Developers Line Up $48M for Charlotte Project
The transit-oriented community will rise in an opportunity zone.
A partnership between Capital City Real Estate and Pennington Real Estate Partners has secured $48 million in construction financing for The Mill, a 281-unit Class A project in Charlotte, N.C.
Concord Summit Capital arranged the financing in the form of a syndicated note bearing a 62 percent loan-to-cost structure.
Located on more than 3 acres in an opportunity zone next to the Sugar Creek Blue Line LYNX Station, the development is taking shape in the North Davidson neighborhood, roughly 4 miles northeast of downtown Charlotte. U.S. Route 29, as well as several retail and quick-service restaurants, are within walking distance.
The transit-oriented development will encompass studio, one- and two-bedroom floorplans. Amenities are slated to include coworking spaces, a swimming pool, a dog park, as well as a sky deck, among other features.
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Concord Summit Capital Managing Director Justin Neelis arranged the financing for this opportunity zone project. Also targeting such investments, Pennington Real Estate Partners launched a new branch last year to leverage structured equity alongside senior debt.
Though the ability to reinvest capital gains on a tax-deferred basis into the opportunity zone program is on track to expire at the end of 2026, a new bill could revive the initiative with a timeline stretching up until 2033. This new iteration would come with a few twists, including an investment focus on rural areas and an overhaul of the qualified census tracts, which aims to channel the funds toward economically distressed areas.
Greater Charlotte’s recalibrated pipeline
Metro Charlotte’s under-construction pipeline consisted of more than 36,200 units as of May, according to Yardi Matrix data. Developers began work on 2,600 apartments during the first five months of 2025, marking a 43.4 percent decrease year-over-year in construction starts.
Housing completions have likewise tempered with about 6,500 deliveries year-to-date through May, signifying a 9.3 percent slump compared to the same period last year, the data provider shows.
Spectrum Indian Trail, a 320-unit project, entered the market’s pipeline earlier this year. A partnership between The Spectrum Cos. and Heitman is developing the property in Indian Trail, N.C., slated for delivery in 2027.
