington Capital provided the first mortgage with TDA Investment Group providing the mezzanine financing.

Managing Director John Manning and Senior Vice President Alex Witt led the JLL team on the transaction.

“The Panoramic presented an incredible opportunity to invest in the nation’s strongest market, “said Manning. “Nearly half of the proposed buildings floors are already leased, demand for apartments in San Francisco continues to surge and the investor benefits from experienced, local sponsorship.”

San Francisco continues to drive job and population growth, creating a need for multifamily properties.  The development site is located at the corner of Mission and 9th Street in San Francisco’s walkable Mid-market. It is near several colleges, restaurants, parks and top employers including Twitter, who recently relocated headquarters. The Mid-market submarket has been a hotbed for recent development activity and tech relocation as more and more tech firms strive to create an urban presence.

In addition to Twitter’s headquarters, the area is home to Dolby, Square, Yammer, and One Kings Lane, and is widely recognized as one of San Francisco’s primary growth submarkets.

The Panoramic is slated to be an 11-story apartment complex on a 9,200 square-foot lot and plans to appeal to students and millennial renters by offering micro apartments: units that are less than 300 square feet and less costly in often expensive markets.  The Panoramic’s units will be 275 square feet and building amenities will include several common area spaces, a rooftop deck and a café and deli.

JLL’s U.S. Multifamily Capital Markets team includes more than 80 experts in 16 offices across 10 states. With an average of $42 million per transaction, the team has closed 97 multifamily sales and 204 debt and equity transactions in 2013, totaling more than $7 billion.  The figures represent a 245 percent increase in market share from the first half of 2012 to 2013 in deals of at least $25 million or more. http://bit.ly/15mbe2a

Jones Lang LaSalle 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 a sale, financing, repositioning, advisory or recapitalization execution. In 2012 alone, Jones Lang LaSalle Capital Markets completed $63 billion in investment sale and debt and equity transactions globally. The firm’s dealmakers completed $60 billion in global investment sales and buy-side transactions, equating to nearly $240 million of investment trades completed every working day around the globe. The firm’s Capital Markets team comprises more than 1,300 specialists, operating all over the globe.

For more news, videos and research resources on Jones Lang LaSalle, please visit the firm’s U.S. media center Web page: http://bit.ly/18P2tkv.

About Jones Lang LaSalle
Jones Lang LaSalle (NYSE:JLL) is a professional services and investment management firm offering specialized real estate services to clients seeking increased value by owning, occupying and investing in real estate. With annual revenue of $4.0 billion, Jones Lang LaSalle operates in 70 countries from more than 1,000 locations worldwide. On behalf of its clients, the firm provides management and real estate outsourcing services to a property portfolio of 3.0 billion square feet. Its investment management business, LaSalle Investment Management, has $47.6 billion of real estate assets under management. For further information, visit www.jll.com.