Dallas developer Hamilton Properties has obtained funding to start the $29 million second phase of its Lone Star Gas Lofts apartment project in downtown Dallas.
The redevelopment of the historic Lone Star Gas buildings on Harwood Street has received $11.75 million in loan guarantees from the U.S. Department of Housing and Urban Development.
“Looks like we will start construction in mid May,” developer Ted Hamilton said Friday in an email. “We’ve already cleaned out part of the buildings.”
“The conversion will result in the creation of 123 rental units, and 51 percent of them will accommodate moderate income people and families. In addition to housing, over 9,500 square feet of retail space will be created as well as parking facilities,” HUD said in a statement.
Hamilton Properties opened the $16 million first phase of the office building redevelopment last year.
A 12-story marble and glass office tower on Jackson Street that was built in 1979 was remodeled into 107 affordable rental housing units.
The next phase will include the two oldest Lone Star Gas buildings, which were built by the Dallas utility in 1924 and 1930.
A 1960s building on Wood Street will be converted into parking.
For the Lone Star Gas project, Hamilton Properties has two strong partners.
Central Dallas Development Corp. is part of the Lone Star Gas Lofts development team. PNC Bank is both a lender and equity partner on the project.
Andres Construction is the general contractor.
And Dallas architect Merriman Associates is the designer for the entire project.
The Lone Star Gas buildings are just blocks from Dallas’ Farmers Market which is undergoing a redevelopment just approved by the Dallas City Council. The project built around the city’s open air produce market will include apartments and retail space.
“That part of town is turning around,” Hamilton said. “We should have people moving in the first building in about 12 months.”
Renowned Dallas architects Lang & Witchell designed the two brick buildings fronting on Harwood.
The largest of the landmarks is a 13-story tower constructed in 1930 that is considered one of downtown’s best art deco style buildings. The lobby on the ground floor will be used for retail space.
The Lone Star Gas buildings are two of the last unrestored downtown Dallas historic properties.
Hamilton Properties has a long track record of transforming empty Dallas office buildings into apartments.
The company redeveloped the Davis Building, Dallas Power & Light buildings, the Mosaic loft buildings and the former Santa Fe warehouse which is now an Aloft Hotel.
Source: Dallas News