Franklin Street Properties

franklin street
INDUSTRY
Real Estate
Loan Amount
$25.0 Million
Asset Type
Office Portfolio: Houston • Dallas • Denver • Minneapolis
Deal Summary

On April 16th, 2026, HREC closed a $25.0 million tranche of a $320.0mm total first mortgage term, loan ($275mm initial, $45mm delayed draw) to Franklin Street Properties (NYSE:FSP), a real estate investment trust (“REIT”) with 17 primarily class A office properties located in CBD and suburban infill markets across Houston, Dallas, Denver, and Minneapolis. The loan was used to fully refinance the existing indebtedness and to provide both capital structure flexibility and incremental availability to stabilize the assets. The loan will be repaid via the sale of assets (opportunistically in part or in full) and/or a more traditional refinancing at maturity.

About Hilco Real Estate Capital

Hilco Real Estate Capital (HREC) provides creative and flexible real estate financing solutions across a broad range of asset types and situations, including bridge lending, recapitalizations, note acquisitions, mezzanine debt, and complex transitional financing. Backed by the broader resources of Hilco Global and its strategic partnership with ORIX Corporation USA, HREC combines deep real estate expertise with in-house underwriting, valuation, and structuring capabilities to execute quickly and efficiently.

The team specializes in complex and time-sensitive transactions where traditional capital sources may be unable to move with the necessary speed or flexibility. HREC works closely with sponsors, owners, lenders, and advisors to assess risk, unlock value, and structure tailored capital solutions aligned with each project’s business plan and long-term objectives.

With experience spanning mixed-use, multifamily, retail, hospitality, office, industrial, and specialty real estate assets nationwide, HREC delivers strategic capital solutions designed to support acquisitions, recapitalizations, restructurings, redevelopment initiatives, and value-add execution strategies.

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