CrossHarbor Capital Fund Seeds $140M in Financing for Multiple Industrial Projects in Southwest, Southeast

The loans were originated by the firm’s recently launched CrossHarbor Senior Debt Income Fund, which is based in Chicago. The fund partnered with National Life Group to provide Scannell Properties of Indianapolis with the construction financings.

A rendering of Scannell Properties’ project in Jacksonville, FL.

BOSTON—CrossHarbor Capital Partners, a locally-based investment management firm, has closed a $142-million first mortgage construction financing package, comprised of six separate cross-collateralized loans for the development of a six-property industrial portfolio in Florida, Georgia and Texas.

The loans were originated by the firm’s recently launched CrossHarbor Senior Debt Income Fund, which is based in Chicago. The fund partnered with National Life Group to provide Scannell Properties of Indianapolis with the construction financings.

National Life Group will provide an $85.4-million first mortgage senior A-note. CrossHarbor will hold the $57-million subordinate B-note.

The financings include an $84.1-million three-phase development in Fort Worth, TX that will span 1.6 million square feet across three buildings and contain a combined 97.2 acres. All of the buildings will feature 36’ clear heights, with depths ranging from 360’ to 600’ and 68 to 142 dock doors. One building will feature a rear-loading configuration, while the other two will be cross-docked. Each asset is being constructed with Class-A finishes, strong parking ratios, and well thought out configurations. The properties will be located in the Alliance submarket of North Fort Worth.

The loans will also finance the development of a $18.3-million two building development site in Jacksonville, FL that will span 273,500 square feet on a combined 17 upland acres. Both buildings will be rear-load buildings, however with slightly different configurations. One building will feature 37 dock doors, 32’ clear height, and 260’ depth. The other building will feature 28’ clear heights, 34 dock doors, and a depth of 240’. The Jacksonville project site is located just three miles from the Jacksonville Airport in the Jacksonville International Tradeport.

A $47-million industrial development in Savannah, GA totaling 998,400 square feet and situated on 67.8 acres also secured financing. The cross-docked, 520’ deep building will feature 224 dock doors and 36’ clear height. The site is located in the Morgan Lakes development, northwest of the Savannah International Airport and the Port of Savannah.

“CrossHarbor and Scannell are existing relationships for National Life Group, so the execution was seamless, and we anticipate it will translate into additional lending opportunities in the near future”, according to Paul Wolters, head of commercial real estate for Sentinel Asset Management Inc.

“Our new debt fund strategy reflects the growing opportunity nationwide for alternative lending and serves as a natural extension of our firm’s proven track record in commercial real estate investing,” adds Richard Flohr, managing director and portfolio manager for the CrossHarbor Senior Debt Income Fund.