Hudson Pacific Raises $189 Million from Silicon Valley Land and Studio Debt Sales
December 04 2023 - 9:00AM
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 that it has divested
through two separate transactions a land parcel in Silicon Valley
and certain tranches of a loan secured by its Hollywood Media
Portfolio for gross proceeds of $189.3 million before prorations
and closing costs. Specifically, these sales included:
- Cloud 10, a 5.3-acre land parcel in North San Jose, for $43.5
million before prorations and closing costs.
- 100% of two tranches and 49% of a third tranche of debt
associated with its Hollywood Media Portfolio, generating gross
proceeds of $145.8 million, while retaining a 51% ownership of the
third tranche with a notional value of $30.2 million.
The company used net proceeds to repay amounts outstanding on
its unsecured revolving credit facility.
"Strong execution on these sales has further strengthened our
balance sheet and positions us well to navigate future loan
maturities,” stated Victor Coleman, Hudson Pacific’s Chairman and
CEO. “In addition, we have successfully improved covenant
compliance with minimal impact to FFO, as we continue to enhance
our ability to create value for shareholders going forward.”
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.
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forward-looking statements, see the section entitled "Risk Factors"
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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
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