Colliers International Tapped to Raise $22M for River House Development
- Nov 10, 2015
New York—Colliers International announced that Jeffrey Donnelly and Ulrike Ahrens of its structured finance team will be the exclusive advisers to Austin, Texas-based developer Stone Development Group Inc. to raise $22 million in debt and equity for the River House construction project, a 200-unit, market rate multifamily development in Sequin, Texas.
The project will consist of six three-story structures spread across a 10-acre site, with amenities such as a large fitness room and swimming pool as well as expansive lawns for residents to host outdoor activities.
The fast-growing Seguin is just 45 minutes outside of San Antonio and has its own manufacturing base with companies like Continental AG (Motorola), CMC Steel, Tyson Foods and Texas Power Systems (CAT). The city is also on the Interstate 10 corridor to Houston and south of the Interstate 35 corridor to Austin.
The 200-unit residential complex is not Stone Development Group’s first rodeo with construction projects throughout Texas. In addition to the River House project, Stone Development Group has facilitated construction for several asset types, including completing all the roads and horizontal infrastructure for the 80-acre, mixed-use development site in which the residential project will reside.
“This assignment is the perfect cocktail of experienced developer, strong and growing submarket, well-conceived project design and robust return profile in a market with substantial housing needs,” said Donnelly, an executive director with Colliers International.
Donnelly said he expects the financing to be finalized by the first quarter of 2016, and the team is focusing on raising $3.5 million to $4 million in equity.
“We have the mandate not only for a preferred equity solution, but also for the option of a more active, participating joint venture equity partner,” he said, adding that Stone Development Group is open to co-developing the project with another firm if the right partner or equity investor comes along.
Image courtesy of The Marino Organization