Hudson Pacific Properties and its joint venture partner have extended the $1.1 billion CMBS loan secured by the Hollywood Media Portfolio, pushing the maturity date to November 9, 2027.
The extension was completed without a principal paydown at closing, while the stated interest rate remains unchanged.
The 2.2 million-square-foot portfolio includes Sunset Gower Studios, Sunset Las Palmas Studios and Sunset Bronson Studios, along with five Class A office properties: ICON, EPIC, Harlow, 6040 Sunset and CUE.
The portfolio also includes development rights for another 1.1 million square feet of office and production space. Hudson Pacific owns a 51% interest through the joint venture and manages its day-to-day operations, leasing and development.
As part of the refinancing, the joint venture will allocate partnership funds to a $20 million leasing reserve. Excess portfolio cash flow will also be swept into the reserve to fund ongoing capital needs during the loan term.
Hudson Pacific additionally entered into a derivative that swaps SOFR at 3.50% through maturity.
The extension removes a significant near-term maturity from Hudson Pacific’s debt schedule while giving the company additional time to pursue leasing initiatives across its Los Angeles studio and office portfolio.
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“This extension underscores our ability to execute a positive outcome for shareholders. It provides us with additional time and flexibility to advance our leasing strategy across this portfolio, while proactively managing our broader debt maturity schedule.”
Harout Diramerian, Chief Financial Officer of Hudson Pacific Properties
