Cottonwood Group provides $105M construction loan for Austin life‑sciences campus

Austin, Texas, September 20, 2025

News Summary

A real estate private equity firm has provided a $105 million construction loan to fund a build‑to‑suit life‑sciences facility in northeast Austin. The biotech tenant will occupy roughly 220,000–223,500 square feet within the 425‑acre EastVillage ATX mixed‑use development. The project, co‑arranged by Newmark and CBRE and delivered by a Buffalo master developer with a San Francisco development partner, is expected to add specialized lab, manufacturing and office space and support about 1,000 jobs. With construction financing in place, site work, permitting and fit‑out are the next steps that will expand Austin’s life‑sciences inventory.

Cottonwood Group Provides $105M Construction Loan for BillionToOne Life‑Sciences Build‑to‑Suit in Austin

Cottonwood Group has provided a $105 million construction loan to fund a build‑to‑suit life‑sciences facility for biotechnology company BillionToOne at EastVillage ATX on Austin’s northeast side. The project is sited within a larger 425‑acre mixed‑use development and is scheduled for completion in early 2027. The facility is expected to support roughly 1,000 new jobs.

Top facts

• Lender: Cottonwood Group, a real estate private equity firm with offices in Boston, Los Angeles and New York.
• Loan amount: $105,000,000 (construction loan).
• Tenant/end user: BillionToOne (biotechnology company).
• Facility size: 223,500 square feet as stated in the loan announcement; a separate report lists the space at 220,000 square feet. See note on the size discrepancy below.
• Project site: EastVillage ATX, a 425‑acre master‑planned development on Austin’s northeast side.
• Master developer: Reger Holdings (Buffalo‑based), in partnership with Tarlton Properties (San Francisco‑based) to develop the facility.
• Loan co‑arrangers: Newmark and CBRE.
• Expected completion: Slated for early 2027.

Why this matters

The financing moves a large, purpose‑built life‑sciences building into Austin’s development pipeline, adding specialized lab and research space that local firms and new entrants need. The size and intended use of the facility signal investor confidence in the region’s growing bio and health sector and expand the supply of ready‑to‑occupy space for biotechnology operations.

Local and market context

Recent industry analysis finds Austin’s bio and health ecosystem is gaining momentum. The city is reported to host over 1,100 bio and health companies employing about 21,000 people, with the sector valued at roughly $42 billion. Venture capital flows into the local sector totaled approximately $3.5 billion over the prior five years. Analysts note Austin ranks among the top cities nationally for bio and health funding and continues to see steady growth in specialized commercial space; a recent tally put available bio and health space in the city at about 9.6 million square feet.

At the national level, life‑sciences markets are influenced by several factors. A widely referenced industry market report highlights rapid adoption of AI in drug discovery and clinical development as a significant long‑term tailwind, while also noting elevated vacancy levels in some major markets. Investment sales activity in R&D properties has seen year‑over‑year gains in certain hub markets, reflecting renewed capital interest in specialized real estate for life sciences.

Project partners and roles

The EastVillage plot for this facility is being delivered through a partnership between the site’s master developer and a development partner. The construction loan was led by Cottonwood Group, with Newmark and CBRE listed as co‑arrangers, indicating a syndicated financing approach typical for large specialty projects. The arrangement brings together private equity capital and commercial real estate advisory capabilities to underwrite and structure construction funding for a single tenant build‑to‑suit.

Potential impacts and considerations

When operational, the facility is projected to create about 1,000 jobs, which could influence local workforce demand, transportation patterns and service needs in nearby neighborhoods. Observers note that growth in life sciences depends not only on large new projects but on strengthening the broader cluster of startups and mid‑sized firms, improving access to lab space, and ensuring capital and policy environments that support long‑term sector investment.

Note on the floor‑area discrepancy

There are two reported figures for the facility size: 223,500 square feet in the loan announcement and 220,000 square feet in a separate local report. Such variations can arise from rounding, different methods of measuring gross floor area, or updates to building program details. Parties seeking the most precise figure should consult the developer or project filings for the final approved building plans.

Next milestones

Key upcoming steps include continued site preparation, vertical construction under the current construction financing, permit and inspection milestones, tenant build‑out coordination, and workforce recruitment as the project approaches its early‑2027 projected completion.

Frequently Asked Questions

{
“@context”: “https://schema.org”,
“@type”: “FAQPage”,
“mainEntity”: [
{
“@type”: “Question”,
“name”: “What is the size of the BillionToOne facility?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The loan announcement lists the facility at 223,500 square feet; a separate report lists it at 220,000 square feet. The discrepancy likely reflects rounding or differing measurement conventions.”
}
},
{
“@type”: “Question”,
“name”: “Who is providing the construction financing?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “Cottonwood Group is the primary lender. Newmark and CBRE are listed as co‑arrangers on the loan.”
}
},
{
“@type”: “Question”,
“name”: “Where in Austin is the project located?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The site is within the EastVillage ATX mixed‑use development on Austin’s northeast side, a 425‑acre master‑planned project.”
}
},
{
“@type”: “Question”,
“name”: “When is the facility expected to open?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The project is slated for completion in early 2027.”
}
},
{
“@type”: “Question”,
“name”: “How many jobs will the project support?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The development is projected to support approximately 1,000 new jobs when fully operational.”
}
},
{
“@type”: “Question”,
“name”: “Who is developing the building?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The master developer of EastVillage is Reger Holdings, which partnered with Tarlton Properties to develop this facility.”
}
},
{
“@type”: “Question”,
“name”: “How does this fit into Austin’s life‑sciences growth?”,
“acceptedAnswer”: {
“@type”: “Answer”,
“text”: “The project adds large, purpose‑built laboratory and biotech space to Austin’s inventory, supporting the city’s expanding ecosystem of life‑science firms and increasing the availability of specialized facilities.”
}
}
]
}

Key project features

If you need verification of specific development or measurement details, consult the developer’s public filings, building permits or official project documents for the final approved plans.

Deeper Dive: News & Info About This Topic

Additional Resources

• ReBusiness Online: Cottonwood Group provides $105M construction loan for Austin life‑sciences campus
• Wikipedia: Life science
• Austin Monitor: Life‑sciences report sees strong job, real‑estate growth throughout Austin (2025)
• Google Search: Austin life sciences report 2025
• Cushman & Wakefield: Life Science Report
• Google Scholar: life science real estate report Austin 2025
• Community Impact: Living in the future — surge in life‑sciences sector paying off for Austin‑area economy (2025)
• Encyclopedia Britannica: Austin life sciences economy
• ConnectCRE: Tarlton building 223k SF Austin life‑science facility
• Google News: Tarlton building Austin life science

Author: Construction CA News

CALIFORNIA STAFF WRITER The CALIFORNIA STAFF WRITER represents the experienced team at constructioncanews.com, your go-to source for actionable local news and information in California and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Rose Parade, Coachella, Comic-Con, and the California State Fair. Our coverage extends to key organizations like the California Building Industry Association and Associated General Contractors of California, plus leading businesses in technology and entertainment that power the local economy such as Apple and Alphabet. As part of the broader network, including constructionnynews.com, constructiontxnews.com, and constructionflnews.com, we provide comprehensive, credible insights into the dynamic landscape across multiple states.