Former Navy base land up for bid soon

Buyers could begin bidding on portions of the stalled Noisette project on the former Navy base as early as next month.

North Charleston-based Navy Yard at Noisette LLC stopped making payments on a loan, triggering a foreclosure lawsuit that's expected to make more than 230 acres available.

Charleston County Master-in- Equity Mikell Scarborough reviewed a proposal Wednesday morning to divide the development into three tracts.

Attorneys for both the developer and lender, Pennsylvania-based Capmark Finance, said splitting up the properties could fetch higher selling prices, helping Capmark recoup a larger portion of the $23.8 million it is owed by Navy Yard at Noisette.

"This property doesn't make sense as a developable parcel," said Noisette attorney Andy Gowder.

The two sides plan to reconvene in late August, which could start a 60-day process to solicit bids for the land from interested buyers.

Capmark wasn't ready Wednesday to seek court approval to start the bidding period. Piecing together an accurate legal description of the former Navy property was taking longer than the lender anticipated, said Capmark attorney James Pulliam.

At the hearing, representatives of Capmark and Noisette produced a hand-traced drawing to illustrate how they are proposing to carve up the parcel. It showed:

--a 53-acre tract north of Noisette Creek that includes some industrial buildings that are leased to tenants. More than half of the land is restricted from residential development;

--a 98-acre property along the city-owned Riverfront Park that includes a historic collection of officers' homes and a 60-unit apartment complex that is under construction; and

--an 82-acre section at the southern end of the Noisette project footprint, including a parking lot.

The foreclosure lawsuit does not cover about 100 acres on the former base still owned by Noisette developers, such as the hospital district and the Storehouse Row complex of warehouses and office buildings.

The foreclosure also doesn't affect North Charleston's Riverfront Park or the old shipyard property, which is owned and operated by a private company.

Reach Katy Stech at 937-5549 or kstech@postandcourier.com.