PGIM Venture Lands $310M for Nashville Mixed-Use
A riverfront luxury property backs this loan.
PGIM Real Estate, Stiles and Hensler Development Group have secured a $310 million bridge loan for Peabody Union, a 665,000-square-foot, mixed-use complex in downtown Nashville, Tenn.
Blackstone Real Estate Debt Strategies issued the three-year note with two one-year extension options. JLL negotiated on behalf of the borrowers.
Peabody Union is a riverfront property that comprises a 27-story luxury residential tower with 355 units and a Class A office building, both completed in 2025.
Previous debt includes a $247 million construction note for the whole project, provided by Wells Fargo in 2022. The partnership broke ground on the project that year and topped it out in April 2024, with a development team including Turner Construction as general contractor, Barge Cauthen & Associate as civil engineer and Hawkins Partners in charge of landscape architecture. Hastings served as architect of record.
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Olive at Peabody Union, the multifamily high-rise, is at 30 Peabody St., along the banks of Cumberland River. The property is part of the South Bank district, an emerging neighborhood with multiple mixed-use, residential, green spaces and pedestrian connections to the Cumberland River Greenway. Nashville International Airport is 6 miles away.
Apartments have studio, one- and two-bedroom floorplans with an average size of 1,020 square feet. Interiors include kitchens with islands, pantries and quartz countertops, full-size washers and dryers, bathrooms with semi-frameless showers and private storage.
Amenities at the pet-friendly community include a fitness center, a wellness lounge, a sky lounge on the 26th floor, coworking spaces, an on-site marketplace, a dog run and pet spa, as well as gated parking with 1,000 spots. The building also features an amenity deck with a swimming pool, cabanas, hot tub, cold plunge, infrared sauna, outdoor grill stations and fireplace.
A mixed-use anchor in Nashville’s South Bank
The broader Peabody Union mixed-use complex also includes a six-story office building totaling 249,988 square feet at 50 Peabody St. Starbucks signed a full-building lease earlier this year and will use the entire mid-rise for its eastern corporate headquarters starting 2027. The property’s retail component, which amounts to 52,735 square feet, is 50 percent leased with first-generation restaurants, all set top open next year.
The campus serves as anchor for the South Bank district and is integrated into the Cumberland River Greenway trail system. It also comprises Bluff Landing, a one-acre civic landscape area that is part of a $3 million public infrastructure investment.
JLL Vice President Kelsey Bawcombe, Senior Managing Directors Ed Coco and Paul Stasaitis, Managing Director Matt Casey, Director Anthony Sansone and Associate Streeter Simmons led the team that worked on behalf of the borrower.
Nashville multifamily sector attracts investors, lenders
The Music City’s investment activity picked up pace in 2026, following three consecutive annual declines, a recent Yardi Matrix report shows. Year-to-date as of July, the metro saw 25 properties sell for a total of $639 million, up 21 percent from the same period of 2025. The metro’s peak was in 2022, when the sector’s multifamily transaction volume hit $3.2 billion.
And the investment momentum carried into the following months of the year. In August, Waterton paid $128 million for Wyndchase Aspen Grove, a 560-unit community in Franklin, Tenn. Berkshire Residential Investments sold the property after 12 years of ownership.
Meanwhile, lending activity also remained substantial in the Music City. At the end of the second quarter of 2026, loan originations increased 8 percent for multifamily properties over the past 12 months, while also recording a 15 percent jump quarter-over-quarter.
Earlier this year, a joint venture led by The Dinerstein Cos. secured $103 million for a downtown Nashville luxury community. Heitman provided the loan for Aspire Midtown, a 277-unit property that came online in 2025.
