Northwestern Mutual has provided $563.5 million to TIAA for the refinancing of three office properties in Boston, Massachusetts, Washington, DC, and Miami, Florida.
The largest of the three-property financing is a 12-year, $216.5 million loan on The Newbry at 501 Boylston Street in Boston, a 10-story, 607, 685 sq ft office building that TIAA (formerly TIAA-CREF) purchased for $370.7 million in December of 2006.
The property, built in 1941, was renovated in 2004 by the previous owner, Beacon Capital Partners, which had purchased it in December of 2002 for $122.6 million. Major tenants include LEGO, Putnam Associates and Genscape.
The financing — for the TIAA Real Estate Account with Northwestern — also included 1900 K Street NW in Washington, DC and 701 Brickell Avenue in Miami, Florida, TIAA confirmed.
“The loans were obtained to help manage the debt maturity schedule of the TIAA Real Estate Account while generating funds for additional investments,” Bill Daniel, senior director and head of Real Estate Finance with TIAA Global Asset Management, wrote in an email to Real Estate Capital.
The $163 million loan at 1900 K Street NW in DC refinances a 13-story, 337,439 sq ft office building that TIAA acquired for $219.9 million in December of 2004. The previous owner, a joint venture between Hines and the California Public Employees’ Retirement System (CalPERS), paid $132.5 million for the asset in October 2000. The property was built in 1996.
Last week Real Estate Capital reported the $184 million mortgage on the 33-story, 677,700 sq ft office tower at 701 Brickell Avenue in Miami.