After living in Charlotte for 10 years, developer and Wilmington native Trey Galarde wanted to get back to the Port City. He found his chance on Castle Street.

Galarde, vice president of Hallmark Building Corp., is leading the company's development of The Ollie, a mixed-use project with 24 apartments proposed at 1315 Castle St. The project, which is moving through its final phases of permitting, is set to break ground this spring, Galarde said.

He notes similarities between Wilmington's Castle Street – a historically Black-owned business corridor lined with an eclectic mix of stores and residential blocks – and emerging Charlotte neighborhoods like NoDa.

"Over the past 10 years, we've seen a few different corridors just like Castle Street come from where Castle Street is now," Galarde said, "to (become) these really vibrant, walkable areas that people just love being in, especially the millennial crowd."

This momentum is evident along Castle Street, where mixed-use infill projects like The Ollie are becoming increasingly prominent on its eastern end, a traditionally residential area near the growing Cargo District. These new developments are slated to bring both new residents and new small businesses to Castle's ever-evolving streetscape. As the area changes, some there say they want to make sure the neighborhood's character remains.
 

Betting Big on Castle

One of the biggest changes in recent years came with the construction of Midcastle, a four-building complex with 98 apartments and more than 4,200 square feet of ground-floor commercial space at 1110 Castle St.

Dave Spetrino developed the project after winning a bid for the 1.5-acre property. Before opting to sell the land, the city of Wilmington tried for years to find a partner to redevelop the site, which previously housed a bus facility, into a community center or affordable housing.

Spetrino had been banking on the site's development when he built The Crown, another mixed-use project, at 919 Castle St. When the city's plans didn't materialize, Spetrino said, he decided to develop it himself.

Castle Street's widespread mixed-use zoning, an opportunity zone designation on stretches of the street and tax incentives helped make it an attractive project, Spetrino said.

Midcastle broke ground in early 2024, and work on the final building wrapped up earlier this year.
"Each building has its own personality and its own name and its own kind of vibe," Spetrino said during a recent tour of the property.

In addition to apartments, Midcastle's commercial spaces house The Roasted Bookery, a bookstore and cafe, and crafting studio Craft Cabana. Other spaces are currently being upfitted for new tenants.

Hannah Hickman is growing her business, Sacred Salon and Studio, in one of those spaces. Hickman's specialty is hair extensions, so she plans to create a cozy, intimate aesthetic for her clients. "I want them to feel like they're just hanging at a friend's house," she said.

Martha Bass also plans to establish her hair salon, Orange Blossom Studio, on the ground floor of Midcastle. Bass said she hopes foot traffic will help boost the salon's visibility.

For Lizzie Hourigan, her storefront space will house her business, Glimmers Recreational Therapy. Hourigan uses recreational therapy to support clients of all ages with physical, social, emotional and cognitive needs. "I really needed a space that was just my own," she said.

In the corridor, Spetrino is also working on another project, called The Hudson, on a vacant lot at 512 Castle St. Construction is set to begin this spring, and the project will include 15 one-bedroom apartments and nearly 1,900 square feet of commercial space.

"Within five blocks of each other, we have all this investment," Spetrino said. "I'm real comfortable with Castle today, because failure is not going to be an option."
 

A Changing Streetscape

In 1990, Brian Ownbey lived at the corner of Castle and Third streets, giving him a front row seat to watch Castle Street change. After moving to Raleigh, Ownbey remembers returning to Wilmington to browse antiques in the Castle Street Arts and Antiques District.

"For a while, that little district did really well," he said, "but over time, the businesses changed. I think people aged out; a lot of people retired."

When Ownbey opened Modern Love, a vintage shop, on Castle Street about two-and-a-half years ago, there was one antique store left. Now, there are none, he said, as the street's retail makeup remains in flux.

"As long as I've known Castle Street, it's always been in a state of going up and coming down," Ownbey said. "It's starting to do well, and then it just kind of tapers off."

When Matt Keen moved Gravity Records to Castle Street in 2014, a gravel lot bordered his store near the corner of Castle and South Sixth streets. The next year, Urban Oasis, a mixed-use project with 11 apartments, went up on the lot, and as more businesses trickled into the area, Keen sensed that Castle Street was changing. Shortly after he moved to Castle Street, Luna Caffè opened nearby, and then the former Second Skin Vintage came to the street.

"These are cool hip things," Keen said. "And people think, 'Oh, my cool hip thing should be over there.'"

MoMentum Companies owner Terry Espy has helped bring new businesses into the Castle Street corridor over the years, including a yoga studio and Castle Street Kitchen. Espy and her husband also own Station No. 2, an event venue near the corner of South Fifth Avenue and Castle Street.

"Years ago, when we said we were going to do the event space in the firehouse, we would hear people go, 'Oh, I don't know about Castle Street,'" Espy said. "It's kind of the opposite now."

She recently listed Jester's Cafe for sale at 607 Castle St. So far, it's seen a lot of activity. "We're not sure who it is yet, but it's got to be somebody who understands the history," she said, "and where it's going."

Corey and Phallin Scott opened their restaurant, On Thyme, on Castle Street in 2022. They bought the building at 918 Castle St. in 2021 and opened an addition in February that added 1,400 square feet of space, along with a new bar, more seating, an expanded prep kitchen and waiting area.

While the Scotts considered moving to another building to accommodate their larger footprint, they decided to stay on Castle to invest in their building and business. The addition incorporates a bold black-and-red color scheme and photos of R&B and hip-hop celebrities behind the bar.

"It just gives you that homey, relaxed feel," Corey Scott said. "If you have a long day, come in, have a good time, a good vibe, good food, good music and just like a good atmosphere. That's what we're trying to go for."
 

Shaping the Corridor

Over the years, architect Rob Romero has brought his own style to buildings in the Castle Street corridor. His first project in the area, still one of his favorites, is the building at the corner of Castle and South Seventh streets that houses the nonprofit Kids Making It.

From there, Romero worked with Cargo District developer Leslie Smith on designing the district's first buildings. Romero designed the buildings that house local businesses End of Days Distillery, Mess Hall and The Rift, along with residential projects like The Crown and two of the four buildings at Midcastle.

He's also worked with Galarde on plans for The Ollie and on other infill projects such as The XII, a mixed-use 18-unit apartment complex slated for a former church at 1201 Castle St.

"There's an aesthetic that works with what I like to do," Romero said. "Something about Castle feels like you can go where you want."

Galarde has another project in the works just off Castle at 609 S. 16th St., featuring 10 townhomes with rooftop terraces and commercial space. Galarde said investment from Spetrino and other builders in the area gave his company the confidence to bet on Castle Street.

"Without his anchored development right there, I don't think any of this other development would have really been happening," Galarde said, "or it would have been a lot slower to happen."

When Hallmark Building Corp. initially began eyeing its return to Wilmington, Galarde said, the company worked with real estate agents to identify up-and-coming neighborhoods – like those they focused on in Charlotte – and settled on Castle Street and the Cargo District.

One of those brokers is Adam Hashem, the broker in charge at East Atlantic Realty. He's carved out a niche in helping buyers find off-market deals along Castle Street. Everything is for sale, Hashem said, and everyone has a number.

"Everybody knows where Castle Street's going; even the residents that have been there for many years, they know what they're sitting on," Hashem said. "They want to see credibility. They want to see that they're getting good amounts for their property."

According to Hashem, he's developed credibility in the corridor from his work on previous sales. Sometimes the off-market sales stem from conversations with homeowners; other times they come from word of mouth in the neighborhood.
 

Side Effects of Growth

Anthony Durrett, the owner of Sip N' Chill Lounge at 614 Castle St., said that as new development and residents come into the neighborhood, he wants to ensure the corridor's history is preserved.

Durrett grew up in Charlotte, where he remembers seeing the city's primarily Black neighborhoods affected and changed by gentrification. He sees the potential for gentrification on Castle Street and said the area has a chance to navigate change proactively.

Durrett said preserving the history of Castle Street should be a priority, along with providing fair opportunities for businesses in the area, especially for minority business owners. He sees a need for more collaboration and unity between business owners in the area.

"We should be one," he said. "No matter what category you fall in, the main objective is to get as many people to the street as possible. That should be the goal."

Castle Street Collective officially formed as a nonprofit in 2023. Current board president and area resident Bobby Croghan said the group aims to bring new people to Castle, along with supporting businesses and creating community events.

"We are excited to see residential growth because it just brings a new energy to Castle Street," Croghan said, "and we welcome new residents as their presence supports local businesses to create a more vibrant, inclusive community."

As more people move into the area, the collective, which is made up of residents and business owners, is working to address potential issues stemming from growth, such as a lack of parking, bicycle and pedestrian safety issues and sidewalk maintenance, Croghan said.

The group also wants to develop a better dialogue with developers bringing new projects to the street to improve communication among residents, business owners and their new neighbors.

"We want the community to stay kind of quirky. We want creative development. We want artwork incorporated into the community," Croghan said. "We want to make sure that those developers aren't putting up something that … doesn't play into the vibrancy of the neighborhood and the diversity of people and business types."