Real estate development firm Jamestown announced Monday it has procured a $180 million construction loan to contribute to the development of Ponce City Market.
This loan, spearheaded by PNC Bank, N.A., in partnership with SunTrust and JP Morgan, is the largest construction loan in post-recession Atlanta. To-date, Jamestown has funded 100 percent of the project cost in the Ponce City Market project from its own equity and had secured office tenants such as athenahealth, Cardlytics, and MailChimp as well as the Suzuki School and Binders in advance of seeking financing.
“PNC, SunTrust and JP Morgan have all been wonderful lending partners for us over the years, and we could not be more pleased to have all three relationships involved in one of our signature projects,” Shak Presswala, Jamestown’s head of capital markets, said in a press release.
Slated for a fall 2014 rolling opening, the 1.1 million square-foot restoration of the former historic
Sears, Roebuck & Company building is the
largest adaptive reuse project in Atlanta's history.
Ponce City Market will combine approximately 330,000 square feet of
retail and restaurants, including a Central Food Hall, 517,000 square
feet of Class-A loft office space and 259 residential flats.
The evolution of Ponce City Market will focus on preserving the building’s historic character and enhancing its connection to the surrounding community. Ponce City Market will also have a new pedestrian bridge which will link the interior courtyard and public market directly to Atlanta’s popular BeltLine trails.
CB Richard Ellis advised Jamestown in the efforts to secure financing for the asset. “CBRE is pleased to have represented Jamestown in the recapitalization of Ponce City Market, one of the most iconic historic mixed use developments in the Southeast. We are delighted to be a part of Jamestown’s efforts to fully realize its vision for Ponce City Market,” Jeff Ackemann, executive vice president with CBRE Atlanta’s Debt and Structured Finance Group, said in the release.
commitment to supporting mixed-used projects in the Atlanta community
is reflected in our collaboration on this Ponce City Market deal.
Jamestown’s investment in the heart of the city will be a catalyst for
continued growth and a driver for employment for hundreds of residents," Chad McMasters, PNC real estate banking Georgia market manager, remarked in the release.