A group led by local real estate developer Gregg Sandreuter is seeking to build a 20-story tower featuring a mix of office space, residential apartments and ground-floor retail on the 400 block of Hillsborough Street in downtown Raleigh.
Sandreuter said that the group applied for site plan approval with the City of Raleigh for the project – which as a nod to its location is named 400H – on Thursday morning. Sandreuter was part of the development group that built the 23-story Skyhouse luxury apartments on Blount Street in downtown Raleigh.
The 400H project would take up the entire block bordered by Hillsborough, Edenton, Harrington and West streets. It’s a block away from One Glenwood, a 10-story building planned for the intersection of Hillsborough Street and Glenwood Avenue that would include office space plus retail space on the ground floor.
Last month, the development group led by Sandreuter, BR Hillsborough Partners, paid $2.1 million to acquire two parcels on the 400 block from a group led by Shiner Capital Partners of Chicago. It also acquired a ground lease agreement on the remaining four parcels from a local family that gives it the right to build on that property plus future rights to buy the property outright.
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The earliest that construction could begin on the site, if all goes well, is this summer, Sandreuter said. The property is already zoned for a 20-story building.
“We’re right in the middle of the bull’s-eye with our existing zoning,” he said.
The plan for 400H, which is being designed by architectural firm Gensler, calls for 16,000 square feet of retail space on the ground floor, 125,000 square feet of commercial space and 220 apartments on the top 12 floors.
Sandreuter described it as “a smaller version of PNC Plaza,” because it mimics that building’s allocation of space.
“Ample parking” will be available, Sandreuter said, including some that will be added to an existing two-level parking deck across the street. The development group previously negotiated a deal to acquire the air rights above that deck, which is owned by Shiner Capital.
Sandreuter expects to have some of the commercial space at 400H pre-leased before construction begins.
“We are actively pre-leasing now,” he said.
JLL is handling the office leasing and York Properties is leasing the retail space.