CBRE has arranged the $20.75 million sale of The Avenues at Atherton, a 30,875-square-foot adaptive reuse development in Charlotte’s South End to a Texas-based investment company.
Patrick Gildea, Mike Burkard, Matt Smith, Steve Shields and Grayson Hawkins of CBRE represented the seller, Charlotte-based Abacus Capital.
Situated on 1.37 acres at 2041 South Boulevard, the property was built in 1957 and renovated in 2019. Abacus Capital acquired the project in 2018 for $7.3M. The ten-suite retail property was 78 percent occupied at the time sale, with tenants including Snooze Eatery, Silverlake Ramen, Atrium Health, South End Dental Studio, Polished Nail Salon, Rockbox, Capsule and Tous Les Jours bakery. The Avenues at Atherton includes 69 on-site parking spaces and nine street spaces with additional neighborhood street parking.
“South End is one of the hottest submarkets in the United States,” said CBRE’s Gildea. “The inherent land value underneath horizontal developments like Avenues at Atherton limits future downside risk. Post-renovation, Avenues has provided a unique niche to smaller and midsized retail tenants who would otherwise have trouble finding space in the highly coveted South End market.”
“Abacus Capital secured long-term leases with annual escalations with the tenants of this property with no rollover until 2027,” said CBRE’s Burkard. “That, coupled with this bull’s eye of a location in the epicenter of Charlotte’s growing South End district, often described as a ‘walker’s paradise,’ created lots of interest in this property.”
“Abacus Capital is pleased to have led the successful round-trip of this irreplaceable asset,” said Wes McAdams, managing partner at Abacus Capital. “Stewarding the reposition of this highly visible project from The Pavilion at South End to The Avenues at Atherton over the past few years was a privilege – we are especially proud that along with the physical transformation we were able to deliver a great economic outcome for our clients and partners as well. Abacus would like to thank our sell-side advisors at CBRE for the terrific execution during an otherwise challenging capital markets environment.”
The Avenues at Atherton is walking distance to the light rail, Uptown Charlotte, Atherton Mill, and the active or planned development of more than 3,000 apartments and 1.3 million square feet of new office space.