Latest news with #Brooklyn&Church
Axios
05-03-2025
- Business
- Axios
Uptown Charlotte office tower conversion to luxury apartments moves forward
Demolition begins next month at the old Duke Energy headquarters on South Church Street, kicking off its transformation into luxury apartments and lively retail. Why it matters: The $250 million Brooklyn & Church project is Charlotte's first office-to-mixed-use conversion, a major shift as 24.6% of the city's office space sits vacant. The latest: Developers MRP Realty and Charlotte-based firm Asana Partners, in collaboration with Rockefeller Group, have secured construction financing and begun decommissioning utilities in the 1970s building. The redevelopment is expected to be completed in late 2026 or early 2027. Zoom in: The 13-story tower's core and shell will be preserved. The façade will get a refresh with new windows and "larger-than-market-standard balconies," a press release describes. The 460 luxury apartments will be loft-style, with nearly 14-foot exposed ceilings. Plans also include 57,000 square feet of retail, including a new three-story, 30,000-square-foot building at the corner of Church Street and Brooklyn Village Avenue. A 60-foot walkway will improve walkability, breaking up the buildings and creating a more pedestrian-friendly design. The big picture: Brooklyn & Church is anticipated to renew energy in its prominent corner near Bank of America Stadium. Catch up quick: Developers attempted to seek tax incentives from the City of Charlotte and Mecklenburg County to execute their vision but were unsuccessful. The project is moving forward regardless. Meanwhile, organizations such as Charlotte Center City Partners continue to study ways to entice other investors to repurpose Charlotte's aging, underoccupied office buildings. If these assets fall in value, the burden may fall on residential property owners to make up for lost property tax revenue.
Yahoo
04-03-2025
- Business
- Yahoo
Demolition of former Duke Energy HQ in Charlotte to start next month
The $250 million redevelopment of Duke Energy Corp.'s former uptown headquarters is set to begin its next phase with exterior demolition starting next month, according to the Charlotte Business Journal. The redevelopment project, known as Brooklyn & Church, involves converting the 800,000-square-foot office tower into 460 luxury apartments and 25,000 square feet of retail space. The project is expected to be completed by late 2026 or early 2027. 'Asana and Rockefeller are partners who share our vision for the former Duke Energy headquarters and believe in the positive impact that luxury residential will bring to what has been a static office quarter,' said Pat Sullivan, MRP senior vice president of acquisitions and asset management. The development partners, which include Charlotte investment firm Asana Partners, Washington, D.C. investment firm MRP Realty, and New York developer Rockefeller Group, have secured a construction loan for the project, although the loan amount was not disclosed. ALSO READ: Public weighs in on Duke Energy's plans to increase capacity and cut emissions The project will involve demolishing the front lobby and atrium to reduce the total square footage by about 230,000 and make way for a new three-story, 30,000-square-foot retail building. A 60-foot-wide walkway will be created to provide 360-degree pedestrian access around the site. Reed Kracke, partner at Asana, stated that the existing utilities in the building are being decommissioned to prepare for the next phase of work. Asana and MRP purchased the site for $35 million in December 2022. The planning, design, and pre-development phases took about a year as Duke Energy prepared to move into its new headquarters at Duke Energy Plaza. The 1970s-era building was one of several properties Duke sold to consolidate its uptown employees. Asana Partners has a significant presence in the area, owning properties such as The Design Center of the Carolinas and Cotswold Village, and managing over $7 billion in assets across 24 cities. The Brooklyn & Church project represents a major transformation of a former office space into a vibrant mixed-use development, promising to enhance the retail and residential offerings in Charlotte's uptown area. VIDEO: Public weighs in on Duke Energy's plans to increase capacity and cut emissions Sign in to access your portfolio
Axios
30-01-2025
- Business
- Axios
Charlotte's development pipeline: $3.7B in new construction, $1.7B in "reimagined" buildings
Charlotte's urban core has $3.7 billion in new development either under construction or expected to break ground in 2026, according to Charlotte Center City Partners' annual growth report. That includes more than 2.2 million square feet of office space, 338,800+ square feet of retail, 1,630+ hotel rooms and 7,110+ apartments. Why it matters: CCP president and CEO Michael Smith still calls this a "strong pipeline," although the total is down from $4.2 billion in 2024 and $6.9 billion in 2023. Many major developments, such as the 23-story 110 East office tower in South End, have exited the pipeline as construction was completed. And few new projects have filled the void due to high interest rates and other economic challenges. Yes, but: There's a new number to pay attention to this year: $1.7 billion. That's how much the public and private sectors are spending or have spent to rehab more than a dozen older assets across center city — from empty office towers to the NFL stadium. A large chunk of that is $800 million being spent on Bank of America Stadium renovations — of that, $650 million came from the city government. Other projects include the $375 million Spectrum Center renovations and the $250 million Brooklyn & Church project, converting the old Duke Energy headquarters into apartments and retail. Office buildings such as 101 Independence and One South have also undergone makeovers. What they're saying: CCP's SVP of economic development James LaBar says it's important to show that Charlotte is reinvesting in its aging buildings. The organization has set a 2025 goal to make center city a preferred destination for investors and developers who want to work in the older office space. Smith says Center City Partners, CLT Alliance and the local government must collaboratively study what other cities are doing to promote building conversions and advocate for "tools" that attract capital. That could mean creating tax incentives, loosening building regulations or establishing other policies that simplify doing business in Charlotte. Flashback: Last year Charlotte-based developer Asana Partners sought incentives from the city and county government for Brooklyn & Church, but it was unsuccessful. County leaders were especially reluctant because the pitch didn't include affordable housing or address economic disparities. The big picture: Smith says it's important to ensure center city — "the greatest contributor of tax revenue to our community" — doesn't have failed buildings. Mecklenburg County will conduct a property tax revaluation in 2027. After that, buildings with declining values will contribute less to the tax base — unless they're reinvested in. "That burden will be borne by more single-family homes throughout our community," Smith says. State of play: Uptown's official vacancy rate is around 23%, according to CBRE's latest report. Much of that is old office, however. Buildings constructed since 2000 are more than 91% leased, according to CoStar. Despite the vacancy rate, companies could consider Charlotte as having no availability if there's no new space to lease, LaBar says. The city could miss out on economic development deals because of this. "That's when the development community springs into action and projects like Crescents' Carson or Riverside's project ... Queensbridge take flight," Smith says. By the numbers: In the first half of the 2020s, developers built 8 million square feet of new office, 12,000 new residential units and 2,850 hotel rooms in center city. From 2010 to 2019, 7.7 million square feet of office, 13,000 new residences and 1,800 hotel rooms were constructed. "We basically have already matched the prior decade," Smith says, "which was the best decade we had ever enjoyed." Editor's note: This story has been corrected throughout to show the development pipeline's expected office and retail space as well as the number of hotel rooms and apartments.
