This Week's Dallas-Fort Worth Deal Sheet

Creation and LGE Design Build opened a $17M joint headquarters in the Dallas Design District.

The 32K SF building at 1280 East Levee St. will house close to 40 employees, according to a news release. Creation and LGE will occupy about 20K SF and will lease the additional space to boutique showroom or office users.

“It’s not just a building, but an opportunity to create an environment that fosters innovation and collaboration among our teams in Texas and Arizona,” David Sellers, co-founder of Creation and CEO of LGE Design Build, said in a statement. “Our new headquarters will serve as an incubator for real estate and construction idea creation and a valuable tool for our team and the development community to utilize.”

The news comes as the companies surpass the $1B mark in their shared Texas portfolio, per the release. The affiliated companies from Arizona have more than $280M of commercial real estate projects under construction in Houston and DFW and another $503M worth of projects in the pipeline across the state.

“Texas has quickly become our No. 1 priority market for expansion,” LGE Design Build President Michael Stafford said in a statement. “Our team is highly focused on identifying new opportunities to continue this upward trajectory, and we are committed to making Texas a key pillar of our overall growth strategy.”

PEOPLE

Comerica Bank promoted Brent Harraman to small business regional director, a new position that will help the bank expand its reach in small-business communities. Harraman is responsible for the overall leadership and success of all small-business banking activities across Texas.

LEASES

Partners arranged a 15.8K SF sublease for 3D Signs & Graphics at 3633 West Miller Road in Garland. Partners’ Jeff McVaney represented the tenant in the transaction. The sublandlord was represented by Randy Blankenship from Biel Partners.

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Lee & Associates DFW completed a new lease transaction for a 766K SF industrial space at 301 Apache Trail in Terrell. Ken Wesson of Lee & Associates DFW, along with Michael Giuliano of Lee & Associates Ontario, represented the landlord, BFI-301 Apache Trail. Dan Lawson of Proterra Properties represented the tenant, Cart.com.

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Paceline Equity Partners signed a long-term lease for a new 12.5K SF headquarters at the Offices at Turtle Creek Village, located at 3838 Oak Lawn Drive in Dallas. The company will occupy the entire sixth floor of the 18-story, 230K SF office tower. The landlord, CIM Group, was represented by Tommy Nelson and Alexandra Cullins of CBRE. Paceline was represented by Travis Boothe and Zach Bean of Cushman & Wakefield.

SALES

ZOM Living completed the sale of luxury rental property Mezzo Dallas to Harbor Group International. Developed in partnership with Civitas Capital Group, a Dallas-based alternative investment manager, the residential community in Aubrey consists of 13 garden-style buildings with 378 units spanning 15 acres. The property was completed in July 2022 and is 85% occupied. Newmark Group served as the sales broker for the transaction. 

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BentallGreenOak purchased Alcott Station Buildings B and D from Urban Logistics Realty for an undisclosed price. The two buildings total 918K SF and are part of a 160-acre, master-planned, Class-A business park in Mesquite. Building D was 100% leased at the time of sale to RJW, a third-party logistics provider. Building B, totaling 325K SF, is available for lease. Randy Baird, Jonathan Bryan, Ryan Thornton, Nathan Wynne and Eliza Bachhuber with CBRE National Partners arranged the transaction on behalf of the seller. 

CONSTRUCTION AND DEVELOPMENT

KWA Construction broke ground on Lyle, a 334-unit, five-story luxury apartment community at the intersection of Trinity Mills and Addison roads in Far North Dallas. The property is one of three high-end apartment communities being developed in North Texas as a joint venture between Equity Residential and Toll Brothers Apartment Living. KWA Construction has been enlisted to build the communities, which also include The Settler in Fort Worth and Remy in Frisco — totaling more than 1,000 units. Lyle, which was designed by GFF Architects, is expected to be completed in fall 2024.

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Turcotte Development Group plans to develop a second phase of retail at Fate Village, located at the southwest corner of Interstate 30 and FM 55 in Fate. FRESH by Brookshire’s, also developed by Turcotte, was the catalyst for the Fate Village development when it opened in early 2022. Current retailers joining the 66K SF grocery anchor in the first phase include Starbucks, McDonald’s, Jersey Mike’s, Heartland Dental, Great Clips, Wing Snob and Pet Supplies Plus. Phase 2 of the project will offer another 29K SF of retail/restaurant space for future commercial tenants.

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Core Spaces broke ground in March on Oxenfree at Princeton, a 408-home community in Princeton. The build-to-rent development will include single-family units and townhomes. This will be the company’s debut Oxenfree project and first development in Texas. Construction is led by Treehouse Builders, Core Spaces’ in-house residential building company, with architectural design led by Northworks Architects and Digibilt. Oxenfree at Princeton is scheduled to deliver in April 2024.

FINANCING

Hall Structured Finance originated a new first-lien bridge loan providing for the refinancing of Pegasus Park, a 26-acre mixed-use, life sciences-focused campus in Dallas. The owners and developers of Pegasus Park are J. Small Investments, Montgomery Street Partners and Lyda Hill Philanthropies. The master-planned development includes an 18-story tower with 538K SF of office space, 37K SF of lab and science coworking incubator space operated by BioLabs, and a brewery and restaurant operated by Community Brewing Co. There are also two existing warehouse buildings on the campus slated to be redeveloped into research and development lab space.

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Northmarq arranged the sale of Wyndham on the Creek, a 150-unit multifamily property at 9633 West Ferris Branch Blvd. in Dallas. The Dallas investment sales team of Taylor Snoddy, Eric Stockley, Charles Hubbard and Philip Wiegand collaborated to facilitate the transaction. 

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Northmarq arranged the sale and financing of Candlelight Park Apartments at 1402 and 1407 Acton Ave. in Duncanville. Taylor Snoddy, Eric Stockley, Philip Wiegand and Charles Hubbard of the Dallas investment sales office facilitated the transaction. Senior Vice President Kevin Leamy finalized the permanent fixed loan for the multifamily property, which was structured on a seven-year, partial interest-only term with a flexible prepayment structure. Northmarq arranged the financing for the borrower through Freddie Mac and also represented the seller.

THIS AND THAT

Full-service real estate and property management firm Evernest acquired Fort Worth-based Metroplex Management Co., a property management business focused exclusively on rentals. The acquisition includes the management agreements for more than 100 homes across DFW and boosts the Birmingham-based firm's overall properties managed to 16,000 nationwide. Metroplex Management Co. is the 39th organization purchased by Evernest and one of 18 purchased within the last year.

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Dallas-based Comerica Bank is repurposing idle real estate at select banking centers throughout North Texas to create Comerica CoWorkSpaces, a new concept that offers complimentary office space exclusively to its small-business customers. Through a $3M investment, nearly 10K SF of existing banking center space across nine Comerica Bank locations will be transformed into unique resource centers where Comerica customers can conduct business.