Retail JV Buys Second Project Site

The developer is Margaux Development Co., led by managing principal Don Silverman of Dallas, whose firm came out of the ground with Kroger as the star and Granite Properties as the capital player. The JV's second project will be the 100,000-sf Village of Los Rios, which will go up on 9.2 acres at the crossroads of FM 544 and Los Rios Boulevard in East Plano. In recent months, ground broke on the 125,000-sf first phase to Stonegate Plaza, a 16 1/2-acre project in Crowley. Margaux has 61,824-sf Kroger Signature stores anchoring both projects.

Silverman tells GlobeSt.com that the East Plano site is nestled in a "void," with the nearest grocery-anchored centers located 1 1/2 miles to three miles from the Los Rios tract. "There isn't even a Starbucks in that part of Plano," he says.

With that as a marketing tool, UCR's Stan Lottridge has edged pre-leasing above the 50% mark in deals from national and regional retailers. "There has been a terrific response," Silverman says of a project that had the team at work before the land could close. "We think we have a niche opportunity," he says of the East Plano location where retail is working to catch up to the rooftops.

Silverman says the Village at Los Rios should break ground in about six weeks to easily bring in a delivery before the year ends. Stonegate Plaza will deliver in the summer at the intersection of Crowley Road and the Texas 1187 interchange in south Tarrant County.

Mack House of NAI Stoneleigh Huff Brous McDowell in Fort Worth has pre-leasing at 35% as he closes in on more community services for Stonegate Plaza's tenant base. Both projects, designed by CDA Architects of Houston, will deliver at 100% occupancy, says Silverman, confident project locations in high-growth corridors will make that possible. He's not ready to discuss the other Dallas-Fort Worth locations, but he has just secured Kroger approval for one site and has two more working through the process.