Construction of a 19-unit apartment complex near Andrew Square in South Boston is beginning after acquisition of a $7.3 million loan.

FinanceBoston arranged the loan for 144 Old Colony Ave., which will include 19 apartments over ground-floor retail space and 14 structured parking spaces in a five-story structure.

“The financing was completed with competitive terms from a local bank who saw my client’s vision for the property,“ Doug Landry, partner at FinanceBoston, said in a statement. “In South Boston there is a shortage of new construction rental apartments outside of the high cost and high amenity buildings.”

The developer, Boston Pinnacle Properties, received approval in 2019 from the Boston Planning & Development Agency for the project which replaces a two-story commercial building. Completion is scheduled for September 2021.

The neighborhood, which historically has been dominated by industrial uses, is undergoing a transformation with a recent multifamily building boom and possible large-scale commercial developments.

National Development has acquired a series of industrial parcels on Dorchester Avenue for multifamily and commercial redevelopment and recently acquired a 1-acre parcel for a proposed development including apartments, office space and retail.

And Core Investments, which owns a large cluster of parcels near the MBTA Andrew station, is proposing an Amazon last-mile delivery hub on a 22-acre parcel on Dorchester Avenue.