Blackstone Provides $310M Bridge Loan for Nashville Mixed-Use Tower

A joint venture among PGIM, Stiles Corporation and Hensler Development has secured $310 million to refinance Peabody Union, a 665,000-square-foot office and residential development in Downtown Nashville, Tenn., according to JLL.

Blackstone Real Estate Debt Strategies provided the debt, structured as a three-year bridge loan with two one-year extension options, while a JLL Capital Markets team of Ed Coco, Paul Stasaitis, Matt Casey, Anthony Sansone, Kelsey Bawcombe and Streeter Simmons arranged the transaction.

Coco called Peabody Union “one of the most compelling mixed-use financing opportunities in the Southeast.” The asset has secured an office lease commitment from Starbucks that begins next year and will encompass nearly 250,000 square feet, Coco said.

“We had a significant amount of interest from a variety of lender types,” he added.

Located at 30-50 Peabody Street in Downtown Nashville’s South Bank district, a live-work-play neighborhood along the Cumberland River, Peabody Union recently finished construction and stands 27 stories.

The mixed-use asset also features 355 luxury residential units and 52,735 square feet of experiential retail that opens next year. The building also includes two 2,000-square-foot outdoor terraces on the sixth floor, a 4,500-square-foot fitness and wellness center, a 4,000-square-foot club room for residents, and 1,000 square feet of bike storage.

PGIM and Stiles did not respond to requests for comment.

Brian Pascus can be reached at bpascus@commericialobserver.com.

Source: commercialobserver.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.