Holigan Investments has received $58.7 million in construction financing for the realisation of a condominium project in the Dallas metropolitan area. This project is specifically tailored for automotive enthusiasts and includes luxury garages as part of the residential units.
The financing comprises two components: Crestline Management is providing a first-lien loan of $36.2 million, while PACE Loan Group (PLG) is contributing $22.5 million via a Commercial Property Assessed Clean Energy (C-PACE) loan. The planned development project, named Maranello Luxury Garages in Plano, Texas, will encompass 80 units.
Sustainability through C-PACE Financing
The C-PACE portion of the transaction is explicitly designated for sustainability measures within the luxury garage condominium complex. These measures are expected to reduce annual energy consumption by 28 per cent and water consumption by 14 per cent. Robbie Pinkas, Senior Vice President of Originations at PLG, emphasised in a statement that C-PACE continues to be an effective tool 'to bring unique projects to fruition'. He expressed delight at the strong interest, which has led to robust sales and an expedited construction schedule. In Texas, C-PACE allows for the financing of up to 35 per cent of the total capital requirements for new construction projects.
The project's location, at 4501 Mapleshade Lane, approximately 20 miles north of downtown Dallas, is ideal for connoisseurs and collectors of high-end automobiles. Each unit offers owners the opportunity to customise their garage areas to suit their vehicles. Furthermore, the property will include 7,000 square feet of office space and 28,000 square feet of retail and car service space.
Lee McCormick, President of Lone Star PACE and administrator of the Texas C-PACE programme, commented positively. He stated that the Maranello Luxury Garages project 'will deliver significant reductions in energy and water consumption over time'. This project represents the first of its kind in the luxury garage condominium sector for Michael Holigan, CEO of Holigan Investments. Holigan is also the owner and sponsor of racing teams in NASCAR and AMA Supercross/Motocross. Holigan himself noted that, given the novelty of the project, his development team sought to lower capital costs to ensure its success. He expressed satisfaction with how the financing package was tailored to the project's needs.
Project Features at a Glance
- —Total loan volume: $58.7 million
- —Number of units: 80 luxury garage condominiums
- —Sustainability goals: 28% energy and 14% water savings
- —Additional areas: 7,000 sq ft office space, 28,000 sq ft retail/car service
