This Week's Dallas-Fort Worth Deal Sheet: Leon Multifamily Nabs $33.5M For Mansfield Apartment Project
Leon Multifamily secured $33.5M in construction financing from Broadway Bank for a multifamily development in Mansfield.
The project was one of three such development projects the Leon Capital Group subsidiary secured construction financing for in the past 30 days, with the other two in the Raleigh-Durham, North Carolina, and Phoenix areas.
In all, the company has $134M in financing coming in from regional banks and other financial institutions for the projects that will feature a combined 842 units.
“We are proud of our team’s ability not only to successfully finance these projects, but also to do so on an impressive timeline,” Leon Multifamily President David Cocanougher said in a statement. “We believe the window to realize lower construction costs and deliver into a lower new supply environment is quickly closing, making our ability to execute these transactions with speed and certainty all the more important.”
The company plans to grow its portfolio despite market conditions, Cocanougher said. Over the last two years, Leon Multifamily has begun or completed nearly 2,300 units across seven developments. The Mansfield development will be at the corner of Heritage Parkway and Miller Road.
Leon Multifamily Executive Managing Director Blake Schroeder said the company is positioning itself for future rent growth by “distinguishing our business as one of the few players adding new supply to the market.”
PEOPLE
JLL hired John Pasta as executive vice president of its Data Center Solutions Group in Dallas. Pasta has 13 years of experience in the sector and will be focused on delivering customized solutions for the firm’s clients. Before joining JLL, Pasta was director of strategic accounts at QTS Data Centers.
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Texas Realtors President and CEO Travis Kessler plans to retire at the end of March. Executive Vice President Mike Barnett will take over the president and CEO role on April 1. Kessler had been in the position since 2010 and has been in the industry for 48 years. Barnett has been in his current position for 12 years.
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Endeavor Real Estate added Andrew S. Levy as managing principal. Levy will be based in Dallas and will focus on office acquisitions for Endeavor throughout the Sun Belt region. Levy has more than 30 years of experience and will begin his new role at Endeavor in January.
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National property services company MCS promoted Jason Myers to senior vice president, business development. Myers will continue to oversee client growth of the company’s mortgage and residential services businesses as well as supporting growth through strategic relationships and business strategy. Myers has been with MCS for more than four years and has more than 20 years of experience.
SALES
Industrial Outdoor Ventures bought nearly 6 acres of industrial outdoor storage in Garland from a national transportation and logistics firm. One of the properties, located at 2210 Hightower Drive, is a nearly 4-acre asset with a 19K SF building. The second property, located at 2130 Hightower Drive, is a 2-acre facility with a 7K SF building. JLL’s Caleb McCoy and Paul Davis represented the seller and will serve as leasing agents for the properties for Industrial Outdoor Ventures.
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Sierra Properties sold a former CVS store for an adaptive reuse project that will turn the building into a car wash facility. Younger Partners’ Michael Ytem and Luke Nolan brokered the off-market sale of the vacant 11K SF building in the Old Lake Highlands area of Dallas to Victron Energy Vice President Mohamed Sharaf. The approximately 1-acre site is at the corner of East Northwest Highway and Plano Road.
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Longpoint Partners bought the 415K SF Valley View Business Center distribution building at 1401 Valley View Lane in Irving. Cushman & Wakefield’s Jim Carpenter, Jud Clements, Robby Rieke and Trevor Berry represented the seller, a fund backed by Brookfield Asset Management. The property is 100% leased to two tenants that have been there since the building was completed in 2009.
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First Presbyterian Church of Dallas acquired the 53K SF CitySquare Opportunity Center and will relocate The Stewpot community ministry to the facility. CitySquare’s property is at the corner of Malcolm X Boulevard and Interstate 30 in Dallas. Each organization represented itself in the deal.
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Real estate investment and development company M2G Ventures sold a 241K SF parcel of its Inbound on Inwood property to Maryland-based WareSpace. The microwarehouse space provider acquired the north parcel of the multibuilding project at 14621 Inwood Road in Addison. Rich Young Co.’s Rich Young Jr. and Lee & Associates’ Adam Graham and Stephen Williamson represented M2G.
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A Plano-based company bought the 50-acre Caddo Prime development tract at the northwest corner of Interstate 30 and FM 1565 in Caddo Mills. Caddo Prime is zoned for commercial and multifamily uses and offers retail pad sites. Weitzman’s Scott Smith, Corbin Tanenbaum and Owen Seebold handled negotiations for the undisclosed seller.
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AMLI Residential purchased the 8-acre former Midway Square Shopping Center at 14833 Midway Road in Addison. The property will now be part of AMLI’s mixed-use AMLI Treehouse development. Younger Partners’ Ben McCutchin and Sam Kartalis represented the seller, VVI Inc., and the buyer. Shop Cos.’ Thomas Glendenning is handling marketing of the retail space.
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Grapevine Beall Center LLC sold the 85K SF-plus Grapevine Centre shopping center in Grapevine on Dec. 6. The shopping center at 1250 William D. Tate Ave. is fully leased. The Woodmont Co.’s Russel Wehsener and Bryan Dyer represented the seller, while Vision Commercial’s Roger Smeltzer worked on behalf of the buyer.
LEASES
Nuveen Real Estate leased more than 104K SF of Class-A office space to Merit Energy at Two Lincoln Centre in Dallas. Merit Energy will relocate its headquarters to occupy three floors of the 19-story building at 5420 LBJ Freeway. Three existing tenants were moved within Lincoln Centre to accommodate Merit Energy’s lease. Cushman & Wakefield’s Matt Schendle, Zach Bean and Mary Frances Burnette represented Nuveen, while Jeff Ellerman and John Ellerman represented Merit Energy.
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Logistics Property Co. leased nearly 1.1M SF of warehouse space at Southport Logistics Park Building 1 in Wilmer to CJ Logistics America. CBRE’s Kacy Jones and John Hendricks supported LogiPropCo’s Max Mueller, Daniel Davidson, Jonathan Snow and J.C. Hay in leasing the space. CJ Logistics America, a supply chain subsidiary of CJ Group, was represented by JLL’s Rob Wheeler, Trevor Ragsdale, Melissa Holland and J.M. Priddy.
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Granite Properties signed Dallas-based real estate investment firm Compatriot Capital Inc. to a long-term lease for 13K SF at The Douglas office building in the Preston Center in Dallas. The full-floor office lease will nearly double Compatriot’s office space once the company moves in mid-2025. The Douglas is located at 8235 Douglas Ave. JLL’s Conor McCarthy, Scott Hage and Larry Toon represented Compatriot, while Granite was represented by its own Burson Holman and Elizabeth Fortado.
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De La Vega Capital and Development announced a 45K SF Whole Foods Market will anchor the mixed-use development West Grove in McKinney. Located at the intersection of U.S. Highway 380 and North Custer Road, West Grove will span more than 500K SF and also feature eateries, health and beauty businesses, and consumer service retailers. West Grove was developed by De La Vega and designed by Gensler and GFF.
CONSTRUCTION AND DEVELOPMENT
Taiwan-based Delta Electronics Inc. will expand its campus in Plano, according to a release from the city. The company plans to build a pair of 477K SF manufacturing facilities and a 90K SF office building. Construction will be done in two phases, with the first to be completed in 2028 and the second by 2031.
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Adolfson & Peterson Construction completed the multifamily adaptive reuse project Peridot Residences at the 50-story Santander Tower in Downtown Dallas. Work to build 291 multifamily units across 14 floors of former office space began in summer 2022. The development was envisioned by mixed-use developer Mintwood Real Estate and building owner Pacific Elm Properties. Dallas-based WDG Architecture designed the project, and Dallas-based Swoon the Studio LLC worked in collaboration with WDG Architecture on interior design.
FINANCING
JLL Capital Markets secured construction financing for the 325-unit The Monarch apartment community in Allen. JLL worked on behalf of the borrower, Zale Properties, to arrange the four-year, floating-rate loan through Kennedy Wilson. The Monarch will feature nearly 303K SF at 1424 Bliss Ave. in an 80-acre mixed-use development. The project is slated to be completed in the first quarter of 2027 and include amenities such as a resort-style pool, outdoor grills and a fitness center. JLL Capital Markets’ John Brownlee, Bo Beidleman, Chad Lisbeth and Jordan Buck represented the borrower.
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JLL Capital Markets arranged acquisition financing for the nearly 8-acre industrial outdoor storage facility 1500 High Meadows Way in Cedar Hill. The site features a 15K SF industrial service building, which includes a 3K SF office space and a graveled storage lot. The facility is fully leased on a seven-year sale-leaseback agreement. JLL worked on behalf of the borrower, Apricus Realty Capital, to secure the five-year, fixed-rate loan. The JLL debt advisory team of C.W. Sheehan, Kristi Leonard, Peyton Ackerman and Nate Henderson worked on the deal.
