New York-based Meridian Capital Group has arranged $37 million in construction financing for The McClaren, a mixed-use development located at Rhett and Wardlaw streets in Greenville’s West End.
The nine-story, mixed-use development is expected to include 244 apartments and 14,200 square feet of commercial space along with significant public space in partnership with the city.
The McClaren is located in an Opportunity Zone, an economic-development initiative that includes tax incentives the city of Greenville uses to attract developers. The project is on the site of the former Ballentine Equipment warehouse along with three adjoining properties extending to Academy Street that were sold mid-2018 to Lighthouse Greenville LLC. The former McClaren Medical Shelter on the property will be moved approximately 70 feet.
The 36-month loan, provided by a balance sheet lender, features full-term, interest-only payments.
“The solid Greenville market fundamentals, strong sponsorship of Lighthouse Living and quality of the McClaren project, in combination, made this attractive to lenders and allowed Meridian to structure and close this financing seamlessly,” said Rael Gervis, senior managing director at Meridian who helped negotiate the deal. “Further, the fact that this project is in an opportunity zone and was started before the December 31, 2019 deadline to maximize the tax benefits is another value-add for investors in the deal.”