Dive Brief:
- Atlanta-based developer Novare Group and Batson Cook Development have started construction of a 25-story luxury tower along the "$5 Billion Mile" in Frisco, Texas, according to The Dallas Morning News. When complete, the apartment high-rise will be the city's tallest building.
- Branded SkyHouse Frisco Station, the building will include 332 rental units, which will be a mix of studio, one-, two- and three-bedroom apartments. Upper-floor units will have more square footage to accommodate senior executives and their families who are relocating to Frisco. Overall, however, developers are targeting the millennial market with features like a pool, outdoor kitchen, social gathering spaces, fitness center, dog spa and business center.
- General contractor Balfour Beatty is building the tower, which is part of the $1.8 billion, 240-acre Frisco Station development and is located next to the site of the future mixed-use entertainment project called the Hub. Construction is scheduled for completion in 2019.
Dive Insight:
The project was first announced last April, along with preliminary plans for a 17-story residential tower in the Dallas Cowboys' Star in Frisco campus. Frisco officials have approved plans for the Star House, which will have 160 units. Frisco Station's SkyHouse project is part of that development's plan for 2,400 total residential units.
The pace of development is so fast in Frisco that city officials have estimated that, in addition to the concentrated $5 billion of projects along the North Dallas Tollway, there are billions more elsewhere in the immediate area.
But not everything is go, go, go in Frisco. Work stopped on one project, the $2 billion Wade Park, in December after reports of unpaid bills totaling $7 million. At the time, Frisco officials said that developer Thomas Land & Development was in the process of securing additional financing.
According to The Morning News, however, the project's lenders are forcing the sale of the property in an effort to recoup $130 million in loans after declaring the developer in default. The Morning News also reported that Thomas Land & Development is still in negotiations with lenders and those who have filed construction liens against the project in the hopes of coming to a resolution that avoids foreclosure.
If the project is scuttled, that means bad news for the foreign investors who have put money into the project under the EB-5 visa option. The federal program puts foreign nationals at the head of the green-card application processing line in exchange for an investment of $500,000 to $1 million in a qualified project. The immigration status of 30 investors who have pledged $25 million to the project is at risk if Wade Park cannot continue.
