$74.01M financing secured for Pittsburgh mixed-use community
JLL Capital Markets arranged the financing for the 471,939-square-foot SouthSide Works in Pittsburgh, Pennsylvania
PITTSBURGH, Oct. 26, 2022 – JLL Capital Markets announced today that it has arranged the $74.01 million financing for SouthSide Works, a five-property, 471,939-square-foot urban mixed-use property with office and retail space located in Pittsburgh, Pennsylvania.
JLL represented the borrower, SomeraRoad, to secure the 6-year, floating-rate loan through Dollar Bank.
Built in 2002 through 2004 and renovated in 2021, SouthSide Works is a premier development that consists of five buildings and is evenly split between office and retail use with 245,570 square feet of office space and 226,369 square feet of retail space. The Box Office, one of the buildings within the collateral, was recently redeveloped from a cinema into creative Class A office and retail space. The remaining buildings include 2800 Block, 2700 E Carson, 2600 B2 Block and 2600 E Carson.
The occupancy represents a WALT of 7.7 years and has experienced significant recent leasing momentum with over 80,000 square feet of new leases and 100,000 square feet of renewals/extensions. Tenants with recent renewals/extensions include Fred Rogers Productions, COhatch, General Dynamics, LA Fitness, Pins Mechanical, Speckled Egg and Common Place Coffee, 1:11 Juice Bar, Jeni’s Splendid Ice Creams, Back to the Foodture and Gossip & Nail Salon.
The development also benefits from large outdoor public spaces and parks, which have been updated with food and beverage vendors, basketball/pickleball courts and a dedicated dog park.
Situated at 424 S 27th St., the development is located across the river from world-renowned universities, including Carnegie Mellon University and the University of Pittsburgh, as well as medical centers, such as University of Pittsburgh Medical Center and Mercy Hospital. Additionally, Southside Works is a subset of the South Side neighborhood and is recognized for its live-work-play environment with top restaurants, nightlife, shopping, entertainment venues within short distance. The development is also proximate to the South Side Marina and Rivers Heritage Trail.
The JLL Capital Markets Debt Advisory team representing the borrower was led by Director Nick Unkovic and Analyst Jeremy Bernstein.
“The SouthSide Works is the original ‘live-work-play’ mixed-use property in the Pittsburgh market, and we are excited to place financing for SomeraRoad, which will help them bring the next generation of tenants to the property. Dollar Bank will be an excellent partner to SomeraRoad and SouthSide Works,” said Unkovic.
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 and sales advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.
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JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $19.4 billion, operations in over 80 countries and a global workforce of more than 102,000 as of June 30, 2022. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
SomeraRoad is a commercial real estate investment and development company focused on value-add and opportunistic transactions across all asset classes and geographies. The firm’s diversified expertise enables it to invest throughout the capital structure in debt, equity, and securitized products. With an initial focus on distressed and value-add investing, the company has since evolved into a diversified, vertically-integrated commercial real estate platform with a reputation for solving complex problems, becoming local experts, and thoughtfully executing business plans. The firm’s core businesses include Value-Add, Ground-Up Development, Opportunity Zone, Micro-Neighborhoods, Distressed Debt, and Net-Leased/Income Producing. Since its founding, SomeraRoad has acquired over $2 billion of commercial real estate debt and equity and manages approximately 25 million square feet of property in over 70 markets throughout the United States. SomeraRoad is headquartered in New York, NY and Nashville, TN, with additional offices in Pittsburgh, Indianapolis, Kansas City, Austin, and Cleveland. The company firmly believes that human capital is its strongest asset. For more information, visit someraroadinc.com.