offering bird's-eye views of the city. It will occupy a 1.3-acre site owned by neighborhood nonprofit University Circle, Inc., which entered a long-term land-lease agreement with Petros and Schneider.

First National Bank led a lender group, which includes Fifth Third Bank and union-owned insurer Ullico, that provided first-mortgage financing for the project. The ERECT Funds, which invest on behalf of union pension funds, supplied the second mortgage. The developers contributed $19.5 million worth of equity and secured another $10 million from wealthy foreigners, through a federal program that offers U.S. residency to people who invest in job-creating projects here.

The Cleveland-Cuyahoga County Port Authority acted as a conduit in a bond deal with the bank group, enabling the developers to avoid sales-tax payments on construction materials.

The city approved 15 yearsof property-tax abatement on the apartment building, followed by a 15-year arrangement that will reallocate part of the new property-tax revenues from the project to paying off debt. Cleveland routinely provides abatement for residential projects and requires, in exchange, that homeowners and developers meet green-building standards.

"The development at One University Circle provides another example of the renaissance taking place across Cleveland," Mayor Frank Jackson said in a written statement. "Developers like Mr. Schneider and Mr. Petros are investing in the vision that enhances Cleveland as a place to live, work, play and do business."

First Interstate is the developer behind Cleveland's Steelyard Commons shopping center and Legacy Village in Lyndhurst, where a new parking garage recently opened and construction is almost done at a 135-room Hyatt Place hotel. Petros