By Loyd McIntosh, For The Tribune
CENTER POINT — Work has already begun on a $2 million project to redevelop a pair of rundown apartment complexes located in the northern section of Center Point that city leaders hope will spur a new era of economic and residential transformation.
The Upland Apartments and Southwind Apartments were purchased recently by Capstone Realty & Management, a real estate company based in Lakewood, New Jersey, specializing in restoring living environments in underserved and struggling areas. The $2 million project to be named The Palms, is led by Sammy Soro, co-founder of Capstone Realty & Management, and will completely transform the buildings into a modern, safe, and vibrant community.
“My department specializes in coming into distressed areas. We’ll come in and revitalize if we think it’s a strong area, and these complexes were as distressed as you can get,” said Soro.
Both properties have fallen into disrepair in recent years due to multiple absentee owners with limited resources and/or interest in their upkeep. Center Point Mayor Bobby Scott said he and the City Council have kept a sharp eye on these apartments since an accident at Upland Apartments two years ago in which a child fell through a damaged section of a stairwell resulting in a broken arm.
“We worked with the (then) owner and put a plan in place where they would get everything fixed up, but it didn’t look like something they could handle,” said Scott.
Under the ownership and management of Capstone, Scott said he believes The Palms will be an asset to the city of Center Point. “Our goal is to see this become a livable and safe property,” said Scott. “They have been very communicative, and I talk to Sammy (Soro) every other day and make sure we’re staying on track.”
Capstone has revitalized dozens of properties since the company’s founding in 2018, mostly in cities throughout the Southeast, including Birmingham, Memphis, Dothan, and Augusta, Georgia. Soro said the company works quickly on projects and believes The Palms project should take about a year to complete, especially if the city can work with Capstone on permits, fire dues, and other fees.
In the last Center Point City Council meeting on Tuesday, July 12, the city agreed to a 30% tax abatement plan over seven years, however, the council denied a request to waive other fees related to the plan citing a need to realize some revenue from the project.
“We work pretty fast. It’s just a question of how much pain we have to go through to get there,” Soro said. “We appreciate everything the city council has done for us. The tax abatement was a goodwill gesture but the fire dues are a real killer. The fire dues are more expensive than the taxes.”
The planned redevelopment will dramatically upgrade the buildings, adding such amenities as a security gate with auto gating, a pedestrian code gate, updated lighting, security cameras, and interior staircases in the Southwind section with electronic card codes on the front doors. Capstone also plans to upgrade the swimming pool, construct a new playground, and add picnic areas and park benches throughout the community.
Despite only closing the properties three weeks ago, Capstone has already completed much of the demo work, ripping out old carpeting, kitchen cabinets, and plumbing, and demolishing a structure that caught fire several years ago.
“The seller, who was never at the property, left that structure standing,” said Soro. “Imagine, having to look at that burned building where you live every day?”
Once complete, The Palms will include approximately 130 apartments and tenants will be properly vetted to ensure they are a good fit for the community and have the ability to pay their rent. Scott said he believes The Palms will be a catalyst for further redevelopment throughout the city.
“It’s going to be the start,” Scott said. “We’ve got a lot of new businesses opening up in the city and we’ve got a lot more coming.”
Scott points out a handful of projects underway, including the recent purchase of the Eastgate Shopping Center, the rebuilding of the O’Reilly Auto Parts store after a devastating fire in July 2021, and a scheduled auction of some property across Center Point Parkway from Applebee’s later this month.
“We want to have as many shops and small businesses as possible,” said Scott, “and keep people in Center Point to shop.”