JV Announces Adaptive Reuse Development in Nashville
- Sep 26, 2018
Investment firm FCP and developer Third & Urban have acquired a former industrial site in Nashville, where they are planning an adaptive reuse development with office space, restaurants and retail.
The joint venture purchased the former Madison Mill at 4101 Charlotte Ave. for $12.5 million from a longtime local owner and will redevelop the site into Sylvan Supply—a development with six separate buildings connected through open corridors and terraces that can serve as outdoor work spaces for tenants.
Sylvan Supply, named for its location in the Sylvan Park neighborhood and its history as a wood facility, will have 133,000 square feet of Class A creative office space that will feature open floor plans, large windows and outdoor space. The development will also include 27,000 square feet of dining and shopping.
Bo Tyler, Bill Adair and Ashley Albright of JLL are heading up office leasing at the project, and Elliott Kyle with Equitable Property Co. is handling the retail leasing.
The industrial redevelopment project will preserve the existing building on the site and repurpose it to attract companies seeking close proximity to Nashville’s central business district. Sylvan Supply is centrally located and offers easy access to the neighborhoods of Belle Meade, Green Hills, The Nations, Westside, Midtown and downtown. Construction is expected to begin in October, with a target completion date of fourth quarter 2019.
“We’ve witnessed a kind of a gap in the market,” FCP Senior Vice President Erik Weinberg told Multi-Housing News about creative office space in Nashville. “There are a few examples of smaller size adaptive reuse and creative office around Nashville, but this project will be one of the first larger scale—roughly 100,000 square feet—in Nashville. We think there’s a good depth to that strategy.”
In 2016, FCP and Westbridge Partners developed a similar property called Stockyards Atlanta, a 135,000-square-foot adaptive reuse project in Atlanta.
Sylvan Supply will be the first project from the newly formed Third & Urban, which merged with Westbridge Partners earlier this year.
In 2015, Stonehenge announced plans to purchase the former Madison Mill and build up to 550 apartment units on the site. However, when the proposal came before the Metro Planning Commission, local residents pushed back against the project and Stonehenge eventually scrapped its plans in 2016.
Image courtesy of FCP