Gasworx developers close construction loan for more apartments
By Ashley Gurbal Kritzer
Tampa Bay Business Journal
Published: May 6, 2024

The developers of Gasworx have landed a construction loan for the district's next apartment building.

A corporate entity linked to Washington, D.C.-based Kettler and Ybor City developer Darryl Shaw secured a $70.76 million construction loan from CIBC U.S., according to a mortgage filed May 3 in Hillsborough County. Kettler and Shaw are joint venture partners in Gasworx, which is between the Channel district and Ybor City. At completion, Gasworx will span 5.9 million square feet across 34 acres — generally north of Adamo Drive, west of North 15th Street, south of East Fifth Avenue and east of East Scott Street.

The loan will be used for a 390-unit apartment building with 8,000 square feet of street-level retail space. It is scheduled for completion in early 2026. It will rise south of La Union, the first apartment development in Gasworx, which broke ground in early 2023. La Union has 317 apartments and 2,500 square feet of retail space.

Developers across the U.S. face challenges securing construction financing, as high interest rates and materials costs make underwriting difficult. But banks still have confidence in Florida real estate — bolstered by the state's population growth, especially in the Tampa Bay region. In St. Petersburg, developer Kolter Urban recently landed a $182 million construction loan for a luxury condo tower.

Beyond Gasworx, Shaw is also working to revitalize Ybor's historic Seventh Avenue and is in the planning stages of Ybor Harbor.