Warriors, Uber, Alexandria Bag $500M Loan for Office Complex

The Golden Gate Warriors, Uber Technologies and Alexandria Real Estate Equities have secured a $500 million loan for two 11-story office buildings by Chase Center.

The NBA basketball team, locally based ride sharing firm and Pasadena-based life sciences developer cut a refinancing deal tied to the office towers at 1655 Third Street and 1725 Third Street in Mission Bay, the San Francisco Business Times reported, citing CBRE.

The loan from Goldman Sachs and Barclays Capital Real Estate comes just weeks after the joint venture shoveled $100 million into paying down its previous $600 million loan. The JPMorgan Chase loan, with an interest rate of 4.57 percent, was due to mature in March.

The new five-year, interest-only loan at 6.5 percent was arranged by Brad Zampa and Mike Walker at CBRE, according to Trepp.

If the owners group fails to pay off the loan by its 2030 repayment date, the property’s excess cash flow would be used to pay down the loan’s principal over the next five years until maturity.

The Warriors and Uber each leases office space at the property for their headquarters.

The Warriors and Uber each own a 45 percent stake in the joint venture that developed the 586,200 square feet of offices next to Chase Center, while Alexandria holds the remaining 10 percent share of the venture known as Event Center Office Partners.

It’s the Warriors’ fifth year at the Chase Center complex, which will host Sunday’s NBA All-Star Game.

Chase Center recently snagged some large leases, including the two-story, 30,000-square-foot Splash megabar, ice cream sandwich spot Baked Bear and Taco Primo, suggesting a turnaround for once lagging rentals, according to the Business Times.

— Dana Bartholomew