San Diego industrial development financed with $35.35M loan

SAN DIEGO, August 31, 2022 – JLL Capital Markets announced today that it has arranged $35.35 million in construction financing for the development of Phase II of Brown Field Technology Park, two to-be-built Class A industrial buildings totaling 203,244 square feet in the Otay Mesa submarket of San Diego, California.

JLL worked on behalf of the developer, San Diego-based Murphy Development Company (MDC), to place the non-recourse construction loan with a regional bank.

Phase II of Brown Field Technology Park will feature two modern state-of-the-art industrial buildings with clear heights ranging from 32 to 34 feet, up to 41 dock-high doors, up to eight grade-level doors, ESFR fire protection and low office finish. The buildings, which are anticipated to be delivered in the second quarter of 2023, are part of MDC’s Brown Field Technology Park, a 50-acre master-planned corporate industrial development in Otay Mesa that is entitled for more than 3.2 million square feet of state-of-the-art designed buildings.

The 13.81-acre site for Phase II of Brown Field Technology Park is within San Diego’s highly sought-after Otay Mesa Industrial submarket, which is a thriving market on the U.S.-Mexico border with a strong labor pool, central location, corporate neighbors and easy freeway access. The site is also less than a mile from Brown Field Municipal Airport and near the Otay Mesa Land Port of Entry, the largest commercial land port of entry in the nation with more than $50 billion in annual trade.

The JLL Capital Markets Debt Advisory team that represented the borrower was led by Senior Managing Director Aldon Cole, Managing Director Bryan Clark and Associate Bradley Vansant.

“Despite the recent turbulence in the lending market we continue to see a large amount of interest from capital providers to finance high-quality industrial developments with experienced sponsors in markets with strong macro-economic indicators,” Clark said.

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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Jones Lang LaSalle Americas, Inc. ("JLL") is a real estate broker licensed with the California Department of Real Estate, license #01223413.

Murphy Development Company master plans and develops state-of-the-art corporate industrial, technology and life science parks in San Diego.  In Otay Mesa, the area just north of the U.S./Mexico Border in San Diego, the 37-year-old company has developed or master-planned in excess of 10 million square feet and has concluded lease and build-to-suit transactions with numerous Fortune 500 companies.  The company is also developing 31 acres in the Scripps Ranch sub-market of San Diego.  Murphy Development is headquartered in Otay Mesa.  For more information visit www.murphydev.com.