Barings JV Opens Downtown Raleigh Tower

301 Hillsborough at Raleigh Crossing. Performance by BANDALOOP. Image courtesy of Justin Kase Conder

A joint venture between Barings and The Fallon Co. has completed 301 Hillsborough at Raleigh Crossing, a 19-story tower totaling 292,500 square feet of office and retail space in downtown Raleigh, N.C.

The Class A building is the initial phase of Raleigh Crossing, The Fallon Co.’s first mixed-use development in the city. At full build-out, the project will also include additional retail space and a residential community.

The ribbon-cutting ceremony included a performance by aerial dance company BANDALOOP on the tower’s glass facade. Raleigh Mayor Mary-Ann Baldwin, representatives from The Fallon Co. including Chairman Joseph Fallon and CEO Michael Fallon, along with Linda Houston, managing director at Barings, attended the event.

The Fallon Co. acquired the site for the mixed-use complex at 301 Hillsborough St. in 2018. The developer broke ground on the project a year later, with the help of an $85.9 million construction loan originated by First National Bank of Pennsylvania, according to CommercialEdge data.

A new mixed-use destination in the City of Oaks

301 Hillsborough at Raleigh Crossing. Image courtesy of Barings

Designed by locally based Duda|Paine Architects with a focus on health and wellness, 301 Hillsborough achieved a two-star Fitwell certification. The owners are also planning to achieve LEED Gold certification.

The office tower’s tenants have access to a fitness center that offers group classes. In addition to bike storage, a 12,000-square-foot ground-floor retail space and a spacious lobby, 301 Hillsborough also features an amenity terrace on the ninth floor with indoor and outdoor gathering spaces.

The multi-tenant building offers 26,500-square-foot floorplates and a 650-car parking at a 2.32 spaces per 1,000 square feet ratio, CommercialEdge shows. In 2019, software startup Pendo signed a 125,000-square-foot prelease at 301 Hillsborough and will occupy five floors for its global headquarters. The property will also be home to law firm Nelson Mullins, among others.

While Pendo moved out from Wells Fargo Capitol Center at 150 Fayetteville St. just a few blocks away, another company, Highwoods Properties, set its sights on the Art Deco landmark. The locally based REIT will occupy 37,000 square feet at the 29-story, 560,000-square-foot tower.