GPMU, LP is funding the conversion of the former Markham Hotel in Gulfport, Mississippi to a mixed-use facility that will feature retail and restaurant space on the ground floor and over 100 apartment units on the upper levels. GPMU expects to create 87 jobs, which is sufficient for its seven investors, who will contribute $3,500,000 to the overall development of about $22,000,000. Like Chattanooga Bank Building, the Markham is considered a historic building and the government is prepared to offer tax credits in exchange for its successful rehabilitation. With a population of about 70,000, Gulfport is the co-county seat, with Biloxi, of Harrison County.
The Marhkam’s location in downtown Gulfport is an excellent one as it has an unobstructed view of the Gulf of Mexico. The general partner is Red Leaf Development and GPMU is the only equity-holder in this development. The Project is undertaken with the assistance of the Mississippi Development Regional Center. Financing includes EB-5 investment, a construction loan from a local bank, and tax credits proceeds. The Gulfport area, like many small cities, has significant demand for new apartment units. In fact, this project was the first time we ever heard a bank recommend that we take out a larger loan and build even more units than originally planned. Construction is expected to begin 2015 with the apartment complex opening in 2016.