Passport 125

Stream acquired an 8.59-acre site in the southeast section of the DFW Airport submarket in an off-market transaction after many years of working closely with the Airport and various tenants in the submarket. The land is equidistant to Dallas and Fort Worth, providing local, regional, and national distribution tenants easy access to the population of more than 5.5 million people. All land in the DFW Airport submarket is owned by the airport and ground-leased to developers, with the southeastern portion recently being opened for development. Large tenants such as Amazon, Samsung, Mars and Hello Fresh have occupied space in the area. Our business plan is to develop a 125,433 SF single-building industrial asset.

Shortly after signing a ground lease with DFW Airport, we closed a loan with Pinnacle Bank at 65% LTC and broke ground on the development project. All construction was completed in early 2023, and we signed a lease for the full building with a Korean manufacturer of ATMs with lease terms at the top level of comparable assets. We decided to bring the asset to market for sale in 2024 given the submarket’s strong fundamentals. The sales process was complicated by the unique ground-lease structure, so we decided to realize the asset when we received a viable offer.