August 9, 2017
Goldman Sachs provided a $78 million loan to pay off construction financing on the 466,950-square-foot Pharr Town Center in the Rio Grande Valley city of Pharr, TX. Houston developer Levcor Inc. launched redevelopment on what was then the El Centro Mall in 2015, at a cost of $100 million.
JLL’s Tom Melody, Tom Fish, Jimmy Board and Jarrod McCabe secured financing on behalf of Levcor. “Capital continues to be available for well-located shopping centers with high-performing, national credit tenants,” Board said. “The institutional activity on this deal speaks to the quality of the asset, the continued drive to brick and mortar retail and the sponsorship.”
A brief in the Commercial Observer noted that, as retail struggles, observers believe enclosed malls are better off redeveloped as outdoor centers, though financing is an issue. Still, demographics likely helped attract capital to Pharr Town Center. Pharr is in the McAllen-Edinburg-Mission Metropolitan Statistical Area, which is the fifth-largest in Texas.
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