The Midtown development in downtown Charleston marked an ownership milestone this week, with the original development group exiting a deal that took years to get off the drawing board.
A group of four commercial properties fronting King Street changed hands for about $14.4 million, according to a deed filed Monday with the county.
The deal followed the $121 million sale last fall of the two Hyatt hotels that anchor the original 4.2-acre site.
The latest buyer is an affiliate of Asana Partners of Charlotte, which did not immediately respond to a request for comment.
The seller was a company made up of Regent Partners of Atlanta, GEM Realty Capital of Chicago and Robert Clement and Stuart Coleman, both of Charleston. The latter two were among the original investment group that conceived the 433,000-square-foot mixed-use project at the northwest corner of King and Spring streets in 2003.
Midtown has generated slightly more than $200 million in sales over the past six years, but the development encountered a series of delays in the early going, including the last recession.
Regent became involved in 2007, when a group of investors bought the property for $17 million. It assumed the lead role about three years later.
Clement said it was "extremely fortunate to have Regent as a partner in this deal."
"Midtown would not have happened without Regent’s vision, patience and ability to take the long view. While other partners kept getting cold feet, Regent plowed ahead with the confidence of a developer who has done this type of project successfully time and again,” he said in a statement.
Midtown began to show signs of life in 2012, when a historic former bank building within the original footprint was sold for $1.2 million to the owners of The Ordinary restaurant.
That same year, a developer broke ground on the Meeting Street side of the property on the first new apartment complex in that area of the city in more than 20 years. An investment fund run by JPMorgan Chase & Co. snapped up that 200-unit Elan Midtown for $64 million in 2014.
By then, work on the two hotels and several commercial structures along King Street was just underway. The final $80 million phase included a parking garage along with the King Street commercial space that was sold this week.
The side-by-side Hyatt House and Hyatt Place — the city's first dual-branded lodging — opened in 2015. The October sale of the hotels to Germany's Union Investment is considered to be the high water mark pricewise for a peninsula real estate transaction.