JLL Secures Nearly $300M in Loans for Two Dallas Properties
- Aug 19, 2011
August 18, 2011
By Nicholas Ziegler, News Editor
Texas Gov. Rick Perry has been touting his state’s record of job creation and economic growth in the last few weeks, and two loan deals secured by Jones Lang LaSalle are showing that you really shouldn’t mess with Texas. The firm’s capital-markets team has secured two loans in the last few days: a $205 million transaction for The Crescent, a 1.3 million-square-foot office complex, through MetLife; and a $93 million deal for Trammell Crow Center through Northwestern Mutual.
“Texas, overall, is doing well compared to other parts of the country,” JLL managing director Paul House told Commercial Property Executive. “Right from the start, we had great interest from multiple lenders on both properties.”
The Crescent, which includes 1.3 million square feet in three office towers as well as upscale retail space, is located adjacent to Dallas’ Central Business District and is considered one of the premier assets in the city. The Trammell Crow Center, a 1.1 million-square-foot Class A office tower in the arts district of Downtown, is the sixth-tallest building in the city. Both were covered by interest-only loans through the new lenders.
“Both lenders did an interest-only loan, which may have been easy to get in 2006,” House said. “But in 2011, it’s harder to do. It was a pleasant surprise to see lenders be so competitive over these trophy assets. We brought the owners a menu of lenders and they picked the best of the best.”
According to a JLL report, the Dallas area is set to experience high growth. The most recent federal employment figures show that the city has added 83,100 jobs on a year-over-year basis, make it the national leader in job creation. The office market has seen a considerable uptick, with four consecutive quarters of strong positive net absorption.