Project is expected to create 300 jobs in conversion to 175 apartments, two floors of office space and retention of Capital One Bank branch on ground level
NEW ORLEANS, LA (November 15, 2011) —HRI Properties, the pioneer of adaptive restoration of historic buildings, and Woodward Interests, LLC have closed on the full $57.3 million financing of the iconic Hibernia Building in downtown New Orleans, allowing them to move past the interior demolition phase and complete the development.
The multi-faceted financing structure for the development involved the use of Federal and State Historic Tax Credits, Federal New Markets Tax Credits, Community Development Block Grant funds, and commercial bank construction and permanent debt. The financial participants that made the project possible are: Capital One Bank; Capital One Community Renewal Fund; AEGON USA Realty Advisors, LLC; Stonehenge Capital Company, LLC; the National Trust Community Investment Corporation; National Cities Fund; the Louisiana Office of Community - Development Disaster Recovery Unit; and the New Orleans Industrial Development Board.
The construction activities and conversion of the building’s upper floors to residential use will create an estimated 300 jobs locally. The restoration of the office space on the lower floors will retain and expand jobs in the downtown area.
The joint venture closed on its purchase of the 23-story Hibernia Building from Capital One on August 26. Capital One acquired the building in 2006 as part of its purchase of Hibernia Corporation.
The original acquisition loan from Whitney Bank, which was repaid at this closing, enabled the joint venture partners to begin interior demolition for the project right away and to stay on the critical path of the renovation schedule. The 175 apartments are scheduled to be available for rent by late summer 2012, and HRI is expected to move its corporate headquarters into the building in fourth quarter of 2012, said Josh Collen, HRI vice president of development.
Woodward Design + Build is the general contractor on the project.
Capital One Bank will continue to operate its downtown bank branch on the ground floor of the building. The branch will maintain normal business hours throughout the construction phase. Customers will be provided validated parking in the Commerce Garage at 821 Gravier St.
“Capital One Bank is proud to play a key role in the collaborative effort that is creating jobs in New Orleans and making the transformation of this grand structure a reality,” said William Callihan, Director, Community Development Finance for Capital One Bank. "This building is an important part of our city’s history, and Capital One Bank is pleased to continue to be part of its future and the ongoing revitalization of the Central Business District.”
The 23-story building at 313 Carondelet St. will be converted into 175 apartments with high-end finishes, including granite countertops, stainless steel appliances and wood floors, as well as a 15th floor roof top amenity deck that will feature a pool and fitness center.
Capital One Bank will maintain the tradition of lighting the white tower each night in holiday colors such as red and green for Christmas and purple, green and gold for Mardi Gras. |
