The S.Hekemian Group borrowed $15 million to refinance 888 Tennessee St., a 40,000-square-foot industrial building fully-leased to Amazon in the Dogpatch neighborhood of San Francisco, CA.
“This facility acts as the first Amazon Prime Now location in San Francisco, illustrating the extreme demand for last-mile facilities from the e-commerce industry,” said Chris Gandy, director for the debt placement team at Holliday Fenoglio Fowler, which secured the financing.
Principal Commercial Capital, Principal Real Estate Investors’ CMBS platform provided the 10-year, fixed-rate loan, and will also service the loan. “We feel that we are in the infancy of a shift to last-mile distribution facilities in dense, in-fill urban environments,” said Gandy. “The property’s location will only improve over time.”