This Week's Atlanta Deal Sheet: Luxury Buckhead Condo Lands $50M To Finish Construction
Florida-based The Kolter Group snagged a $50M credit facility from BHI, the U.S. division of Israeli Bank Hapoalim, for The Dillon luxury condo project on the rise in Buckhead.
BHI’s facility is part of a $133M credit facility secured by the 18-story, 144-unit project at 2395 Peachtree St., the bank announced in a press release.
Kolter’s Kolter Urban division is expected to deliver the project, next door to the famed Peachtree Battle shopping center, at the end of the year, with prices ranging from $800K to $2M for penthouses. Atlanta Fine Homes Sotheby’s International Realty pre-sold 60 units as of October, the Atlanta Business Chronicle reported.
The project, spanning over an acre, will include nearly 49K SF of amenity spaces including a social room, a theater with a popcorn bar, a resident-only speakeasy lounge, a game room, a terrace-level outdoor pool, a pickleball court, a fitness center, a yoga lawn and a dog park.
In 2022, Kolter Urban also developed The Graydon Buckhead, a 44-unit condo tower that sold out last year, according to Urbanize Atlanta.
SALES
Babloo Investments foreclosed on a $5.8M loan secured by 303 Research Drive, a 92K SF flex office building in Peachtree Corners. Babloo, which held the original loan, paid $2.8M for the property and now plans to seek local government approval to convert it into townhomes, Babloo President Babloo Bagga told Bisnow.
The previous owner, 303 Research LLC, purchased the building in 2021 for $4.5M, according to the database Reonomy.
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LoanCore Capital foreclosed this month on a $48M loan attached to The Optimist Lofts, a 15-year-old, 212-unit mid-rise apartment complex off Piedmont Road next to Interstate 85, the ABC reported. LoanCore paid $36.5M on the Fulton County Courthouse steps for the property, previously owned by Liquid Capital, which paid $57M for it in 2022.
DEVELOPMENT
The Allen Morris Co. filed an application with the city of Atlanta to rezone 1060 Donald Lee Hollowell Parkway to make way for a mixed-use project that would have 1,600 residential units and 700K SF of commercial space, including offices. Allen Morris, which developed the Star Metals District, purchased the 15.5-acre site that contains a series of older warehouses in April 2022 for $30.9M.
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CIM Group-owned Centennial Yards Co. is filing permits with Atlanta to begin construction of the entertainment-centric phase of its Centennial Yards development in Downtown Atlanta, the ABC reported. The developer is adding 480K SF of entertainment, retail and restaurant space, as well as a 233-room hotel, accompanying the 300-unit apartment tower, 292-room hotel and 30K SF of commercial space already under construction.
Once known as the Gulch, Centennial Yards is transforming more than 50 acres of what is mostly a sea of asphalt into a planned $5B mixed-use project next to State Farm Arena and Mercedes-Benz Stadium.
LEASES
Construction Resources has leased 45K SF at Westside Paper for a multi-product design center with plans to open in early 2025. The former paper plant at 950 West Marietta St. was converted into boutique office and retail by Westbridge Partners and FCP. Last month, the developers announced they secured a 13K SF lease with catering company Proof of the Pudding.
JLL Executive Managing Director Brad Pope represented Construction Resources, while Bridger Properties Director Shelbi Bodner represented the landlords.
PERSONNEL
Cordera Mitchell has joined Bull Realty as part of the firm’s retail services group, the company announced. A graduate of the University of North Georgia, Mitchell previously operated his own real estate shop, Mitchell Commercial Real Estate, for five years, according to his LinkedIn profile.
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The former president of U.S. multifamily capital markets for Cushman & Wakefield, John O’Neill, announced this week that he is launching a new Atlanta office of Houston-based Partners Real Estate. O’Neill was named president and managing partner at the brokerage, tasked with expanding Partners outside of Texas and into the Carolinas, Nashville and Florida.
A member of the Partners board of directors, O’Neill plans to start in June.
FINANCING
Famed R&B singer and recent Super Bowl Halftime Show star Usher is investing in a Dave’s Hot Chicken restaurant portfolio planned for Metro Atlanta, the ABC reports.
Terms of the franchise investment, led by Andrew Feghali and Lawrence Kourie, weren't disclosed. The first drive-thru restaurant is expected to open this summer in Conyers with the franchise owners planning seven other Metro Atlanta locations, according to the ABC.
