Merrifield Patrick Vermillion sets sights on South End

CHARLOTTE — Although the project was announced in March, construction began this month on Park and Kingston Apartments, an $18 million, 153-unit complex being built in South End.

Charlotte-based commercial real estate company Merrifield Patrick Vermillion is developing the apartments, and, according to company official Jud Little, there’s a lot that makes South End attractive to MPV.

“This is right in the heart of South End,” said Little, MPV development manager. “And it has the ‘walk to’ relationship to a lot of attractions and services, and we felt real strongly that this was a site that would have residential appeal for years to come.”

Little said that, compared with uptown, South End is a more enticing place to live for many people, “because of the fabric that you have of restaurants and retail services.

“You’ve got 70,000 people that work uptown, and they want a convenient, appealing place to live, and South End is the area of choice.

“Part of what’s occurring is the renting public that apartments serve has increased in age. You have a more sophisticated consumer that wants not just an apartment but an environment that works for how they want to live. It has to be in an area that’s got close-at-hand services and appeal.”

The units will range from 500 square feet for the smallest studio to 900 square feet for the largest one-bedroom apartment. Rents will range from $950 to $1,350.

Once known primarily as an industrial hub, South End has become a magnet for young professionals looking for a place to live.

Charles Dalton, president of Charlotte-based apartment market research firm Real Data, said that no fewer than five apartment projects are in the works for South End. Tenants will continue to flock to South End, he added.

“South End has quite a bit going on,” he said. “It may be a bit uphill until they get everything leased up, but (South End) should absorb it.”

The site is between Park and Kingston avenues, east of South Tryon Street.

Jim Merrifield, partner with MPV, said the project should be finished by September. He called the site a good urban infill location that benefits from being less than half a mile from the east/west and Bland stops along the Lynx light-rail line.

But South End’s industrial history creates challenges for development.

“Basically, the South End neighborhood was an industrial area for decades,” Little said. “So, there are some brownfield remediation issues we’re working with. There is a potential for groundwater and vapor contamination.”

According to the U.S. Environmental Protection Agency, a brownfield is land that could create redevelopment challenges because of actual or possible contamination.

Little said MPV and Charlotte-based Marsh Properties, its partner in the project, are studying the site for contamination. It’s too early to provide results of that study, he said.

Still, the headaches created by brownfields are outweighed by the promises South End hold, he said.

“We still feel it’s a great site for us,” he said. “South End is a good submarket because is serves the work force of uptown and because of the fabric already there.”

GUION can be reached at [email protected], (704) 817-1344 or on Twitter at @paytonguion.