November 13, 2019 – JLL announced today that it has arranged $7.5 million in construction financing and secured the land site for the development of Lone Star Self-Storage, a to-be-built, Class A self-storage property housing 1,255 climate-controlled units in one of the fastest-growing areas of the Dallas MSA and within a Qualified Opportunity Zone.
JLL worked on behalf of the developer, Austin-based Central Southwest Texas Development, LLC (CSW Development), to place the five-year, non-recourse construction loan with a regional bank. Additionally, working on behalf of the developer, JLL brokered the sale of the 2.4-acre land site for the facility.
The three-story Lone Star Self-Storage will total 151,950 square feet and will house only climate-controlled units ranging in sizes from 5×5 to 13×13. The property will be constructed at 2500 Lone Star Drive on the north side of Interstate 30 just west of downtown Dallas. The surrounding area has a dense population, with more than 126,200 residents. The population is expected to grow by more than 10% before 2023.
The JLL Capital Markets team representing the borrower was led by Senior Vice Presidents Griffin Guthneck and CW Sheehan.
The JLL team that represented CSW Development in the land site acquisition included Managing Director Mark Newman and Associate Amelia Rohrman. Candace Rubin of Candace Rubin Real Estate represented the seller, SPCA of Texas, in the negotiation.
According to JLL Research, North Texas has been a growing market with a current population of 7.7 million. Within 10 miles of 2500 Lone Star Drive, the population has increased 15% since 2010 to almost 1.2 million and is forecast to continue expanding another 7% over the next five years. Despite the large and increasing population statistics in the immediate area, the market is highly under-supplied from a self-storage perspective. The three- and five-mile radii have 3.08 and 2.92 square feet of supply per capita, respectively, which is well below Texas’ average of eight square feet per capita.