Yes the clock on the corner was repaired.

Any updates here?

How are they coming with the arcade renovation? Floors inyet?

Started on the new north entrance?

Story has probably changed. I'll do an update soon.

Any news here at all??

Steve, would greatly appreciate hearing anything you know.

Clearly, things have changed since they proposed the renovations as they were all supposed to be complete a while ago.

Good follow-up article and blog note by Steve Lackmeyer:

Article: Clock ticking on strategy for First National Tower | NewsOK.com (http://newsok.com/article/3220314/1206412213) ... the clock is ticking

Blog: So What's the Deal? Read Tuesday's Main Street (http://blog.newsok.com/okccentral/2008/03/24/so-whats-the-deal-read-tuesdays-main-street/) ... letter by John Hefner, Jr.

I don't know if it's the same barber shop mentioned, but here's a pic of the old 1st National Barber Shop ... I don't know when ... the image was provided to me by Norman Thompson ...

Larger: http://i8.photobucket.com/albums/a49/DougLoudenback/1stnational/1stnationalarbershop.jpg

http://i8.photobucket.com/albums/a49/DougLoudenback/1stnational/1stnationalarbershops.jpg



The barber shop is still there, 14th floor. That's where I get my haircut. it's a great space...on the walls- looks like tile, but it's actually the original italian glass. It's a really terrific space. I'll try to remember to take a picture this week.

http://www.thebarbersalon.com/site/Default.aspx

I get my haircut there too. Jamie, the owner, is great!

My picture turned out crappy, but go to Charity- she'll treat you well.

Any new information on the renovation??

This was all supposed to be complete some time ago.


Very strange considering Milbank keeps insisting "We're not like previous owners. We'll do what we say."

Any new information on the renovation??

This was all supposed to be complete some time ago.


Very strange considering Milbank keeps insisting "We're not like previous owners. We'll do what we say."

Things at FNC are not exactly moving forward with gusto.

she said. “But once I saw this shop I was like, ‘Wow.’”

Will this offer a straight razor shave? Does any place in OKC offer this service?

They've been there 2 years now, I believe they do. Yes there are many places that offer straight razor shave in OKC, mainly barber shops. There is even a thread on the topic of straight razor shaves. I know there is a place on like 19th and Classen that offers them.

The old gal could use a powerwash...

First National woes: a failure to communicate in Oklahoma City?

BY STEVE LACKMEYER
Published: June 29, 2010

Aaron Yashouafar isn't like his predecessors when it comes to making improvements at First National Center. He's spent millions trying to fix the property, but other actions left him as unpopular as prior out-of-state owners.

When Aaron Yashouafar led investment groups in buying First National Center in 2006, it didn't take him long to realize that he was also acquiring the baggage of prior owners.

As soon as Yashouafar started boasting about his record in turning around similarly troubled landmarks in Los Angeles and elsewhere, there were those in Oklahoma City who immediately doubted he could pull off the same feat with First National.

And who could blame observers for being cynical? The property was in no better shape when Yashouafar paid $21 million than it was when New York investors paid $5 million just a few years earlier.

Those New York investors left with a stack of unpaid bills and utility cut-off notices plastering the front door.

And now it's Yashouafar who is dealing with unhappy former vendors and a threatened foreclosure by his lenders.

First National is, in some respects, in better shape than it was four years ago. Yashouafar reports improvements to date total $8.5 million. Some of that money was spent on building systems.
But when it came to the cosmetic improvements, Yashouafar showed the same disconnect with tenants and the local community as did his predecessors. Tenants still grumble about how he had Lt. Gov. Jari Askins use a jack-hammer to tear up the marble floor in the tower lobby. They look at the tile that replaced it and they see something that is ordinary — and they note the windows outside are still cracked.

And when Yashouafar hosted a fancy party for civic leaders in the building's Great Banking Hall, complete with live entertainment and ice sculptures, turn-out was less than what was expected. This was no slight against Yashouafar — instead, a couple of the invitees who chose not to attend told me they simply couldn't, or wouldn't, believe that this latest rescue effort could work considering it started with a $21 million purchase.

After recent events, Yashouafar says he has no regrets about buying First National and still believes the property was worth $21 million. He's also continuing to pursue a policy of raising rents to bring them in line with what's being charged by other landlords at Park and Robinson.
It's this path that prompted Becky's Hallmark and The Buzz to leave, with more "amenity” retail tenants threatening to follow suit.

Yashouafar told Oklahoma City four years ago that he keeps his promises, that he would invest millions to bring First National back to its former glory. In those early days, however, I can't remember him ever asking the local community what they saw in First National, or what they wanted it to become.

In that respect, the same miscommunication that plagued First National throughout the 1990s and 2000s dogs Yashouafar today. He sees First National as being a competitor with City Place, Leadership Square, Oklahoma and Corporate Towers. Tenants who have weathered one financial storm after another and say their hopes and dreams have been ignored see it differently.


Read more: http://www.newsok.com/article/3472058?searched=%22first%20national%22&custom_click=search#ixzz0suZjsnEY

From Steve's OKCCentral.com blog:

Aaron Yashouafar Q&A
Posted by slackmeyer on June 24, 2010 at 6:48 pm

Today was, my friends, what we in the news biz call a “crazy day.” Everything seemed to hit the fan at once. Here’s a full transcript of my interview with First National owner Aaron Yashouafar. He was not willing to discuss matters currently in litigation – including the foreclosure action on First National.

Q: A lot of locals were shocked at the $21 million paid for First National in 2006. Looking back, do you still think the price was a good deal?
A: First National Center consists of 1 million square feet of prime, landmark, office space in Downtown Oklahoma City. The price paid is well beyond a good deal. The building was purchased at approximately $21 per square foot. To rebuild such a project would cost hundreds of millions of dollars, not to mention the fact that this landmark is irreplaceable.

Q: How much have you spent improving the property? Approximately $8.5 million, and continuing.
A: One of the biggest complaints I’m hearing about the current ownership is how there were sharp increases in rent even though improvements were halted.
A: Notwithstanding the improvements the ownership has made to the property, the rents are still in line with (and sometimes below) what others in the neighborhood are charging. We are all aware of substantial increases in the cost of operating a building such as First National Center (such as utilities, insurance and labor). Prior rents from old leases dating back to previous owners (who neglected the building, and would take anything from anyone without contributing to the building), should not be considered when talking about the rent increases. There has been 4 years of work and progress towards substantial improvements in building infrastructure as well as cosmetics. The pace of making improvements has only recently slowed down, not by no means, “halted”.

Q: You’ve seen properties in L.A. and New York go into foreclosure and the newspaper accounts paint a pretty bleak picture of your company – how do you respond to that?
A: Although Oklahoma has been, to a great extent immune, the rest of the nation is undergoing one of the most significant recessions, with the real estate industry taking a substantial hit and undergoing tremendous devaluations. Many properties, many owners, and many banks have gone out of business. Milbank, however, on behalf of the various owners it represents, is continuing to deal with the economic slowdown by repositioning the properties it manages. Many other owners faced with the same facts, have simply abandoned the properties.

Q: What’s your reaction to The Village Voice describing you as one of New York City’s “worst slumlords”?
A: I am not sure you have all the right facts. Milbank has not been managing the properties in question for nearly a year and a half. The lender hired its own management company to manage the properties, and that management company is the one being blamed. Unfortunately, when that management company was engaged, Milbank was prevented from carrying out its plan to improve and stabilize that property. In fact, the tenants are suing the lender now because of its lack of care for the properties. During the time that Milbank was managing those properties, many violations from prior owners were removed, the buildings improved substantially, and the tenants were being tended to. We do not believe that Milbank is a “bad manager” – especially here in Oklahoma City, where occupancy at the FNC has increased threefold in four years.

Q: With the debt level being so high and the mid-2000s real estate boom history, how do you make a property like First National successful again?
A: The property is already successful. Through the financial resources made available by the owners, the management team has been able to raise the occupancy from low 20% range to almost 65%, in just four years. In a building as large as First National Center, this translates to over 400,000 square feet of new leases. I am not aware of any other building in Downtown Oklahoma City experiencing such a transformation. In fact, the owners have always been, and continue to be, in compliance with the loan.

Q: Do you have any regrets when it comes to First National?
A: Not at all. At a time when almost everyone in Oklahoma City had simply written off First National Center, the current ownership made a commitment to give the property a new life. The dedication of the owners encouraged the City officials to support such renovation and together we created a dedicated and compassionate team whose results we are witnessing today.

Ya know that statement, "not like previous owners"? Well ....

This is all incredibly disappointing.

It wouldn't be so bad if the new owner hadn't been so adamant about being different and not making false promises. He had a real chip on his shoulder from Day 1 about how he inherited the bad rep of the previous ownership, then goes out and makes a bunch of big promises that he has broken.

Sure hope this gets back on track.

And when Yashouafar hosted a fancy party for civic leaders in the building's Great Banking Hall, complete with live entertainment and ice sculptures, turn-out was less than what was expected. This was no slight against Yashouafar — instead, a couple of the invitees who chose not to attend told me they simply couldn't, or wouldn't, believe that this latest rescue effort could work considering it started with a $21 million purchase.

I am just sayin this sounds like a line out of The Little Red Hen. Like I said I am just sayin.

Please deliver this building from its disastrous ownership!

And when Yashouafar hosted a fancy party for civic leaders in the building's Great Banking Hall, complete with live entertainment and ice sculptures, turn-out was less than what was expected. This was no slight against Yashouafar — instead, a couple of the invitees who chose not to attend told me they simply couldn't, or wouldn't, believe that this latest rescue effort could work considering it started with a $21 million purchase.

I am just sayin this sounds like a line out of The Little Red Hen. Like I said I am just sayin.

So are you saying Yashouafar is the Little Red Hen?

I am saying that if he fulfills his dreams and promises then it will be a different stories by the officials that did not show up.

So if they have increased their tenant base 3 fold, they should have also increased their intake on rent by AT LEAST that much. So why are we not seeing more being done with that money. If he can show that new money is being used to pay off previous owner debts or something, that might change some opinions. I can understand the need to get the non-sexy stuff done first too. You need infrastructure before you do the pretty. But at some point, people want to see something. And taking out marble to put in ceramic or linoleum or something....that's going the wrong way. Start with the first TENANT floor and work up or something. The lobby can be addressed later because the tenant floors are where the people WORK all day long and see it.

And FYI - the structure of the building ensures that it will NEVER be a competitor with someone like Leadership Square. FNC is a small floorplan building until you get over to the monstrosity crap of the additions. And I'd just assume see them razed and rebuilt to match the origional building.

Article in today's Journal Record that the ownership group of FNC has filed for Chapter 11 bankruptcy

http://journalrecord.com/2010/10/08/first-national-center-files-for-chapter-11-bankruptcy/

I wonder how this will impact their stated intention to fight against foreclosure and possible sheriff's sale?

First National owners file for bankruptcy
By Steve Lackmeyer
Published: October 8, 2010

Read more: http://newsok.com/first-national-owners-file-for-bankruptcy/article/3502597?custom_click=masthead_topten#ixzz11oB8fdXx

Owners of downtown Oklahoma City's landmark First National Center filed for Chapter 11 bankruptcy Thursday evening, just hours before a scheduled receivership hearing in Oklahoma County District Court.

California bankruptcy court documents show First National I and First National II — investment groups led by Milbank Real Estate Chief Executive Officer Aaron Yashouafar — reporting liabilities between $10 million and $50 million.

"We are committed to our investment and our promise of supporting the downtown Oklahoma City business community," Yashouafar said in a statement today. "Ownership of First National Center is reorganizing under Chapter 11 bankruptcy. Our tenants' leases remain secure and building operations will continue without interruption. This reorganization permits us to address the lender's issues while continuing to renovate and lease this historic building."

Yashouafar spent much of the summer battling a foreclosure by Capmark Bank before Oklahoma County District Court Judge Vicki Robertson ruled in favor of Capmark and ordered both sides to agree on a receiver.

The receivership hearing scheduled for this morning was canceled.

The First National partnerships led by Yashouafar purchased the property in 2006 for $21 million.

Walked around FNC a bit yesterday...

I was actually suprised by how many businesses are operating in the arcade. Two or three restaurants, a large and nice gift store, a tourism center, a pharmacy, etc. Looks like they are about 75% leased.

However, the renovation started through there has been left in the lurch. The ceiling is torn up in the western section and unfinished. The floor (very plain) has been replaced in that area but doesn't tie into the remainder. Would look much better if they would just finish what they started and continue on when they have more funds.

Also, the Great Banking Hall was being prepped for a big Halloween event of some sort. Nice to see it being put to use.

Capmark seeks control: First National lender claims owners won’t be able to emerge from Chapter 11
By Brianna Bailey
Journal Record
Oklahoma City reporter - Contact 405-278-2847
Posted: 09:19 PM Tuesday, December 14, 2010

OKLAHOMA CITY – Capmark Bank claims the out-of-state owners of downtown’s landmark First National Center owe more on the property than it is actually worth and will be unable to emerge from Chapter 11 bankruptcy because its largest tenant, Devon Energy, plans to move out when construction is completed on its new 50-story world headquarters.

Capmark, First National’s lender, is asking a U.S. Bankruptcy Court judge to allow it to continue to try to gain control of the center through the state court system on the grounds the buildings’ owners have no equity in the property and will not be able to reorganize, according to a motion filed Dec. 3 in the U.S. Bankruptcy Court for the Western District of Oklahoma.

Capmark claims the nearly 80-year-old art deco First National Center at 120 N. Robinson Ave. is worth significantly less than the $21 million balance of the note on the building.

U.S. Bankruptcy Court Judge Niles L. Jackson has yet to rule on the matter.

Capmark was in the process of foreclosing on First National and an Oklahoma District Court judge was about to appoint a receiver to take over day-to-day operations at the property when the center’s owners filed for bankruptcy in October.

Devon leases about 41 percent of the occupied space in the First National Center and accounts for about 50 percent of the monthly rental revenue on the property, Capmark claims.

Capmark claims in court documents that the energy company’s lease expires in September 2013. Devon leases about 227,835 square feet of office space in First National. The company plans to move all of its employees into its new building two blocks away from First National after the construction on the building wraps up at the end of 2012, said Alesha Leemaster, a spokeswoman for Devon.

“We have not been asked to help to find new tenants there and it would not be appropriate for us to do so at this time,” Leemaster said.

The company has been in communication with the owners of several downtown office buildings where it leases space about its intentions to build a new headquarters since 2008, she said.

Capmark is also fighting First National’s owners’ ability to renew its tenant’s leases and enter into new leases. Capmark has filed an objection with the bankruptcy court to First National’s request to enter into new leases with tenants on the property.

Several First National tenants’ leases have expired or are about to expire at the end of December, according to court documents. First National’s owners filed a motion in November, requesting permission from the court to enter into new leases with its tenants, after it was unable to come to an agreement on its leasing program with Capmark.

“The debtors are concerned that any further delay in the debtor’s ability to renew existing leases or enter into new leases for space within the property will result in the loss of current and prospective tenants,” First National said in court documents.

Capmark has objected to First National’s leasing program because it lacked adequate credit checks for potential tenants and restrictions on tenant improvements, among other reasons, according to court documents.

The Oklahoma Foundation for Excellence, which leases about 2,700 square feet of office space at First National, has a lease that expired on Oct. 31.

The nonprofit has had its offices at First National for more than a decade and has no plans to leave, foundation director Emily Stratton said. The organization is in the process of negotiating a new lease, she said.

“We love being in this building and we hope everything comes together smoothly,” Stratton said. “This is kind of a nerve center of downtown.”

The Oklahoma Department of Securities’ lease on more than 11,400 square feet of office space at First National expires on Dec. 31. The state agency has no plans to move and intends to renew its lease at First National, administrator Irving Faught said Tuesday.

The Oklahoma Aeronautics Commission, which takes up about 3,200 square feet of office space at First National, also had a lease that expired on Nov. 30, according to court documents. The commission has renewed its lease through the end of the year through the state’s leasing office and also does not intend to move, said Elaine Spell, chief operating officer for the commission.

Calls to Los Angeles attorneys David Neale and Juliet Oh, who are representing First National’s owners in the bankruptcy, were not immediately returned on Tuesday. Aaron Yashouafar, chief executive of Los Angeles-based Milbank Real Estate, which is part of the partnerships that own the First National Center, also could not immediately be reached for comment.

The partnerships First National Building I and First National Building II, both associated with Milbank Real Estate, bought the First National Center in 2006 for $21 million.

Once Devon is out, really, we need to get the place gutted. Take out all of the office space, and rebuild for each tenant as you go. The place is class C folks...and the floorplans are so incredibly small. You really have to have an entire floor to make it of any use to something other than a small office (like a lawyer). If they don't find a way to re-design the floor plans, the building will simply continue to falter with each owner until someone finally closes the place down and abandons it. We'll have to have a Maps4 to he re-hab the place by then.

If someone presents a plan that doesn't involve converting FNC to housing then it isn't a serious plan. The owners of Park Harvey, Montgomery, City Place, and other potential downtown housing buildings need to get together and build a dedicated parking garage with shuttle service. They should buy the east tower of the City Garage and add 10 stories to it. Leave the existing 5 stories for current parking needs and use the 10 new floors for their residents.

<sigh>

They simply overpaid and underestimated how much non-cosmetic work needed/needs to be done.

Plus, their other properties are floundering (a big condo project in downtown L.A. was foreclosed upon) and seems like they are just out of money in general.

I think the best hope is that there is foreclosure then someone more sensible buys at a more reasonable cost. And remember, the tower itself is only a fraction of the office space in this complex. The other space is not so chopped up but obviously needs work.

I don't think parking is a big issue as most the larger buildings downtown don't own any either. Devon just added to ton of more spaces and that frees up a lot in the city lots.

First National owners dispute Capmark claims
By Brianna Bailey
Journal Record
Oklahoma City reporter - Contact 405-278-2847
Posted: 01:35 PM Monday, January 10, 2011

OKLAHOMA CITY – The owners of downtown’s First National Center are fighting their lender’s attempts to gain control of the nearly 80-year-old tower in U.S. Bankruptcy Court.

In court documents filed last week, First National’s owners said lender Capmark Bank’s assertion that the center is worth less than the $21 million mortgage on the property is not supported by the actual facts.

First National claims in court documents that the historic downtown center at 120 N. Robinson Ave., famed for its art deco facade, is about 56-percent occupied and has a positive cash flow.

An independent appraiser recently pegged the First National Center’s value at about $26 million, the center’s owners claim.

First National’s owners claim to have more than $3.8 million in equity on the property. The center’s owners also have doubled occupancy and made more than $8.5 million in improvements on the property over the past four years, according to court documents.

First National’s Los Angeles-based owners also rejected Capmark Bank’s claims that the center will not be able to emerge from Chapter 11 bankruptcy, because its largest tenant, Devon Energy, plans to move out when construction is completed on its new 50-story world headquarters.

“Even if Devon elects to move out of the property at the expiration of its lease on or about September 30, 2013, the debtors have nearly three years to find replacement tenants for Devon’s space,” California real estate investor Simon Barlava, one of First National’s owners, said in a letter to the court.

Recent court documents also reveal that First National has reached an agreement with Capmark on an expedited process for approving new and renewed leases at the downtown center. The two parties had previously squabbled over leasing terms at the center.

The partnerships First National Building I and First National Building II, both linked with Los Angeles-based Milbank Real Estate, bought the First National Center in 2006 for $21 million.

An Oklahoma County District Court judge ruled in 2010 that First National’s owners had defaulted on their mortgage. Capmark Bank was in the process of foreclosing on First National and the Oklahoma County judge was about to appoint a receiver to take over day-to-day operations at the property when the center’s owners filed for bankruptcy in October.

Capmark Bank has filed a motion in U.S. Bankruptcy Court to gain control of the property.

I guess the good news is that Milbank really wants to keep the property and obviously sees a future for it.

If they've put $8.5 million into the place, I'm sure it is worth than $21 million.

They've put $8.5m into it? Where?
I see some renovations being done but nothing close to what I thought would be $8.5m...

If someone presents a plan that doesn't involve converting FNC to housing then it isn't a serious plan. The owners of Park Harvey, Montgomery, City Place, and other potential downtown housing buildings need to get together and build a dedicated parking garage with shuttle service. They should buy the east tower of the City Garage and add 10 stories to it. Leave the existing 5 stories for current parking needs and use the 10 new floors for their residents.

Well it would be easier if COTPA just expanded the garages themselves. They have an outmoded formula they use to determine how much parking they need based solely on office needs. They should be pursuing deals with developers.

I agree that residential or hotel are probably the only way the First National comes back to life. I think the council is wanting to do a Skirvin-like deal, but they can't use the same money which won't be repaid until the Skirvin is sold off. So anything that we've done before is off the table.

I have a feeling that MillBank is just tying the foreclosure up in court. Think about it; Devon is their constant revenue stream coming in that is paying their mortgage. I think after Devon is gone then they will let it fall into foreclosure. They are a California based company and clearly don’t understand the market. Hopefully a local investor or group will take it over and give it the attention it deserves! Or for God sakes a local commercial real estate broker! Hopefully most of you have been in the old bank lobby on the 2nd floor west side. It is so beautiful in there, but clearly needs some TLC.

And please don’t get me started on the façade on the north facing center annex. Absolutely hideous. Although I hear Casey Cornett is a fan of the mustard colored panels!

I think we all would love to see someone local take the place, but that's been the problem...no one local wants it. I agree on the facade too, all the additions are HORRIBLE!!!!! If you ever saw a need to re-facade something, that's it. Please please please refacade to match the tower!

I'm afraid that this structure/complex will be one of the last things to get any major improvements downtown.

As downtown continues to improve, at some point it will make economic sense to plow in the needed millions for a major renovation and still be able to make the thing cash flow.

Unfortunately, this is about the third or fourth pass at this and it just doesn't seem to be economically viable, i.e. investors can't get enough rent to justify a major investment in renovations.

At least the place is still open. Like the Skirvin, it will have it's day once again but it's sad to say we are all probably going to have to wait another five years or so.

I have never understood how they would be able to make it work as offices.

Tear down the expansion, put in a join venture parking garage for all downtown housing, and convert the FNC to residential/hotel.

The problem is that the tower itself doesn't have much square footage. I'm sure the large majority of the rent they receive is in the expansion which represents about 70% of the total area in the complex and contains all the retail space, which is amazingly pretty full.

The retail can stay. The 909 Walnut Building in Kansas City is very similar and they were able to get 159 units out of it plus 70,000 sq feet of office space

If they took out the expansion they could put in a 15 story parking garage and offer spaces to other downtown housing developments. They could then use the roof for tennis courts, swiming pool, and garden space (not garden for food, but garden for relaxing).


http://www.kc-lofts.com/bldgs/909walnut.jpg

http://images.oyster.com/miami/hotels/conrad-hotel/photos/rooftop-pool-conrad-hotel-v198732-720.jpg

Well again, the expansion is where they are making the money. The tower is the gem, but it's not where the cash is. So if they tear down the expansion, there goes the funding that is keeping the place from closing it's doors....as ugly as it is.

The tower itself is in need of updating of it's services though as well. The whole place badly needs to be gutted and started over from scratch. Electrical, water, etc. The services aren't adequate for the needs of today...hell the place is almost 100 years old, of course it's not adequate. The place simply wasn't built to provide what is needed today...like enough electricity at each outlet for a person's desk (computer and the like) that would have once powered the lighting for the whole suite. They have managed to jerry-rig it to make it "work" but it's still not good...it's not stable.

Trouble is, like Pete says, there's not a market need for that to happen. It's class B at best and really I'd put it at C (Tower). And while Continental is filling up Mid-America, Devon is still leaving a large hole in the other buildings it occupied. So as long as the office space downtown isn't at a premium, you aren't going to see it happen. There has to be a reasonable ROI in the place.

I'm wondering if it would be better for the city to step in like they did with the Skirvin. Step in and buy the gem so it doesn't go down the toilet. They managed to do a wonderful job with the Skirvin, and I think they could do a similarly good job with FNC. It would create a return for sure, and not being privately funded, it would actually happen NOW instead of some blow-hard from a coast waiting to sink anything in it.

For crying out loud - it must suck being a defeatist. Even if the expansion is the money making portion, it isn't making enough money because every owner goes broke. They need to go to plan B; residential/hotel.

For crying out loud - it must suck being a defeatist. Even if the expansion is the money making portion, it isn't making enough money because every owner goes broke. They need to go to plan B; residential/hotel.

I think downtown needs more high rise residential but I don't like the idea of first national in that regard. It's a huge office building and after seeing what XTO was able to do with 5 or 6 century old buildings in dt ftw, I think it still has potential as an office building. Either way the whole tower needs to be gutted and redone to fit modern needs. It is a very recognizable tower on the downtown skyline, if it was class A office space I think it would be an easy sell and would lease up fairly quickly.

As far as tearing down the expansion to build a parking structure, why? There is a parking structure connected on main that spans almost half a block. I think the facades should just be renovated.

As far as tearing down the expansion to build a parking structure, why? There is a parking structure connected on main that spans almost half a block. I think the facades should just be renovated.

It is surprising how much of that block is owned by Milbank, but the parking garage is not one of them. It is owned by someone else.

However, something like this would be the ultimate parking garage downtown.

http://twistedphysics.typepad.com/cocktail_party_physics/images/2007/12/08/volkswagen_autostadt_580x.jpg

Here is what $6 million will get you.

http://www.bbc.co.uk/news/uk-11423051

Well again, the expansion is where they are making the money. The tower is the gem, but it's not where the cash is. So if they tear down the expansion, there goes the funding that is keeping the place from closing it's doors....as ugly as it is.

The tower itself is in need of updating of it's services though as well. The whole place badly needs to be gutted and started over from scratch. Electrical, water, etc. The services aren't adequate for the needs of today...hell the place is almost 100 years old, of course it's not adequate. The place simply wasn't built to provide what is needed today...like enough electricity at each outlet for a person's desk (computer and the like) that would have once powered the lighting for the whole suite. They have managed to jerry-rig it to make it "work" but it's still not good...it's not stable.

Trouble is, like Pete says, there's not a market need for that to happen. It's class B at best and really I'd put it at C (Tower). And while Continental is filling up Mid-America, Devon is still leaving a large hole in the other buildings it occupied. So as long as the office space downtown isn't at a premium, you aren't going to see it happen. There has to be a reasonable ROI in the place.

I'm wondering if it would be better for the city to step in like they did with the Skirvin. Step in and buy the gem so it doesn't go down the toilet. They managed to do a wonderful job with the Skirvin, and I think they could do a similarly good job with FNC. It would create a return for sure, and not being privately funded, it would actually happen NOW instead of some blow-hard from a coast waiting to sink anything in it.

The city won't be able to step in like they did with the Skirvin for another 20 years, UNLESS Hilton sells the Skirvin to another operator. Only in that case Marcus Hotels would repay the lone instantly and the city could reinvest that into the FNC. But there would definitely be a consensus for doing that, it's an idea that is gaining traction. They talked about it at a city council meeting I attended before I left, in fact.

I think there are a LOT of people right now that would rather find money for the FNC than $50M for an unspecified national hotel chain to build a convention hotel. What if they chose the Cox site (still a bad idea, IMO) and decided to use the FNC as the convention hotel? It is .5 blocks away. Just a crazy idear.

If you used the whole 1 million sq feet of the FNC you might be able to get a convention hotel out of it. That is an interesting idea. In fact, that might be a darn good idea.

Well the Populous study states a need for 570,000 sf for the convention center. I believe that includes 708 rooms.

So, I think you could fit a lot more than just a convention hotel inside the FNC. That could be the impetus for making it work as mixed-use, actually.

That is the only foreseeable way the city can step in with the FNC for the time being, pending a shocking sale of the Skirvin.

I thought I read in one of the reports that the convention hotel alone would be about 1 million sq feet.

On edit - the latest Populus report shows the hotel at just under 600,000 sq feet. The convention center is 1,000,000 sq feet by itself. The two together are 1.6 million sq feet. This doesn't include the 874 recommended parking spaces either. http://www.okgazette.com/oklahoma/file-136-.pdf

I just know the waste of space like The Great Banking Hall is one of the damndest shames in Oklahoma City.

If you used the whole 1 million sq feet of the FNC you might be able to get a convention hotel out of it. That is an interesting idea. In fact, that might be a darn good idea.
Magnolia Hotels (http://www.magnoliahotels.com/magnolia-the-hotels.aspx?menupos=1) has converted office buildings in Dallas, Denver and Houston into upscale hotels. Those were Magnolia Petroleum building (The Pegasus Tower) in Downtown Dallas, the Shell Oil Building in Downtown Houston (not far from Minute Maid Park and the convention Center) and the American National Bank Building in Downtown Denver. I have stayed at the ones in Houston and Denver and they were very well done and will stay at them again. I think FNC would make a great hotel/residential conversion with maybe some small high end office as well. I think it needs to be a true mixed-use tower to be successful.


I just know the waste of space like The Great Banking Hall is one of the damndest shames in Oklahoma City.
It would make a great hotel lobby.

They could put some high priced condos at the top like City Place did. Could bring in enough to help pay for the rest of the renovations. Or atleast get the ball rolling.

I'd be glad to see anything happen here, but why does it always have to be upscale? Why can only the rich live downtown? Where are the apartments for the average joe that happens to like downtown and doesn't consider something like the Regency as good.

Bomber, do you think that the First National is feasibly going to become a building with nothing but 400 little 600 sf units that rent around $700-800/mo? I think it would be nice if it eventually ended up with at least 100 of those units, but that's not considered a good enough projected cash flow to obtain financing unfortunately.

No doubt it would work. Unfortunately, I don't see banks going for it. Ultimately I would like to see some economic diversity in the building itself. With million-dollar condos on top, that guarantees long-term upkeep of the property at least. With such a huge building, I think you have a real opportunity to have a mix of income ranges benefiting each other.

I just don't know if the expensive job of rehabilitating that building would be covered by lower-end apartments. You get what you pay for...

I'd be glad to see anything happen here, but why does it always have to be upscale? Why can only the rich live downtown? Where are the apartments for the average joe that happens to like downtown and doesn't consider something like the Regency as good.

Define rich, define affordable, and what is wrong with Regency and Park Harvey? To make it easier, how much should a downtown apartment cost and how big should it be?

Why do these discussions invariably turn into class vs. class? The truth is that downtown needs to somewhat reflect a real society which exists here...a mix of socioeconomic population and services that appeal to all, including housing at all levels in roughly representative proportions. A tower can provide that. In many cities that is exactly what the residential/mixed use towers provide. Generally, the higher the floor the higher the cost, whether purchased or leased. Generally condo up high and rental lower with services and retail at the base. Exclusive floors may have separate entrances/elevators for privacy. All this could be done at First National. Retail & food at bottom, professional services next, boutique/business class hotel for 3 or 4 floors, rental units above that and condo at top levels. Very doable. Some developer needs to get a little imaginative. This could be done in stages.

I assume in all these discussions of mixed socio-economic buildings you are applying some minimum standard, or should there be a section 8 unit on every floor?

I assume in all these discussions of mixed socio-economic buildings you are applying some minimum standard, or should there be a section 8 unit on every floor?

I doubt you are asking a serious question. Not mix floor by floor, but in building. Rental of $1,000-$1500 units up to condos for $1 million plus works if the corresponding amenities are there. A serious study on adaptive reuse of the building would reveal a mix that makes economic sense. I doubt section 8 would even be practical in a cash flow sense anyway, and certainly wouldn't work in a marketing sense. Total diversity is the neighborhoods responsibility. Mixed use doesn't include EVERYTHING.

I don't care if the Sultant of Oman bought it and turned into one giant home, if the building can be remodeled into residential I am for whatever plan does that (short of section 8 housing). If each unit cost $2 million then so be it. BTW - section 8 housing covers the price difference between what the person can afford to pay and the market rent. Cash flow would have nothing to do with it - it isn't rent control.

Oy.....

I don't care if the Sultant of Oman bought it and turned into one giant home, if the building can be remodeled into residential I am for whatever plan does that (short of section 8 housing). If each unit cost $2 million then so be it. BTW - section 8 housing covers the price difference between what the person can afford to pay and the market rent. Cash flow would have nothing to do with it - it isn't rent control.

Whatever. For awhile I thought this thread was in danger of becoming a serious discussion of what could be seriously done with the First National Center. Guess there isn't a real chance of that though.