Milwaukee-based Mandel Group Inc. announced that it has closed on financing for the third phase of its North End developmet in downtown Milwaukee, raising $53 million to develop a six-story mixed use building at the corner of North Water and East Pleasant streets.
“We are fortunate to have had the opportunity to partner with the Wisconsin Housing and Economic Development Authority, which awarded an allocation of New Markets Tax Credits for the grocery component of the development,” said Richard Lincoln, senior vice president of Mandel Group. Debt financing was provided by BMO Harris Bank. The new markets tax credits were purchased by U.S. Bank Community Development Corp.
The building will have a 29,500-square-foot Fresh Thyme Farmers Market grocery store and 168 luxury apartments.
Construction will begin immediately and the project is expected to be complete in late 2015.
The building will be added to the three existing buildings in the North End project, located along the Milwaukee River, which have a total of 238 apartments and 17,000 square feet of retail space.
Mandel Group is working on plans for the fourth and final phase of the project, which will have 245 apartments and is expected to begin in 2015.
When complete the North End project will have a total of about 650 apartments.
The Fresh Thyme Farmers Market grocery store will have underground heated parking. Shoppers will access the store via escalators and a cartilator for shopping carts.
The vertical design of the building and the below-grade parking added substantial costs to the project, Mandel Group said.
The project will also add a 420-foot riverwalk segment and a Bublr Bikeshare station will be added near the North End water tower.
The building was designed by HGA Architects & Engineers. Construction will be undertaken by Ray Hintz General Contractors.