Affinius Capital LLC announced today that they have originated a $135 million loan to finance the ground-up development of Perris Gateway, an 850,000-square-foot industrial development in Perris, CA. Bank OZK provided the senior portion of the loan, while Affinius Capital originated the subordinate portion. The loan was provided to a joint venture between DECA Companies and Wildcat Capital Management and will be used to finance the construction and lease up of the project.
Affinius Capital Managing Director Tom Burns commented, “This transaction represented a rare opportunity to provide construction financing for a large-scale warehouse project with excellent visibility and access to I-215. Given the leasing velocity of industrial buildings greater than 750,000 square feet in the Inland Empire, we are very excited to close this transaction with DECA and Wildcat as Perris Gateway will be one of only a handful large cross dock buildings available for lease in 2025.”
“Bank OZK is pleased to once again partner with Affinius Capital to provide financing for this expansive industrial development that will serve as a convenient, flexible and accessible distribution hub,” said Jason Choulochas, Managing Director of Originations at Bank OZK.
“Today marks an exciting milestone for Perris Gateway. We are thrilled to have such great partners in Affinius, Bank OZK, and the City of Perris. Perris Gateway will be a next-generation industrial facility in a strategically located supply-constraint market,” said Stanley Zheng, Vice President at DECA Companies.
Perris Gateway will feature cutting-edge specifications designed to meet the demands of modern logistics and industrial operations including: an impressive 40′ clear ceiling heights; 124 dock-high doors; 4 drive-in doors; and 4,000 amps of power. The development will also provide ample parking with 348 auto parking stalls and 308 trailer parking stalls, addressing the needs of both employees and logistics operations.
Located just off I-215 via the Ramona Expressway, Perris Gateway will offer seamless connectivity to key markets such as Las Vegas, Phoenix, San Diego, and Tucson within a one-day drive and San Francisco, Reno, Salt Lake City, and Albuquerque within a two-day drive. Additionally, the site is only 75 miles from both the Port of Long Beach and the Port of Los Angeles, two of the largest ports in the United States.
The Inland Empire industrial market has historically been one of the tightest industrial markets in the country, particularly for large-scale industrial buildings. The demand for facilities over 750,000 square feet remains exceptionally strong, with CBRE reporting a sub-five percent vacancy rate for these larger facilities.
About Affinius Capital LLC
Affinius Capital® (previously known as USAA Real Estate and Square Mile Capital Management) is an integrated institutional real estate investment firm focused on value-creation and income generation. With a 40-year track record and $32 billion in net assets under management, Affinius has a diversified portfolio across North America and Europe providing both equity and credit to its trusted partners and on behalf of its institutional clients globally. For more information, visit www.affiniuscapital.com.
About Bank OZK
Bank OZK (Nasdaq: OZK), through its Real Estate Specialties Group (RESG), provides financing on commercial real estate projects throughout the nation. RESG is considered a preeminent, market-leading construction lender focused on senior secured financing for a variety of property types including mixed use, multifamily housing, condominiums, office, hospitality, life sciences, industrial and retail. For the five years ended June 30, 2024, RESG originated approximately $42.2 billion in new loans. For more information, visit www.ozk.com.
About DECA
DECA’s principals have over 80 years of real estate development and investment experience, and have developed millions of square feet of industrial, office, hotel, and residential property, including large-scale public-private partnerships. DECA has over 11,000,000 sq. ft. of projects under development, including 8.0 million sq. ft. of warehouse/industrial, 275,000 sq. ft. of self-storage, 1,500 units of multifamily residential, and 120,000 sq. ft. of class-A office. DECA’s projects have a finished value of ~$3.8 billion. For more information, visit www.decaco.com.
