Dealmaker: JLL Secures $208M in Construction Financing
JLL, Chicago, secured $207.5 million in construction financing for assets in Dallas and Houston.
On behalf of Gaedeke Group, Dallas, JLL secured $61 million in construction financing for One Legacy West, a 328,000-square-foot Class A office tower under development in Dallas. US Bank, Minneapolis, provided the loan.
JLL Managing Director Tim Jordan and Executive Vice President Mark Brandenburg closed the deal. “The Dallas/Fort Worth metro area continues to boast some of the top fundamentals for job growth and, in turn, office development,” Brandenburg said. “The Legacy submarket’s rising rents, high absorption rate and backing from proven sponsorship bodes well for the property’s future performance.”
Located adjacent to Toyota and FedEx’s headquarters in Plano Texas’s Legacy submarket, the proposed 14-story tower will include a two-story lobby and a reflective pond bordering the property.
JLL also secured $146.5 million in construction financing for the Kirby Collection on behalf of Thor Equities, New York.
The Kirby Collection, a mixed-use development in Houston’s Upper Kirby/River Oaks area, totals 551,000 rentable square feet. Bank of the Ozarks, Little Rock, Ark., provided a $93.5 million senior loan and an institutional investor provided a $53 million mezzanine loan. Construction began this month with completion slated for fourth-quarter 2017.
International Directors Mike Melody and Tom Melody and Managing Directors Tom Podgorski and Kelly Gaines led JLL’s team on this transaction. Tom Melody said the project drew a lot of interest from lenders. “The development is surrounded by very affluent neighborhoods that position the high-end residential and retail components for great success and the central location means the office portion will appeal to a wide range of industries,” he said.
Podgorksi called the metro Houston economy as a whole strong and diverse. “Furthermore, the ‘live-work-play’ aspect of the development is right in line with what today’s residents and retailers are looking for,” he said.
The Kirby Collection will feature a 25-story, 199-unit apartment tower, a 13-story, 211,000-square-foot Class A office building and 61,000 square feet of retail space, Podgorksi said.
