Knighthead Lends $75M on Austin Condo Project
By Andrew Coen February 21, 2023 4:14 pm
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Pearlstone Partners has sealed $75 million of construction financing to build a condominium building in Austin, Texas, Commercial Observer can first report.
Knighthead Funding supplied the loan for Pearlstone Partners’ planned 182-unit condo project in Austin’s South Lamar neighborhood — slated for completion in the second half of 2024. The transaction marks Knighthead’s fifth for Pearlstone since 2020.
“The previous projects we financed are performing at exceptionally high levels,” Henry Boeckmann, vice president at Knighthead, said in a statement. “With demand in the market continuing to remain strong we expect this asset to perform equally well.”
Located at 2323 South Lamar Boulevard, around five minutes from Downtown Austin, the five-story development will consist of studio, one- and two-bedroom residences along with four live-work units. The new project on the 80,900-square-foot site will also include more than 6,000 square feet of street-level retail and office space.
“Fortune 500 companies continue to relocate to Austin bringing a steady stream of new residents that will further drive demand for the kind of housing that this project is providing,” Jonathan Daniel, principal at Knighthead, said in a statement. “Our loan will allow the sponsor to build on the success they have had producing quality housing in this high-growth market.”
Officials at Pearlstone did not immediately return requests for comment.
Andrew Coen can be reached at acoen@commercialobserver.com
