JV Secures $130M Senior Loan for Minneapolis Condos

Provident Real Estate Ventures and Shamrock Properties Inc. will develop The Legacy, a 374‐unit property that will include an eight‐story podium with a 14‐story and a 17‐story tower, along with three levels of subterranean parking.

The Legacy RenderingA joint venture between Provident Real Estate Ventures and Shamrock Properties Inc. has obtained a $130 million senior loan for the development of The Legacy in downtown Minneapolis. The property is a 374‐unit residential condo project.

Located at 1240 S. 2nd Street in the Mill District, The Legacy will consist of an eight‐story podium with a 14‐story and a 17‐story tower, along with three levels of subterranean parking. Common amenities will include a fitness center, game room, community room and two roof decks with a pool, hot tub, lawn bowling and grilling areas.

The Mill District has seen a strong amount of development over the past decade, including such cultural institutions as the Guthrie Theatre and MacPhail Center. New outdoor recreational facilities include Gold Medal Park and Mill Ruins Park along the Mississippi riverfront. 

Financing

The Minneapolis office of Dougherty Funding arranged the financing on behalf of the ownership via a loan from PCCP LLC. The lender has more than $7 billion in assets under management on behalf of institutional investors. 

PCCP’s loan provides financing for the project’s construction costs as well as other expenses during development and marketing periods, according to Jim Galovan, partner with PCCP. “We are encouraged that the project will experience a compressed sales timeline, as it has already had a significant number of pre-sales,” he said.