‘This ain’t NoDa.’ Starting rent on these new townhomes goes for surprising amount
It’s been well documented how home and rent prices have been soaring in the Charlotte region. But that doesn’t mean some new developments can’t still raise the occasional eyebrow.
That’s the case with Crossings at NoDa, an 88-townhome project along West Sugar Creek Road, about 4 miles northeast of uptown. And, no, the project isn’t in NoDa — it sits just north of North Tryon Street, a five-minute drive to the heart of NoDa.
Signage recently put up on West Sugar Creek Road set off a social media frenzy this week.
Monthly rent for the three-bedroom, 3 1/2 bathroom townhomes are starting at $2,845. The rentals, which also include a two-car garage, are 1,786 square feet. Another floor plan lists at $2,995.
Charlotte developer Hopper Communities built the project and says it’s about a month away from having the first units finished.
A Reddit post sharing an image of the sign garnered close to 800 comments, with the leading post saying “who in the hell paying $2,845 to live on Sugar Creek idc if it’s new housing.” A TikTok video by a local real estate investor talking about the project right in front of the sign also got around 1,000 comments.
“It seems we are on a race to catch up to Southern California’s affordable home crisis status,” one person stated on Reddit.
Many social media commenters expressed shock at the high price given the location. They pointed to how the area has a history and perception of crime. Others say the project is a starting point for change in the neighborhood and will lead to gentrification.
Residents of Hidden Valley, a nearby predominantly Black neighborhood, have expressed worry about gentrification diluting the community’s character, fearing the change will push out many of the older residents, the Observer reported last year.
They also said news stories and public figures talking about violence and gang activity has been overblown and caused long-lasting harm.
Development push near NoDa
In the popular TikTok video, the narrator exclaims: “This ain’t NoDa,” like some might be confused by the project name.
He’s right. Crossings at NoDa sits in the Sugar Creek neighborhood, which hasn’t seen the type of development a neighborhood like NoDa has seen.
Hopper Communities president Bart Hopper said he’s aware of that, and named it Crossings because it’s “the next step over.”
“It’s kind of the fringe of NoDa,” Hopper said in an interview with The Charlotte Observer.
This part of Charlotte will see plenty of change, he said, and look completely different in the next five to 10 years. A big reason Hopper decided to build on this parcel was because of nearby development.
Another builder, Red Cedar Capital Partners, is planning a 48-unit townhome community across the street from Hopper’s properties. Floor plans call for four-bedroom units. It’s unclear when that project would start.
Down North Tryon Street, another developer is slowly buying up parts of the expansive Asian Corner Mall. The developer, Beauxwright, has not said publicly what it plans to do with the site.
Construction also is underway on The Pass, a 260,000-square-foot adaptive reuse project by Atlanta developer Third & Urban. The project eventually will include more than 330 apartments, office and retail.
It sits steps from the LYNX blue line Sugar Creek light rail station. That station is about a 15-minute walk from the Hopper townhomes.
Other changes around Charlotte
Hopper has seen other parts of Charlotte go from underdeveloped to developed.
There were times, he said, no one would go to South Boulevard. Now, the South End area is one of the hottest real estate markets in the region.
If you want to get a sense of what townhomes are going for in the South End area, we did some quick searching.
A newly-built three-bedroom, 3 1/2 bath townhome that was 1,844 square feet is listed for rent for $3,900 on Zillow.
Explaining the Sugar Creek prices
Hopper defended the rental prices for the townhomes, and pointed to a number of factors that drove the pricing decision. That included looking at comparable rents nearby.
Across Charlotte, a one-bedroom apartment will cost you, on average, $1,434 a month, according to the latest report from Rent, which tracks rent prices across the country.
The average for a two-bedroom is now $1,428. There are some signs average rents are going down — a one-bedroom apartment is down about 1.3%.
A two-bedroom, two-bathroom apartment at Amaze NoDa apartment complex — not far from Sugar Creek Road — starts at $2,270. That unit is a little more than 1,000 square feet.
Hopper said tenants will get more value per square foot in the Sugar Creek location compared to apartments in NoDa.
Some people aren’t looking for apartments and want to rent something more like an actual home, Hopper said. Crossings will provide that, he said, plus amenities like a walking trail, dog park and community area for grilling.
There are, of course, costs associated with building a project like this.
Hopper’s company paid $1.8 million for about 8 acres, according to Mecklenburg County property records. Prices for lumber and concrete are also up, 30% in some cases to when Hopper started on the project.
Hopper Communities first contracted to purchase the property three years ago, then spent two years engineering and developing the site, Hopper said. Property records show the company closed on the property last January.
Hopper said he was somewhat surprised at some of the social media reaction.
But he pointed to the end of the TikTok video, where the investor says to “buy back the block,” indicating this is a place to buy real estate now.
This story was originally published October 5, 2022 at 11:04 AM.
