Hudson Pacific Completes $455 Million Bentall Centre Loan Refinancing

Rhea-AI Summary

Hudson Pacific Properties, Inc. (NYSE: HPP) successfully refinances Bentall Centre loan, securing a $454.8 million mortgage at a fixed rate of 4.36%. No debt maturities until December 2024. Significant capital investments and strong operating performance underscore the quality of the asset.

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• Successful refinancing secures a fixed-rate mortgage, ensuring financial stability until 2024.
• Significant capital investments and high lease rate demonstrate strong asset quality and operating performance.

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• None.

LOS ANGELES--(BUSINESS WIRE)-- Hudson Pacific Properties, Inc. (NYSE: HPP), a unique provider of end-to-end real estate solutions for tech and media tenants, announced today the successful refinancing of the loan secured by Bentall Centre, a 1.5 million-square-foot office property located in Vancouver, British Columbia and owned in partnership with Blackstone.

Upon the closing of this refinancing, Hudson Pacific has no debt maturities until December 2024. The new $454.8 million mortgage loan amount (reflects prior day foreign currency exchange rates from CAD) bears an interest rate of 230 basis points over CORRA, which the partnership swapped to a fixed rate of 4.36%, and matures in 2027. The loan was refinanced by the original international and domestic lending group led by RBC.

"In partnership with Blackstone, we are pleased to have successfully refinanced our loan secured by Bentall Centre, which underscores the quality of the asset and the associated strong operating performance," said Chief Financial Officer, Harout Diramerian. "Hudson Pacific now has no debt maturities until December 2024, as we continue to take a strategic and multifaceted approach to fortifying our company’s balance sheet."

“Bentall Centre is well positioned for the future, and we look forward to continuing to serve as a home for so many of Vancouver’s incredible companies,” said Chuck We, Executive Vice President, Pacific Northwest and Canada Office Operations.

Since acquiring the property in 2019, Hudson Pacific and Blackstone have made significant capital investments in Bentall Centre to ensure the campus remains a vibrant part of the downtown core. These include asset modernization, the addition or redesign of tenant-specific amenities, as well as the curation of publicly accessible outdoor plazas to incorporate an array of events, pop-up retailers and art exhibits, such as the recently installed OVERFLOW IV sculpture by world-renowned artist Jaume Plensa. The partnership also added programmable LED lighting to the tower crowns, making Bentall Centre a dynamic night-time landmark within the Vancouver skyline. During Blackstone and Hudson Pacific’s ownership, the property has maintained a leased rate of more than 90%.

About Hudson Pacific Properties

Hudson Pacific Properties (NYSE: HPP) is a real estate investment trust serving dynamic tech and media tenants in global epicenters for these synergistic, converging and secular growth industries. Hudson Pacific’s unique and high-barrier tech and media focus leverages a full-service, end-to-end value creation platform forged through deep strategic relationships and niche expertise across identifying, acquiring, transforming and developing properties into world-class amenitized, collaborative and sustainable office and studio space. For more information visit HudsonPacificProperties.com.

Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as "may," "will," "should," "expects," "intends," "plans," "anticipates," "believes," "estimates," "predicts," or "potential" or the negative of these words and phrases or similar words or phrases that are predictions of or indicate future events, or trends and that do not relate solely to historical matters. Forward-looking statements involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond the company's control, which may cause actual results to differ significantly from those expressed in any forward-looking statement. All forward-looking statements reflect the company's good faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, the company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause the company's future results to differ materially from any forward-looking statements, see the section entitled "Risk Factors" in the company's Annual Report on Form 10-K filed with the Securities and Exchange Commission, or SEC, and other risks described in documents subsequently filed by the company from time to time with the SEC.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231109675524/en/

Investor Contact

Laura Campbell

Executive Vice President, Investor Relations & Marketing

(310) 622-1702

lcampbell@hudsonppi.com

Media Contact

Laura Murray

Senior Director, Communications

(310) 622-1781

lmurray@hudsonppi.com

Source: Hudson Pacific Properties, Inc.

FAQ

What is the company name and ticker symbol of the provider of end-to-end real estate solutions for tech and media tenants?

The company is Hudson Pacific Properties, Inc. and its ticker symbol is HPP.

What is the mortgage loan amount secured by Bentall Centre?

The new mortgage loan amount is $454.8 million.

What is the fixed interest rate on the mortgage loan?

The mortgage loan has a fixed interest rate of 4.36%.

What is the debt maturity timeline for Hudson Pacific Properties, Inc.?

There are no debt maturities until December 2024.

What is the leased rate of Bentall Centre during Blackstone and Hudson Pacific's ownership?

The property has maintained a leased rate of more than 90%.