Mesa West Capital has provided a joint venture between Knightvest Capital and TPG Angelo Gordon with a $42 million first mortgage loan for the acquisition and renovation of a 149-unit townhome community in Dallas.
The five-year, non-recourse loan is secured by Perry Row, a multifamily townhome community located at 6044 E. Lovers Lane in Northeast Dallas, approximately six miles north of downtown Dallas. Built in 2009, the property offers a mix of one-, two-, and three-bedroom townhome-style units. Each residence includes stainless steel appliances, granite countertops, hardwood flooring, in-unit washer/dryers, walk-in closets, balconies and fireplaces. Community amenities include a 24-hour fitness center, resort-style pool, outdoor kitchen and business center.
Perry Row benefits from strong demand drivers, particularly its prime location at the intersection of several of Dallas’ most desirable neighborhoods, including Highland Park, University Park, and Preston Hollow. Residents enjoy convenient access to major retail destinations such as Old Town Shopping Center, Medallion Shopping Center, NorthPark Mall and The Shops at Park Lane, a mixed-use complex offering more than one million square feet of retail and office space.
The nearby U.S. 75 Central Expressway connects the community to the major employment centers in uptown and downtown Dallas, which together are home to more than 160,000 employees and 6,000 businesses, including headquarters for Fortune 500 companies such as AT&T and McKesson.
The property has undergone limited capital improvements since it opened in 2009. The new owners intend to execute a comprehensive renovation program encompassing exterior and common area upgrades as well as full unit interior renovations. The community’s large, townhome-style units are a unique offering within the infill Northeast Dallas submarket.
“We believe this is a unique value-add opportunity featuring highly desirable townhome product that is differentiated from the bulk of the existing stock within the market,” said Brian Hirsh, Head of Mesa West Capital’s Central Region, who led the origination team out of Chicago along with Jonah Sacks. “The joint venture between Knightvest and TPG Angelo Gordon is well positioned to successfully execute this business plan and drive value.”
In September, Mesa West also provided financing for Knightvest’s acquisition of The Lofts at Strickland, a 156-unit multifamily community in Raleigh, North Carolina.
The financing was arranged by Mark Brandenburg out of JLL’s Dallas office.
