Hudson Pacific Notes Tender Offer Oversubscribed, Funding Set With Cash and Credit
Hudson Pacific Properties said its cash tender offer for two series of senior notes expired with both series oversubscribed. The company accepted $100 million of each series, with proration factors of about 35.1% for the 2027 notes and 39.9% for the 2028 notes. Funding will combine cash on hand with $105.0 million of revolving-credit borrowings.
Hudson Pacific Properties’ operating partnership closed a cash tender for two senior note series on Oct. 9, 2026. It had sought up to $200 million combined, targeting $100 million per series. The 2027 notes, with $400 million outstanding, drew $285.155 million in tenders; the 2028 notes, with $350 million outstanding, drew $252.698 million. Both exceeded targets.
Accepted amounts were $100 million per series, producing proration factors near 35.1% and 39.9%. Holders receive $980 or $991.25 per $1,000 principal, plus accrued interest. Funding uses cash and $105 million from a revolving credit facility.
The tender may modestly reshape Hudson Pacific’s debt profile, potentially affecting bondholders who sold and those retaining notes. By using cash and revolver borrowings, the company could preserve some near-term liquidity but may increase reliance on bank credit. Tenants, employees, and communities linked to its real estate portfolio might feel indirect effects if the transaction supports stability or shifts future investment capacity. Investors and lenders may reassess risk, though the immediate social impact is likely limited and indirect.