Harwood has secured a $100 million construction loan for its new office project, Harwood No. 15, in Dallas. The financing was provided by TPG Capital, according to a report from Traded. The company did not immediately respond to requests for comment.
The planned building will be 23 stories tall and cover 340,000 square feet at 3008 North Harwood Street, located in the Harwood District between Uptown and downtown Dallas. The development will include features such as a sky garden, a rooftop restaurant, and a gym. State filings from November of last year estimated the total cost of the project at $120 million, with completion expected in June 2027.
Law firm Jones Day has signed a lease for 73,000 square feet in the new building. The firm has been a tenant at Harwood 3 since 1999.
The loan comes after a challenging year for Harwood, which has faced difficulties stabilizing its office portfolio. Earlier this year, the company narrowly avoided losing Saint Ann Court (Harwood No. 6) at 2501 North Harwood Street to foreclosure by reaching a recapitalization deal just before the scheduled auction. The property was at risk after Harwood defaulted on a $138 million mortgage.
Three months later, Spear Street Capital, based in San Francisco, took ownership of the 221,000-square-foot Harwood No. 4 through a $73 million credit bid. Deed records indicate that Spear Street had recently purchased the building’s mortgage from Affinius Capital Management. Harwood reportedly defaulted on the $80 million mortgage tied to the 20-story office building at 2828 North Harwood Street.
In May, Harwood engaged Newmark to help find equity partners and additional debt for the next phase of development in the Harwood District. The district covers 30 acres and is located near other major developments such as Parkside Uptown and Hunt Realty’s NorthEnd campus.
The area is considered a key part of Dallas’ commercial real estate market and is home to several large projects by other developers.
