The Charlotte Hornets just bought into one of Uptown’s most infamous properties — at a fraction of what it was once worth.
Hornets Sports & Entertainment joined Lincoln Property Company and Vision Ventures to purchase the former EpiCentre for $27.5 million.
The 304,000-square-foot complex, now called Queen City Quarter, sits directly across Trade Street from Spectrum Center.
Mecklenburg County currently values the property at about $97.8 million. The new ownership group is paying less than one-third of that amount.
The price also represents a dramatic fall from the property’s peak.
From $132 Million To $27.5 Million
The EpiCentre opened in 2008 as one of Uptown Charlotte’s biggest entertainment destinations.
Restaurants, nightclubs, a movie theater and bowling alley filled the complex beside the light rail. But financial problems surfaced almost immediately.
The original developer defaulted on a roughly $90 million loan within two years of opening.
Vision Ventures later took control and helped rebuild occupancy, eventually bringing the complex close to full.
In 2014, the EpiCentre sold for $132.5 million.
The property struggled with vacancies, growing competition from South End, and repeated public-safety concerns. COVID-19 delivered another major blow to its restaurants, bars, and entertainment businesses.
Its owner later defaulted on an $85 million mortgage.
In 2022, Deutsche Bank acquired the property through foreclosure for approximately $95 million.
The Queen City Quarter Rebrand
New ownership attempted to distance the property from the EpiCentre name.
The complex became Queen City Quarter, accompanied by renovations and plans for a broader mix of restaurants, entertainment and family-friendly businesses.
But vacancies continued.
When the property was placed back on the market this year, only about 32% of its space was leased.
Now the same complex that sold for $132.5 million in 2014 is changing hands for just $27.5 million.
Why The Hornets Want It
The biggest difference this time may be the buyer.
The Hornets already control one of the largest traffic generators in Uptown: Spectrum Center.
Team owners Rick Schnall and Gabe Plotkin have discussed creating more activity around the arena before and after Hornets games, concerts and other events.
They are also spending heavily on the surrounding area.
Hornets ownership is contributing about $160 million toward the new Novant Health Performance Center near the arena. The city is contributing another $30 million.
Charlotte has also spent roughly $245 million renovating Spectrum Center.
The Hornets recently purchased two nearby South Brevard Street properties for another $20.5 million.
Adding Queen City Quarter gives the organization control over another major piece of real estate surrounding the arena.
It could eventually become part of a larger entertainment district similar to developments surrounding arenas in Atlanta and Milwaukee.
The ownership group says it is still evaluating the property and its future uses.
