Mesa West Capital completes string of loans

Mesa West Capital has provided a $68m loan to Prudential Real Estate Investors and GlenStar Properties for the acquisition and repositioning of 311 West Monroe in downtown Chicago, Illinois. The financing follows a $220m loan Mesa West provided to Sterling Bay and a $48m loan to Laurus Corporation. Mesa West’s loans are typically five-year floaters.

Mesa West Capital has provided a $68m loan to Prudential Real Estate Investors and GlenStar Properties for the acquisition and repositioning of 311 West Monroe in downtown Chicago, Illinois.

311 West Monroe
311 West Monroe

The Los Angeles-based lender has been active this month with a string of loans that included the $220m financing  of a Chicago trophy tower and a $48m loan to Laurus Corporation in its home state. Mesa West’s loans are typically five-year floaters.

The sponsor plans to reposition the 364,000 sq ft property through a renovation and new leasing campaign following anchor tenant BMO Harris Bank’s departure in December, which left the building more than 80% vacant.

The joint venture purchased the 15-story office property for a reported $58m from Golub & Co. and a Goldman Sachs affiliate the previous month. The previous joint venture had paid $44m for the property in June 2012.

Mesa West principal Ronnie Gul, who originated the financing for Mesa West Capital, said the combination of strong sponsorship in a key location, in downtown Chicago’s West Loop neighborhood, should enable the asset to “outperform the market” once the renovation is complete. Eastdil Secured arranged the financing.

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