CIBC World Markets has provided $60m in acquisition financing for the office space at the KOIN Center, a 352,000 sq ft, Class A office tower in downtown Portland, Oregon.
The five-year floating-rate loan is structured with an initial funding of $50m and $10 m of future advances for renovations.
ScanlanKemperBard Companies paid $88m for the 19-floor office portion of the 34-story skyscraper in January and plans to upgrade the lobby, common areas and certain office suites. The seller, American Pacific International Capital, had purchased the offices for $53m in 2009.
“We’re excited to have this rare opportunity to purchase what was once arguably downtown Portland’s most desirable office property,” said SKB president and principal Todd Gooding, according to reports. “We plan to invest heavily in renovations that will return the landmark to prominence and provide vastly improved office space options in an increasingly tight Class A market.”
The building, at 222 Southwest Columbia Street, is divided into offices and residential condominiums, and it also houses local news station KOIN-TV. The building features 44 high-end residential condominiums on floors 20 through 33. The property was about 85 percent leased at the time of acquisition by tenants including Schnitzer Steel Industries, Skanska, Wells Fargo Advisors, Potbelly Sandwich Works and Mika Sushi.
HFF managing director Tom Wilson and associate director Erica Christensen arranged the financing.