The Vue’s Woes Over?
- Jul 13, 2012
It seems Charlotte’s ultimate luxury residential tower is at a crossroads. Real estate firm HFF LP announced it has closed the sale of a loan secured by The Vue—the 409-unit, 51-story Class A luxury residential tower located in Charlotte’s Fourth Ward.
As previously reported, HFF began marketing The Vue’s $130 million junior debt in early March on behalf of insurance companies Mitsui Sumitomo of Japan and Germany-based Munich RE . The companies had provided default insurance to the junior debt holder, MCL Cos of Chicago, and had assumed the note after MCL defaulted on its loan in February 2011.
According to an HFF press release, the sellers were represented by HFF senior managing directors Gerry Rohm, Whit Wilcox and Jason Nettles; executive managing director Manny de Zarraga; and director Jaret Turkell. Maurice Habif was the lead HFF analyst in the transaction.
Located at 404 West 5th St., The Vue was announced in 2005 by Orlando-based Churchill Development Group LLC and Westminster Partners LLC of Lake Forest, Ill. After struggling to secure financing for the project, MCL bought it in 2007 and broke ground in 2008. The high-end high-rise opened in late 2010 but sold only 18 condos out of the total 409.
Amenities at The Vue include a 4,000-square-foot lounge and club room, a 35,000-square-foot amenity deck featuring a Junior Olympic-sized pool, a yoga room, fitness center, multipurpose sports court, business center, a pet park overlooking Fourth Ward Park, parking, concierge service and biometric fingerprint access security. Units have an average surface of 1,317 square feet and are decked out with stainless steel appliances and granite countertops, while also featuring floor-to-ceiling glass windows.
According to the Charlotte Business Journal, New York-based Northwood Investors purchased the junior debt for $42 million and then paid off the senior debt held by Goldman Sachs, following which it launched foreclosure proceedings against the The Vue’s owners. The high-rise was auctioned off to an affiliate of Northwood for $102.75 million in June. According to the aforementioned source, the condos will be converted into luxury apartments to be leased at a rate of $1,300 to $5,000 per month.
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Photo courtesy of Brick177 via Wikimedia Commons