A parking lot in downtown Raleigh changed hands last week with the new owner envisioning a future high-rise on the site.
On Thursday, a joint venture between Raleigh-based real estate firm CityPlat and Modalia Capital paid $700,000 for a parking lot by Glenwood South. The property is situated on 0.2 acres at 504 Hillsborough St., bounded by N. West and W. Edenton streets a block away from Glenwood One and the Bloc83 development.
CityPlat Principal Pat Moore said the company is currently considering a hotel or condo development for the site, but no official plans are yet in place.
“This is a piece of property that’s stayed vacant for a very, very long time,” Moore said. The seller, Northpond Partners of Chicago, bought the property as part of a larger assemblage in 2015.
The land is currently zoned for Downtown Mixed-use – allowing for up to 12 stories – and Moore said his firm doesn’t plan to rezone the property when the time comes to develop.
But until CityPlat moves ahead with its plans for the site, Moore said the company has lined up a pet-centric retailer that plans to set up shop this year. But Moore said he couldn’t elaborate on those details at this time.
This is the latest venture between CityPlat and Modalia Capital of Maryland – there were unnamed private investors as well. Late last year, Modalia also partnered with CityPlat on the $1.5 million deal for a lot at the corner of Glenwood Avenue and Peace Street. The partners plan to redevelopment the property, which is currently the site of an auto shop.
Regarding that site, Derek Vucich, managing partner of Modalia Capital, previously told TBJ, “No matter what will be developed on this site, we feel confident it will be a huge success because this is a prime corner and a phenomenal piece of dirt.”
CityPlat, which has offices in downtown Raleigh, is also considering its options for a site at 2812 Hillsborough St. near N.C. State University.
The firm’s latest purchase downtown is near other big developments currently underway.
About a block to the east of the 504 Hillsborough site, the new 19-story tower, Raleigh Crossing, is taking shape.
To the west, Baltimore developer Heritage Properties Inc. is continuing work on its mixed-use destination, Bloc 83, with Tower Two underway and plans in the works for an additional building at the site.