Related Lands $690M to Build Bay Area Project

Image courtesy of Alexander Andrews via Unsplash.com

Related California has secured $690 million in construction financing for Tasman East, a residential development in Santa Clara, Calif. This marks the first phase of the company’s plan to create one of the largest mixed-use projects in the country.

Tasman East received financing from multiple sources. Otera Capital provided a $360 million loan for the development of a 509-unit luxury community, while a 191-unit luxury senior housing project received $130 million in financing from PNC Bank, with Welltower Inc. providing capital as well. The senior housing development will be built under the Coterie flag, a joint venture including Related, Atria and Welltower Inc., set to bring online luxury projects in major U.S. cities.

Related California received legal counsel from Greenberg Traurig and Stroock & Stroock & Lavan, Otera Capital from Winstead, PNC Bank from Riemer & Braunstein and Gibson Dunn offered counsel for Welltower.

Residential component of Related Santa Clara

The communities will be part of Related Santa Clara, a 240-acre mixed-use project next to Levi’s Stadium. In total, Related is planning the development of 1,600 residential units as part of Tasman East. The urban center will also include dining and retail options, office spaces and hotels. According to the City of Santa Clara website, the development will feature a 30-acre park and the first phase is slated for completion in 2023.

Tasman East will be constructed on a 5.5-acre site and, alongside apartments, it will include 19,410 square feet of retail and 15,737 square feet of amenity space. The 509-unit community will be developed as a 22-story high-rise tower, while the senior housing component will rise 20 stories.

Located at 2300 Calle De Luna, the site is 8.5 miles from San Jose and has access to Southbay Freeway. Norman Y. Mineta San Jose International Airport is roughly 5.5 miles away.