$32.384M loan secured for Milwaukie Marketplace

PORTLAND, Mar. 4, 2025 –  JLL Capital Markets announced today that it has secured a $32.384 million financing for Milwaukie Marketplace, a 185,760-square-foot grocery-anchored retail center in Milwaukie, Oregon.

JLL worked on behalf of the borrower, a joint-venture between Lincoln Property Company and PCCP LLC, in arranging the three-year, floating-rate loan through an entity managed by Argentic Investment Management LLC.

The Milwaukie Marketplace, located at 10840 SE Oak St., enjoys a strategic position with excellent accessibility. Situated near Hwy-224 and OR-99E, the property is just seven miles from downtown Portland and benefits from proximity to major employment hubs like Providence Milwaukie Hospital, Kaiser Permanente Sunnyside Medical Center and substantial industrial parks including Milwaukie Business Industrial Park and Clackamas Industrial Park. The surrounding area features a mix of established residential neighborhoods and growing communities, with the property serving a substantial population of 350,000 within a five-mile radius, making it a prime location for retail traffic.

Milwaukie Marketplace, originally built in 1989, sits on a 20-acre lot and has a current occupancy of 64.5%, with major tenants including New Seasons Market as the anchor, as well as Planet Fitness, Ace Hardware and Dollar Tree. The center has a weighted average lease term (WALT) of 11.4 years and is set to undergo renovations in 2025.

The loan features full-term interest-only payments and will support the borrower's business plan to reposition the asset into the premier grocery anchored center in Milwaukie, Oregon.

JLL Capital Market’s Debt Advisory team representing the borrower was led by Senior Director Zach Kersten, Senior Managing Director Casey Davidson and Associate David Williams.

"We believe this financing demonstrates the continued lender appetite for well-located retail assets with strong sponsors and thoughtful business plans," said Kersten. "Despite recent challenges in the retail sector, including tenant bankruptcies, we were able to secure competitive terms that will allow our clients to execute their value-add strategy for Milwaukie Marketplace."

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

For more news, videos and research resources, please visit JLL’s newsroom.

Lincoln Property Company (“Lincoln”) is one of the largest private real estate firms in the United States. Offering a fully integrated platform of real estate services and innovative solutions to owners, investors, lenders and occupiers, Lincoln supports the entire real estate lifecycle across asset types, including office, life science, retail, industrial, data center, production studio, healthcare, government, universities and mixed-used properties, throughout the United States, United Kingdom and Europe. Lincoln’s combined management and leasing portfolio on behalf of institutional clients includes more than 562 million square feet of commercial space. In addition to providing third-party real estate services, Lincoln has completed over 164 million square feet of development since its inception in 1965 and has another $19.5 billion currently under construction or in the pipeline. For more information, visit: www.lpc.com.

PCCP is a real estate finance and investment management firm focused on commercial real estate debt and equity investments. PCCP has $24.9 billion in assets under management on behalf of institutional investors as of September 30, 2024. With offices in New York, San Francisco, Atlanta and Los Angeles, PCCP has a 26-year track record of providing real estate owners and investors with a broad range of funding options to meet capital requirements. PCCP underwrites the entire capital stack to exploit inefficiencies in the market and provide investors with attractive risk-adjusted returns. Since its inception in 1998, PCCP has managed, raised or invested over $42.2 billion of capital through a series of investment vehicles including private equity funds, separate accounts and joint ventures. PCCP continues to seek investment opportunities with experienced operators seeking fast and reliable capital. Learn more about PCCP at pccpllc.com.

Argentic is an investment manager of commercial real estate lending and investment vehicles focused on providing fixed-rate and floating-rate debt financing solutions to property owners throughout the United States.