Tower Capital arranged $27.8 million in non-recourse construction financing for a build-to-rent multifamily community in McKinney, TX. The 13.2-acre property, which was purchased by Hanson Capital in 2019, is located at 2703 Rockhill Road and will house a 128-unit development that is expected to deliver in Q1 2023. The financing arranged by Tower Capital allows Hanson Capital to finish the horizontal improvements and fund the vertical improvements.
“We own a portfolio of both multifamily and industrial projects in the Dallas-Fort Worth market, but this will be our first out-of-the ground, build-to-rent multifamily development,” said Chris Hanson of Scottsdale, AZ-based Hanson Capital.
The project will feature one to three bedrooms ranging in size from 833 square feet to 1,621 square feet, a resort style pool and spa, fitness center, paseo with shade structures, BBQ grills, a bocce ball court, a playground, a dog park and dog wash.
“Fundamentals for the single-family build-to-rent sector has continued to accelerate due to heavy demand driven by household formations, net migration, and COVID-related shifts, such as remote work,” said Kyle McDonough, principal and co-founder of Tower Capital.