Pittsburgh Trophy Asset Lands $69M Recap
The transaction includes a ground lease bifurcation sale and leasehold financing.
Piatt Cos. has completed a $69 million recapitalization of Tower Two-Sixty, a mixed-use trophy asset in downtown Pittsburgh, through a ground lease bifurcation sale and leasehold financing. Woodbranch Investments Corp. acquired the land beneath the property.
JLL Capital Markets represented Piatt in the transaction and arranged the financing.
Dollar Bank provided financing for the leasehold improvements. Tower Two-Sixty includes 130,000 square feet of office space, a 197-key Hilton Garden Inn, 14,000 square feet of ground-floor retail and a parking garage with 321 parking spaces. Overall, the asset spans 400,000 square feet.
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Tower Two-Sixty was built in 2016 and serves as Piatt’s headquarters. The company received a $67.5 million loan from M&T Bank in 2016, according to Yardi Matrix. Floorplates at the tower average approximately 18,000 square feet, and the building is LEED Silver-certified, the same source shows.
Other tenants at the tower include McGuire Woods, The Coury Firm, JLL and Bank of America. Commercial Property Executive previously reported that human resources consulting company Insperity leased the property’s 1515 suite in 2018, though the company has since vacated. Currently, the office portion of the building is 95.6 percent occupied.
Located at 260 Forbes Ave. in downtown Pittsburgh, Tower Two-Sixty is across from Market Square and a about quarter mile from Gateway Center Park. The Gateway Light Rail Station and Pittsburgh Regional Transit bus services are nearby. The asset is close to Interstates 376 and 579.
Class A properties in high demand
Elevated vacancy rates and high construction costs have stalled new office development in Pittsburgh for six consecutive quarters, according to a Cushman & Wakefield first-quarter 2026 office report. Overall vacancy in the market reached 17.4 percent during the quarter, a 30-basis-point increase quarter-over-quarter.
Despite broader softness, demand for best-in-class Class A office space in the CBD has remained strong, with asking rents rising 6.3 percent since bottoming out in 2024.
In October, Eos Energy Enterprises announced it was relocating its headquarters from Edison, N.J., to Pittsburgh in a $352.9 million move that included an expansion of its battery manufacturing operations in the area. The company is moving in the second half of 2026 to Faros Properties’ 2 Allegheny Center.
Additionally, investors remain active in the market for trophy assets. This past September, Wells Fargo Bank and JP Morgan Chase issued a $475 million non-recourse refinancing loan to Ventas Inc. and GIC for two Pennsylvania trophy assets. The package refinanced the Drexel Health Science Building in Philadelphia and The Assembly in Pittsburgh. Both properties were fully leased at the time of the transaction.
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