“Our borrowers tend to have different investment horizons,” he adds, and outside money from investors looking for quick returns is relatively rare. “Most of the major real estate properties in Cleveland are owned by people that live in Ohio,” although in the last few years, some outside buyers have come in. “Most of our investors will not want to sell, ever. Those are the dynamics of being in a Rust Belt city.”

Still, Halloran adds, “this is a market that is now open to development. Until recently, we had not seen new ground-up apartment development since the 1980s,” but that has definitely changed. Since 2011, the metro area has seen $5.5 billion in new healthcare, hospitality, multifamily, office, industrial and retail development. Major projects include downtown's new 422,000-square-foot Global Center for Health Innovation, several major hotels, and over 1,000 downtown apartments, now almost 100% occupied.

Bellwether has been involved in this project for about two years, and has already tested the market to make sure the demand is there, Halloran says. He hopes to close on the financing for Phase 1, which will have about 250 units, and some retail and office space, as early as the fourth quarter of this year. Phases 2 and 3 will be mostly residential, but the developers also plan to mix in some street-level retail to give the new neighborhood a more livable feel.

The overarching vision, which Halloran credits largely to Pace, is of an integrated, walkable neighborhood that entices convention goers and downtown workers out to the lakefront. “This project is going to bring life to all of the assets the city has out there," he says. “It's great to be involved in something this large and visionary.”