Gillespie Field iPark
El Cajon, CA
January 10, 2024
Gillespie Field iPark Development in El Cajon Set to Deliver 386,336 Square Feet of Class A Industrial Space in Tight Infill Market; Gantry Plays Key Role in Underwriting and Maximizing Proceeds Over Full Year of Negotiations to Optimize Structure and Scope
San Diego, Calif. – Gantry, the largest independent commercial mortgage banking firm in the U.S., has secured a $91 million construction loan for the development of a modern, 386,336-square-foot spec industrial building. Gillespie Field iPark will be located at 1756 Weld Blvd in El Cajon and has a target completion of Q2 in 2025.
As designed, the new construction will offer state-of-the-art features including 30-32’ clear height, ESFR sprinklers with K-25 heads, 64 loading docks, 4 grade level doors and rare excess land providing 115 additional truck trailer stalls. The building is designed to achieve net zero emissions from its rooftop solar array and will offer charging stations for EV semi-trucks.
Gantry’s George Mitsanas, Principal, Peter Hillakas, Senior Director, Drit Shoemaker, Director, and Austin Ridge, Associate, represented the borrower, Chesnut Properties. The $91MM construction loan was provided by 3650 REIT, an institutional debt fund, with terms including two extension options and non-recourse covenants.
According to Gantry’s Peter Hillakas, “This financing required as much tenacity as it did creativity. We worked with the Chesnut team under frequently changing market conditions for a full year to maximize proceeds and optimize terms for the project. Ultimately, 3650 REIT stepped up and partnered with our team on every facet and market shift to become the definitive source for this financing.”
Gantry’s Drit Shoemaker added, “This was a highly nuanced assignment during an especially challenging year for the debt markets and we couldn’t be happier with the outcome. Our goal is to consistently exceed client expectations and we are very pleased to have done that and delivered for Chesnut Properties where others could not.”
Gillespie Field iPark is 44% pre-leased to a top-tier aerospace manufacturer and negotiations are underway for the remaining suites. Interested parties are encouraged to contact Chesnut Properties directly for availability and site tours.