PCCP, LLC PROVIDES A $108.4 MILLION SENIOR CONSTRUCTION LOAN FOR THE DEVELOPMENT OF A 12-STORY OFFICE TOWER IN DALLAS
Los Angeles, CA, July 17, 2019 – PCCP, LLC announced today it has provided a $108.4 million senior construction loan to a joint venture between Ramrock Real Estate, Four Rivers Capital, Inverdale Strategic Fund, and the Weir family for the development of Weir’s Plaza in the Knox Henderson area of Dallas. The project is planned for a 12-story Class A office tower totaling 297,000 square feet of which 12,000 square feet will be ground floor retail, as well as six floors of subterranean parking with 792 spaces. Additionally, the Weir family will continue to operate its furniture store on a portion of the site totaling 28,000 square feet. The financing was arranged by Clint Coe and Tim Jordan of JLL.
Weir’s Plaza will feature 20’ ceiling heights on the ground floor retail and second floor and 15’ ceiling heights on all remaining floors. In addition to high-end finishes throughout the building, the on-site amenities available to the tenants will include a top-of-the-line fitness center, tenant lounge, and numerous outdoor terraces.
“Construction commenced with the closing of PCCP’s loan and is scheduled to be complete in late 2021,” said Ron Bonneau, managing director with PCCP. “PCCP saw this as a prime opportunity to be a part of a Class A office development in the high barrier to entry submarket of Knox Henderson, in addition to the thriving Dallas-Fort Worth Metroplex which has been a national leader in job growth.”
The asset has leases in place with companies including Kirkland Ellis and WeWork accounting for approximately 60 percent of the office component. The ground floor retail will likely be divided into five separate storefronts offering a mix of luxury apparel and boutique food and beverage. Included in the available retail is the historic Highland Park Soda Fountain building which will be preserved.
Situated on 1.24 acres at the corner of Knox Street and Travis Street, the site is well-located in a walkable area known for its boutique retail and upscale dining. The asset is proximate to both US-75 (0.3 miles east) and the Dallas North Tollway (2.2 miles west), providing accessibility from the high-income single family neighborhoods in the immediate surrounding area as well as residential communities throughout the Dallas metro.
The 385.4 million-square-foot Dallas office market has been at its strongest in recent years, largely supported by nation-leading job growth and a high volume of corporate relocations and expansions in the metro. During 2018, Dallas/Fort Worth achieved the highest number of jobs added among all U.S. metros, and as of March 2019, the Dallas/Fort Worth region had the second highest number of jobs added year over year with 110,700 jobs, or 3 percent growth.