S
ycamore Development, a branch of Sycamore Strategies, is reviving the historic Cabana Hotel in the Dallas Design District. The $55 million adaptive reuse project will bring 158,000 square feet of residential space to 899 Stemmons Freeway, featuring 175 apartments with market-rate and subsidized options. Hunt Capital Partners has joined as a development partner, while Andres Construction serves as general contractor.

    The redevelopment aims to restore historic elements like the facade, terrazzo flooring, and pool deck. The estimated cost per unit is $314,000, but tax increment financing of $41 million will support the project. At least 70 units will be reserved for tenants earning 30-80% of the area median income for 45 years.

    Developer Zach Krochtengel has experience building mixed-income housing in Dallas and sees this project as a great opportunity. The city's approval of an $82 million affordable housing bond earlier this year is expected to help finance projects like this one, which will contribute to meeting the city's need for approximately 33,600 additional affordable rental homes.

    Construction is expected to conclude in early 2026, with plans to incorporate photography from the hotel's heyday into the design. The Cabana Hotel was a famous stopover for mid-20th Century luminaries like The Beatles and Richard Nixon when it was built in 1962 by Jay Sarno.