2815 E. Centerville Road Garland, TX 75040 150,926 SF Class A distribution building Scott Birdsong 214.929.3013 sbirdsong@leoncapitalgroup.com James Mantzuranis Vice President 214.267.0494 jmantzuranis@streamrealty.com Adam Jones Senior Vice President 214.701.1639 adam.jones@streamrealty.com A LEON INDUSTRIAL INVESTMENT OPPORTUNITY CONFIDENTIAL
Confidentiality & Disclaimer
We continue to seek out high returns in Industrial, with an interest in assets that can last in a vibrant economy or an economic halt. Acquisitions, development and joint venture partnerships each have their own unique strategy and approach, that we continuously assess to maintain longevity. Both our acquisition and development strategies are agnostic to hold period. We believe in both the long-term viability of the asset class and the value of portfolio aggregation; however, we continuously assess the ideal exit for each individual asset.
Leon Industrial Group 2
© 2024 Leon Capital Group
Leon Industrial Group 3 Table of Contents 04 Executive Summary 06 Investment Highlights 08 Property Overview 10 Property Photos 12 Maps 14 Area Overview 18 Demographics 20 Tenant Profiles 22 Financials 24 Contact and Summary
Executive Summary
Project
Town East Junction 540 is a development opportunity contemplating a single parcel of land totaling 13.22-acres of industrial zoned land located at 540 S. Town East Blvd. in Mesquite, TX. The acquisition will enable Leon Industrial to develop a modern Class A industrial building totaling ~193,800 SF.
Project Status
The Project is currently under construction. Construction completion is projected for First Quarter of 2024.
The project costs are nearly finalized. The largest remaining variables are lease-up terms, capitalization, and exit price. Analysis sensitizing these variables can be found in the back of this deck.
Leon Industrial Group 4
Leon Industrial Group 5 2815 E. Centerville Road Garland, TX 75040 150,926 SF Class A distribution building Summary Projected Returns Project Timeline Date IRR Mult. Month NCF Address 2815 E. Centerville Road $9,758,271 0 Project Level – Unlevered Acquisition February 2022 21.1% 1.4x City Garland, TX $8,305,545 14 Project Level – Levered Obtain Full Permits April 2023 29.0% 1.6x Building GSF/NRSF 150,926 $4,551,431 15 WADE Equity Construction Start May 2023 21.9% 1.5x Total Project Cost $25,733,227 $3,754,113 23 LCG Equity *Waterfall Structure: 75/25 to a 10% IRR, 60/40 to a 14% IRR, 45/55 to an 18% IRR, 37.5/62.5 thereafter Construction End January 2024 47.8% 2.2x Developer Fee $750,494 32 Full Stabilization October 2024 Disposition February 2025 Trended Rent/NRSF $9.28 / ($8.25) 36 Stabilized NOI $1,798,934 Stabilized Yield on Cost (Untrended) 6.99% (6.21%)
Leon Industrial Group 6 Location Overview 2815 E. Centerville Road Garland, TX 75040 150,926 SF Class A distribution building
Dallas
Garland
Garland
Leon Industrial Group 7 leoncapitalgroup.com/industrial Property Overview 2815 E. Centerville Road Garland, TX 75040 150,926 SF Class A distribution building Premiere DFW Industrial Park Traditional DFW Airport Ground Lease 150,926 SQ FT 36’ Clear Height 135’ Truck Courts 100% Leased Diverse Tenant Roster 8.75 Years Weighted Average Lease Term 2.44 Million 15 Mile Population
