ACRES Capital Provides $33M Construction Loan on Pittsburgh Mixed-Use Project
Long Island-based alternative lender ACRES Capital has provided $33 million in construction debt financing to apartment developer Charles Street Investment Partners to build and stabilize a mixed-use project in Pittsburgh, Pa., Commercial Observer has learned.
The financing will help erect and stabilize one of Charles Street’s most recent projects, a 161-unit residential mixed-use asset at 5803 Centre Avenue in Pittsburgh’s Shadyside neighborhood, which is just east of the city’s Downtown.
Charles Street’s development will feature 6,000 square feet of ground-floor retail space in a submarket that is surrounded by hospitals and grocers and other demand drivers.
ACRES president and CEO Mark Fogel said that the project’s location “at the center of Pittsburgh’s recent tech and medical expansions makes it an ideal option for a wide range of residents. We’re excited to partner once again with Charles Street, a firm that exemplifies high-quality sponsorship, which is especially important given today’s challenging market environment brought on by the global pandemic.”
The location of the project puts it within a short walk of UPMC Shadyside hospital and within several blocks from West Penn Hospital and children’s hospital The Children’s Home of Pittsburgh & Lemieux Family Center. The asset is also surrounded by small park spaces and grocery outlets like Whole Foods, ALDI, regional grocer Giant Eagle’s Market District Supermarket and specialty grocery store called Tokyo Japanese Food Store.
Charles Street executive Jason Pollack praised ACRES for providing “a creative and flexible financing solution that will allow us to fully realize our vision for this property. As Pittsburgh and the rest of the nation look toward their recoveries from the pandemic, we anticipate that 5803 Centre Avenue will be a highly attractive and convenient option for residents in the Shadyside submarket once it comes online.”
Charles Street, which has built over 15 residential projects in the last eight years, also received financing from ACRES last November on its 155-unit multifamily mixed-use development at 1118 Sycamore Street in Cincinnati, Ohio, as CO previously reported.