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$60 M Mixed-Use Redevelopment Project Almost Completed

By Eliza Theiss, Associate Editor

The nationwide trend of downtown apartment living has not eluded The Big Easy. According to The Times Picayune, New Orleans’ downtown population is currently around the 5,000 mark – double what it was five years ago. And it looks like the Central Business District will soon increase that number even further with the soon-to-be-finished redevelopment of the former Hibernia Bank building.

The 313 Carondelet St. high-rise, one of the landmark buildings of the Crescent City, underwent a massive redevelopment during the last year and is soon set wrap up work. According to a report by The Times Picayune, HRI Properties purchased the property for $3.5 million in 2011 from Capital One and started the massive redevelopment of the former bank offices into mixed-income housing. Now, with work winding down it looks like the project is a success. Around three quarters (17 stories) of the property have been redeveloped into residential units – units that are flying off the shelves. 93 percent of the 175 units are leased and 75 percent are already occupied by residents. Unoccupied units are expected to be leased by the end of the year. The residential element is mixed-income. Half of the apartments rent at market rate, 30 percent are reserved for moderate income tenants and 20 percent target workforce level tenants.

The property’s ground level will continue to be occupied by Capital One, the building’s former owner. The second floor will house HRI Properties’ offices. The third floor, with a surface of around 4,000 square feet is currently on the market for commercial lease.

The $57.3 million project was covered by an eclectic mix of financing, such as federal new market  and historic tax credits, a community development block grant, as well as  commercial bank construction and permanent debt

HRI is also developing a 114-car resident and employee garage on an adjacent lot. It’s scheduled to open in 2013.

Photo courtesy of Infrogmation via Wikimedia Commons

Chart courtesy of Larry G. Schedler & Associates, Inc.