$29M construction loan arranged on behalf of Portman Industrial for Boston-area industrial development

BOSTON, Jan. 30, 2024 – JLL Capital Markets announced today that it arranged $29 million in construction financing for the first phase of the 1.1 million-square-foot, state-of-the-art industrial business park in Taunton, Massachusetts. The site was previously home to the Silver City Galleria shopping mall that closed in 2020 after 29 years of operations.

JLL represented the borrower, Atlanta- based Portman Industrial, to secure the three-year construction loan from BMO Harris Bank.

The master-planned park is well positioned to benefit from the site’s existing infrastructure, including high-capacity utilities, exclusive access to the Route 140/Route 24 onramp and ample land with ideal topography for generous truck courts and flexible parking throughout. Upon completion, the 248,435 square-foot-industrial building will feature over 38 dock positions with two drive-in doors, 32-foot clear heights, over 270 parking spaces, 29 trailer drops, 3,000 AMPs of power capacity (with expandability) and ESFR fire suppression.

The industrial park is located in the heart of the Southern Massachusetts industrial park cluster, which totals over 20 million square feet. The development is situated at the intersection of Route 24 and Route 140. It has exclusive access to the Route 140/Route 24 onramp, providing a prime logistics-oriented location with seamless accessibility to all of Greater Boston’s major highway systems and population centers. The park's regional access will allow for a wide range of users to benefit from the ability to reach a population of over 9.3 million and 3.7 million households in less than a two-hour drive.

The growth of e-commerce and logistics operations have been major factors in the growth of the south submarket. As a result, the south submarket has benefited from tenants prioritizing transportation costs, time and delivery logistics to the end-user in the Greater Boston area. Taunton is home to several corporate warehouse and distribution operations including Wayfair, DHL, Jordan’s Furniture, Shaw Industries, WorldPac, Pods, General Dynamics and more.

The JLL Capital Markets team representing the borrower was led by President Capital Markets Americas Jody Thornton, Senior Managing Director Brett Paulsrud, Director Ryan Parker and Analyst Ari Bogen.

“It has been extremely rewarding to represent Portman Industrial in capitalizing the first phase of this marquee industrial park,” said Thornton, who led the team representing the borrower.

“The ability to secure speculative development financing in this turbulent capital markets environment is a testament to Portman Industrial’s brand name as well as the quality and scale of Silver City Business Park. BMO Harris provided a seamless execution at a time when development capital from national banks has become scarce,” added Paulsrud.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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Portman Industrial is a division of Portman Holdings, focused on the development of logistics real estate in strategic markets across the United States. Portman Industrial is a national developer with projects totaling over 800 acres of land that encompass developments of over 8.3 million square feet of modern logistics space at a development cost of nearly $1 Billion in over 12 key markets across the U.S.

Portman is a real estate development company with a rich history of developing premier projects that span five decades and three continents. The company was founded by famed architect and developer John C. Portman Jr. who originally pioneered the concept of the architect as a developer and created a global legacy of large- scale mixed-use developments. Today, the company is led by Chairman and CEO Ambrish Baisiwala and President John Portman IV. Today, Portman multi-faceted expertise sets the standard of excellence for developing stand alone and mixed-use office, residential, industrial, hospitality, and retail developments nationally across the USA. Each line of business is led by a Managing Director and supported by a corporate structure.