For more retail coverage, click GlobeSt.com/RETAIL.
HOUSTON-Cypress Mill Plaza I, a brand-new, 116,085-sf, shadow-anchored center in the northwest part of the city, has secured a $10-million permanent mortgage from New York City-based JPMorgan Mortgage Capital. The mortgage replaces a construction loan.
Tucker Knight, a director with the Holliday Fenoglio Fowler LP's local office, arranged the 10-year, securitized loan for the center's owner and developer, Crosswell-Greenwood Commercial Development. The 80% loan-to-value financing has a sub-6% fixed-rate interest and 30-year amortization schedule. "We had a very large group of lenders interested," Knight tells GlobeSt.com. "Retail is a very favored asset class right now."
Positioned on nine acres at 26060 US Highway 290 West near the intersection of Spring Cypress Road and 290, Cypress Mill Plaza I is 92% leased. Tenants include Hobby Lobby, Palais Royal, RadioShack, Verizon Wireless, Payless Shoe Source and Sport Clips. The leases have five- to 10-year terms. Crosswell-Greenwood Commercial also is developing a Dollar Tree that will be part of the financing collateral. The store will open in June.
Cypress Mill Plaza I is shadow-anchored by Wal-Mart and Home Depot, neither of which are tied to the financing collateral. "Everybody went after this deal because it's right between a Wal-Mart and a Home Depot," Knight says. "From a lender's standpoint, you can't get much better than that."
The center also is located in the middle of a densely populated residential and retail area. "It's one of the fastest growing parts of Houston," Knight says, citing the Rouse Co.'s nearby 9,000-acre, master-planned community.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
