By Brian Pascus | Commercial Observer
Silverstein Capital Partners (SCP) — the lending arm of Silverstein Properties — provided a $528 million construction loan Tuesday for The Park on Keeaumoku, a massive 972-unit mixed-use development that spans two residential towers and sits on nearly 4 acres of land in Honolulu, Hawaii.
The project is owned and developed by Nan Chul Shin, who has been active in Hawaiian real estate development since 1990. Along with The Park on Keeaumoku, Shin lists a Veterans Affairs medical clinic in Kalaeloa, a Honouliuli Middle School in Kapolei, and the State Veterans Home in Oahu as part of his development portfolio.
“We are thrilled to partner with Silverstein Capital Partners to secure financing for The Park on Keeaumoku,” Shin said in a statement. “Our plan is to create a vibrant community where individuals and families can work, eat, shop and relax, all within a beautiful park setting.”
The Park’s two towers are expected to generate roughly 826 market-rate condo units and 146 affordable units to the district of Midtown Ala Moana, a bustling neighborhood in Honolulu full of retail shops, malls and restaurants that is only steps from Waikiki Beach.
The project is set to include a 12-story parking garage, a new half-acre park and more than 88,000 square feet of commercial real estate space expected to be filled by a dining hall and food court. Other amenities in the two towers include an infinity pool on the 14th floor, a fitness center, a movie theater and coworking space.
Construction on The Park on Keeaumoku began last summer and is expected to conclude in 2025.
The Park on Keeaumoku was designed by Design Partners Incorporated, an architecture firm that has been active in the area since 1979.
“This will advance our vision to address Hawaii’s demand for housing and provide homes for Hawaii residents to own,” Shin added.
The deal is another feather in the cap of SCP, the relatively new real estate lending arm of the eponymous development firm that has committed more than $3.2 billion in construction and condo inventory loans since opening in 2018.
SCP’s outreach into the sandy Hawaiian market appears to follow a successful pattern of sending capital into fine weather. SCP recently closed a $113.5 million construction loan for The Loren at Turtle Cove in Providenciales, Turks and Caicos, a 152,700 square-foot mixed-use residential project.
“SCP believes that the Honolulu market remains strong for high-quality mixed-use projects with great sponsorship,” said Michael May, president of SCP, in a statement.
“The project will transform the streetscape and skyline with a beautiful park, stunning rooftop pool and amenities, as well as Class A condos, affordable units and a vibrant commercial component,” he added.
