Tower Investments strikes again.
After spending a good bit of money buying up downtown real estate, the Woodland, Calif.-based firm has bought a majority stake in the Cumberland Yacht Harbor project in Donelson. Terms weren’t disclosed.
Varallo Investment Properties has been working on the $200-250 million development since 2001 and will continue as a partner. Jim Varallo, president of Varallo Investment, will continue as project manager. In addition to Tower, Hardaway Group and Parkes Development Group have joined as partners.
Cumberland Yacht Harbor's plans call for 181 condominiums and docks for about 200 boats. Plans also include 30,000 square feet of restaurant and specialty space. Some of the plans may change. The number of condo units could increase.
Laura Baugh at Worth Properties has been retained to list the sale of the condos. About a quarter of the units have been pre-sold. Prices run up to $1.9 million, starting above $600,000.
Over the past two years, Tower has invested heavily in downtown Nashville, buying about $30 million in property along the southern side of Broadway and into SoBro. The parking lot at Demonbreun Street and Fifth Avenue South was its largest purchase at $14.8 million. Its other holdings include the former Chilton Engine property, the building housing Big River Grille, and the former Heilig-Meyers Furniture store that now has Paradise Park Trailer Restaurant.
Tower clearly is banking on the growth of downtown Nashville and potentially a new convention center, since the investor owns a large chunk of the footprint for the favored site. By buying into the harbor project, Tower will be banking on the 20-year riverfront redevelopment plan that has been created by a partnership of Metro government and the U.S. Army Corps of Engineers with substantial public input.