Milbank LLP advised PSP Investments, as borrower, in connection with the successful $1.15 billion refinancing of The Wharf, a mixed-use neighborhood stretching across nearly a mile of Washington, DC’s waterfront. This transaction, which consolidates debt from Phase 1 and Phase 2 of the project, marks the largest refinancing of a private real estate project in modern Washington, DC history. The previous record for the largest private real estate financing in the city was also held by The Wharf, underscoring its significance in the Washington, DC real estate market.
The refinancing was led by PSP Investments, one of Canada’s largest pension investment managers, and District Wharf Properties (DWP), the investment manager and operator of The Wharf. PSP, an initial investor in The Wharf, acquired majority ownership from Hoffman & Associates and Madison Marquette in April 2025.
Wells Fargo, Goldman Sachs and Morgan Stanley originated the loan and plan to sell the debt as a commercial mortgage-backed securities trust. The new mortgage, tied to a majority of the 3.5 million-square-foot, mixed-use district, will combine with $125 million mezzanine financing as well as $59.8 million of PSP’s equity, to pay off roughly $1.15 billion in existing debt. The funds will also go toward paying off other costs associated with the deal closure, as well as $18.7 million worth of planned tenant improvements.
As of February 2025, 93.4% of The Wharf’s approximately one million-square-foot office component was leased to 18 tenants, its retail component was 92.1% leased, and its multifamily component was 90.8% leased.
The Milbank team was led by Real Estate partner and Practice Group Leader Erwin Dweck, Tax partner Andrew Walker, Real Estate associates Nicolette Sullivan, Julianne Guzman, Shannon Mis-Marzano and Alejandro Hernandez, and Tax associate Blake Rocks.
