GREENVILLE, S.C. — The owners of NorthPointe Apartments, a five-year-old luxury complex about a mile north of downtown Greenville, have secured a $48 million senior loan to refinance the property, a sign that lenders still see value in well-located Upstate rental housing even as competing apartment supply tests the market.
Canyon Partners Real Estate provided the loan to a joint venture of ECI Group and Central Realty Holdings, a Greenville-based, family-owned firm founded in 1926, according to an Oct. 15 release from Walker & Dunlop, which arranged the financing. The release described the deal as a cash-neutral refinancing, meaning the owners replaced existing debt without pulling equity out of the property. Loan terms, rates and occupancy were not disclosed.
The partners developed NorthPointe and completed it in 2021. The release says the project includes 286 units in two adjacent buildings, more than 248,000 square feet of residential space, nearly 21,400 square feet of ground-floor retail and 597 structured parking spaces. The Post and Courier reported that the complex sits at the busy interchange of Wade Hampton Boulevard, East Stone Avenue and Church Street, with a Harris Teeter parking lot backing up to the property.
Canyon Chief Investment Officer Robin Potts called NorthPointe “a high-quality asset that has performed well against a challenging supply backdrop,” according to the release. The comment points to the competitive pressure newer Greenville apartment complexes face as they vie for tenants. The release credited the property’s location, with walkable access to grocery, dining and retail and proximity to downtown employers and Interstate 85, which links Greenville to Charlotte and Atlanta.
The refinancing follows other recent bets on Greenville apartments. In September, Myrtle Beach-based Burroughs & Chapin Co. bought District West, a 365-unit complex on the Swamp Rabbit Trail between Falls Park and Unity Park, from Chicago-based Mesirow Institutional Real Estate Direct, the Post and Courier reported. The price was not disclosed. NorthPointe is also Canyon’s fifth transaction with ECI, after deals involving Square One, ShoreCrest Club, Channel Club and ShoreCrest Club II, according to the release, which said Canyon has capitalized $7.6 billion in projects across the Southeast.
For investors, the deals suggest capital remains available for stabilized, Class A product in close-in Greenville locations, with the lender saying it looks for strong sponsorship, solid property fundamentals and an attractive basis, according to the Post and Courier. For developers, the message is mixed: existing high-end properties can still attract financing, but the supply pressure lenders cite is a reminder that new projects must compete for tenants with recently built inventory. For renters, a supply picture that lenders themselves call challenging means competition among newer complexes, which can work in tenants’ favor when shopping for a lease near downtown.
Sources: Walker & Dunlop release, The Post and Courier, REBusiness Online, The Post and Courier
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