The prime 16-acre chunk of downtown Nashville known as the Station District is off the market now that its owner has landed a $135 million refinancing package on the historic hub.
Zach Liff late last year floated the notion of selling the development, which is anchored by the 408,000-square foot Cummins Station mixed-use center and includes the Cannery Hall music venue.
The financing comes in the form of a five-year loan arranged by JLL for Liff’s DZL Management, the developer of the project, which includes office, retail and residential components, the Nashville Business Journal reported.
JLL touted the refinance as an exception to the rule of tight lending on projects with significant office components.
“Despite the challenges posed by the evolving macroeconomic climate and headwinds faced by the office sector, there remains a viable pool of liquidity for office assets in prime locations boasting strong tenancy and exceptional sponsorship,” the brokerage said in a release.
JLL didn’t disclose the lender or specific terms beyond the length of the deal.
DZL had hired Avison Young to sort through prospects for a sale or joint-venture opportunity for the development. Various parties have bandied about prices ranging from $700 million to $1 billion, the outlet reported last year, with some looking to buy portions of the property.
“What we’re focusing on is the entire sale of the property,” Michael Fay, a principal of Avison Young, said at the time.
DZL’s decision to take the property off the market means it will, for now, continue as the steward of a project that’s been more than 20 years in the making. Liff assembled parcels including three vintage Nashville buildings — Cummins Station, Cannery Hall, and the 60,000-square-foot Baggage Building, which features office and retail. The assemblage also includes 12.43 acres of developable land.
DZL has scored several upscale tenants since it put the property on the market, including a location of New York-based restaurant Philippe Chow, and Pullman Standard, which is operated by RJ Cooper, a James Beard Award-winning chef.
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