Midtown picking up serious momentum

[Pete]

Middle ground
Housing, eateries arriving as city area starts to stir


By Steve Lackmeyer
Business Writer

More housing and a new "restaurant row" are in the works for MidTown as developer Greg Banta moves from acquisition to leasing space in more than 50 properties he owns just west of downtown.

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Banta said Thursday the first floor of MidTown's landmark Plaza Court Building is fully leased. Construction permits are pending for Irma's II, James E. McNellies Public House, Prairie Thunder Bakery and King Euporium Gift Shop.

Leases, meanwhile, are pending for restaurants to occupy the former Reeser's Eyewear building at 1215 N Walker Ave. and a property known as the "rotunda building" at 1201 N Walker Ave. Across the street, Banta is planning to convert part or all of the seven-story Osler Building and adjoining Heritage Building into housing.

The stretch of Walker between NW 13 and NW 10 already is home to a Subway shop, the Grateful Bean Cafe, Boulevard Cafeteria, Brown's Bakery and Cafe do Brasil.

"We're trying to get a restaurant row going," Banta said. "And we hope that will create demand for residential and offices."

A former Beverly's at 1207 N Walker, owned by Banta, has been leased to brothers Arturo and Marco Chavez, who plan to open 1492 New World Latin Cuisine.

Arturo Chavez said the concept is unique to Oklahoma City and should complement Cafe do Brasil across the street.

"It's a blend of all the Americas," Chavez said. "The theme is based on 1492, when Columbus came over and brought old-world Spanish cuisine and blended it with what we have now — a bit of Caribbean, South American, Mexican and what we have with TexMex. It's something that's been tried in other cities and has been very successful."

Chavez, who worked as a sommelier in Bricktown, said he first looked at opening an eatery in the entertainment district before turning his attention to MidTown.

"This will create a nice restaurant row," Chavez said. "It will be a great local area. We'll have some visitors, but I think Bricktown will continue to have more of the tourist business. I think it's great that Greg Banta is only doing locally owned and not corporate businesses."

Banta, meanwhile, is counting on the new restaurants, housing and offices to create energy in MidTown that will spark more development.

Banta said he is preparing to market the former Hotel Marion, at NW 10 and Broadway, a three-story building at 1217 N Francis and buildings at 905 and 909 NW 12 as housing. He said renovations are nearing completion at a former surgery center at 815 NW 12 that will be leased by McBride Clinic for a physical therapy group.

Banta said potential medical tenants are looking at several other properties along NW 10, which links St. Anthony Hospital and the Oklahoma Health Center. He added that a lease should be announced soon for the former Pat's Lounge building at NW 10 and Robinson, which will be restored and renamed the Packard Building in honor of its original use as a Packard dealership.

The addition of a restaurant row and housing is being welcomed by two competing MidTown residential developers. Justin Meek, spokesman for Harvey Lofts at NW 12 and Harvey, said conversion of the former Wesley Hospital into condos is complete and the first two units already are occupied.

He said only six of the building's 17 units remain available for sale.

"Reaching a critical mass can only increase the vitality and interest in MidTown," Meek said.

Marva Ellard, who is developing the former Sieber Hotel at NW 13 and Hudson into apartments, said she thinks more housing development still is needed for MidTown.

"We need 24-hour residents down here and not just businesses during the day," Ellard said.

More housing may come soon, with proposals due Friday for property at NW 13 and Dewey that once was home to Mercy Health Center. The abandoned hospital was razed by the Urban Renewal Authority in 2002 and is immediately south of the affluent Heritage Hills neighborhood.

Banta said his company won't be submitting bids to Urban Renewal officials for the site, but he has visited with others who are preparing proposals.

"We want to see it developed, and we're confident it will be done right," Banta said. "It has potential to be a great project."

[jbrown84]

You beat me to it Malibu. A lot of good updates in that article.

[metro]

Great updates Steve. Much appreciated. Great to hear for me and my fiance. We own property in this area!

[Doug Loudenback]

I live in Mesta Park and its ALL good news for me, too! All of the development going on in Midtown, particularly Banta's, seems to be the real deal!

[jbrown84]

Anybody heard anything about actual leasing of some of these new housing projects? Any websites up yet? I'll be looking for something soon.

[writerranger]

I live in Mesta Park and its ALL good news for me, too! All of the development going on in Midtown, particularly Banta's, seems to be the real deal!

You are really in a great locale to take advantage of the Midtown offerings. I am excited about these developments as much as anything right now. It's lookin' good!

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[Pete]

I really like the look of Wiggin's proposal (second rendering).


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MidTown housing proposals unveiled
Development could bring condominiums, business

By Steve Lackmeyer
Business Writer

The old Mercy Hospital site in MidTown could become upscale condominiums or a mix of apartments, condominiums, retail and a hotel if one of two competing proposals unveiled Friday are accepted by the Oklahoma City Urban Renewal Authority.

The agency issued a request for proposals earlier this year for the property at NW 13 and Walker, which was cleared in 2002.

Proposals submitted were:

•Mercy Park: 111 apartments; 22 for-sale condominiums; 23,725 square feet for restaurants and shops; and a 72-room hotel. The development would be built above a 305-space underground garage. The development group is Mercy Developers, consisting of Marva Ellard and Robert Magrini (who are renovating the nearby Sieber Hotel) and electrical contractor and housing developer M. Paul Iser. The estimated development cost is $48.3 million and the developers are seeking $1.8 million in tax increment financing.

•Overholser Green: 109 condominiums built in a series of four- to eight-story buildings above an approximately 220-space garage.

The developer is Wiggin Properties, which owns the 101 Park Ave. building and is converting the Mayo office building in downtown Tulsa into housing.

The estimated development cost is $61.3 million and the developers are seeking $3.5 million in tax increment financing.

Urban Renewal executive director JoeVan Bullard said a cursory review Friday indicated both developments are within guidelines set by the agency’s request for proposals.

"We wanted some housing in there,” Bullard said.

"We’re not looking for offices. But it can be a mixed urban development with housing. So that opens it up for a heavy mix like that being proposed by Marva Ellard or to just housing like that being proposed by Chuck Wiggin.”

David Huffman, a partner in Wiggin Properties, said Overholser Green is intended to reflect on the spirit of nearby Heritage Hills and one of the city’s early prominent families.

"It is a name that reflects the quality of the project, the neighborhood history, and the background of Overholser being one of the founders of Oklahoma City,” Huffman said.

"This really is in the Heritage Hills neighborhood and the Overholser Mansion was one of the charter homes in Heritage Hills.”

Overholser Green would include flats, all accessible by elevators, with underground parking.

The complex would include four buildings, three built four stories high, a third at NW 12 and Walker at eight stories.

The design, by Architectural Design Group, calls for a classic style reminiscent of Regency architecture in Britain. Materials would include cast stone, stucco, ironwork and metal roofing

Prices would range between $340,000 and $742,000. The Wiggin proposal proposes paying $1 million for the property.

"What we’re proposing would be the nicest condominiums in Oklahoma City,” Huffman said.

The Mercy Park proposal calls for a restaurant, deli, shops and a grocery to face NW 13 between Dewey and Walker. Condominiums would face Walker while apartments would be built along NW 12 and Dewey. A hotel would be built in the center of the development, with underground parking serving the entire complex.

The buildings would range between three and six stories high.

"Our goal with all this is to design a project that has 24-hour-a-day life to it,” Ellard said. "It would allow employees of the medical institutions to live closer to work.”

Ellard said the market rate apartments would range between 900 and 1,200 square feet.

"We see them being leased by an RN who works at one of the hospitals who might send her child to Villa Teresa or a young couple who are just starting out.”

The design by Brad Lechtenberger and his firm Damen-Lechtenberger calls for the use of brick, stone, cast stone and glass for the facade, and window and door openings that mirror construction in the surrounding neighborhood.

"It’s designed after the commercial architecture of the 1920s and ’30s,” Ellard said. "It’s kind of like the small building portion of the Sieber Hotel and other buildings around downtown.”

Both projects are vastly different from a previous development proposal submitted by Nicholas Preftakes in 1998. The $11.8 million proposal, the first downtown area housing attempted by Urban Renewal in 20 years, called for 16 two-story town houses, 72 city villas and 52 apartments.

The project was cancelled in 2002 after Urban Renewal commissioners refused a request by Preftakes to acquire a duplex just south of the site. That duplex, once criticized by neighbors as a public nuisance, is now being renovated into law offices.

Ellard and Huffman agreed the Mercy Hospital site has grown in value in the past decade. Ellard noted many of the area’s problem properties are now being renovated by developer Greg Banta.

"You have St. Anthony development, the health science area, the energy downtown, and this property is in the center of three,” Huffman said. "They are three major employment bases for Oklahoma City. It’s a great site.”

[kk19115]

interesting. not too long ago this was the showroom where weekly music events took place. also was a cafe/sandwich resturant during the day. too many noise complaints and lack of funds later...

[SpectralMourning]

While both proposals would be fantastic for the area, I'm favoring the Overholser Greens design. Regency would add a ton of character to the area and tie in Midtown and Heritage Hills much closer together. If pulled off correctly, it could be another crown jewel of Oklahoma City.

As for the Showroom, I've said it before and I'll say it again; good riddance. That place was nasty, but the building and the buildings around it have a ton of untapped character.

[Patrick]

I honestly wouldn't be surprised if Midtown becomes the new Bricktown, which would be okay with me. As most of you know, West End in Dallas is only a drop in the bucket of what it once was. Now Deep Ellum has taken over. What are your thoughts on the future of Bricktown, and how these projects will put a dent in that? Is that good or bad?

[SpectralMourning]

If anything, I would hope for the Arts District and Automobile Alley to be the "new Bricktown." Regardless, I think each district needs as much concentration as the other, as well as how it will tie in with the next district. LBT is a bit suburban design-wise, but how will that affect the new expressway and I-40 expansion district? How is the arts district going to develop it's own image with the business and municipal developments cutting it in half?

[writerranger]

Well, not to throw cold water on anything, as I would love a couple of those projects, but you can count on OCURA to make sure the worst proposal will come out with the deal. No, not really.....just the developer with the most $$$ to kick back to the corrupt OCURA. By the way, is OCURA still without a website? It's so odd how you can use every search engine around and turn up so LITTLE about a group that has so much influence on Oklahoma City. It's time for a little transparency! I have been totally disappointed with Mick Cornett and his reappointments and lack of leadership to clean it up and bring in the sunshine!

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[Spartan]

Agreed but it's not as bad as we whine.

The members are acting on concerns. Valid concerns. Wrong concerns. But concerns.

[writerranger]

Agreed but it's not as bad as we whine.

The members are acting on concerns. Valid concerns. Wrong concerns. But concerns.

No, I honestly believe that with a some of the members it is probably much worse than we whine.

[John]

I'd like to see both proposals end up getting built somewhere in the downtown vicinity.

I don't have a favorite at the moment, although I like the bigger numbers in the Mercy Park proposal.

[Pete]

I share the concerns about OCURA... I've never seen such a powerful public agency that goes so far to keep it's dealings as stealth as possible.

However, it looks like both these proposals are pretty good so maybe even they can't screw this up.


Still, I know darn well the deciding factor on who they chose will have much more to do with personal relationships than merit.

[jbrown84]

Which rendering is which? I prefer the 2nd rendering (the Wiggin one?), but I prefer the aspects of the Marva Ellard proposal. Mixed use with grocery. Ding Ding Ding. She wants 24-hour life brought to the area. It's brick, and it adds more affordable for-lease apartments as opposed to even more for sale condos on top of Block 42, The Hill, and Maywood Park.

But I agree with John. I hope whoever loses out on this will go somewhere nearby and build something very similar, like Coury did with the Colcord.

[metro]

Well, not to throw cold water on anything, as I would love a couple of those projects, but you can count on OCURA to make sure the worst proposal will come out with the deal. No, not really.....just the developer with the most $$$ to kick back to the corrupt OCURA. By the way, is OCURA still without a website? It's so odd how you can use every search engine around and turn up so LITTLE about a group that has so much influence on Oklahoma City. It's time for a little transparency! I have been totally disappointed with Mick Cornett and his reappointments and lack of leadership to clean it up and bring in the sunshine!

Very well said. It boggles me. Anyhow I hope the mixed use development gets built although as always it will be the least qualified (aka the one who kicks back more money to OCURA). Glad to finally see something being done with this site that should have almost 5 years ago. I wish I knew they were having a meeting (couldn't imagine why they never make it very known!!) otherwise I'd attend just like I did when they chose the horrible project "The Hill at Bricktown" which is actually in Deep Deuce but they are profiting off the Bricktown name)

[BG918]

Bricktown is an entertainment district full of restaurants, bars, clubs, a movie theatre, a ballpark, a few retail shops, and some lofts. There will be more residential built in Bricktown as time progresses and the new downtown blvd. on the southside of BT will sustain its growth for a long time. The development of the new districts are not detrimental to Bricktown but rather by having more people living downtown more people with probably go to Bricktown. And of course Bricktown will be a focal point for tourists and people going to events at the Ford Center/convention center.

As far as the Midtown proposals go, I like the look of the Mercy Park proposal but both would fit in well in that neighborhood.

[Pete]

Here's how I think Bricktown and Midtown evolve:

Bricktown: Bigger hotels, more entertainment (sports, concerts, movie theater), family and tourist oriented.

Midtown: More residential and geared to locals, primarily young and/or single: Smaller, trendier restaurants and local bars.

[BDP]

I agree Malibu.

Bricktown will continue to be an entertianment district and Midtown will be a neighborhood.

[metro]

Not to mention as MidTown evolves, it's going to put the pressure on Bricktown developers to keep their rents realistic and realize there is more competition in the area coming online with the development of Automobile Alley, Arts District, MidTown and the Film District. In the end, I think it's a win win because Bricktown will have to stay competitive, thus hopefully getting more tenants in there.

[writerranger]

Not to mention as MidTown evolves, it's going to put the pressure on Bricktown developers to keep their rents realistic and realize there is more competition in the area coming online with the development of Automobile Alley, Arts District, MidTown and the Film District. In the end, I think it's a win win because Bricktown will have to stay competitive, thus hopefully getting more tenants in there.

Very good point!

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[BG918]

^ Maybe then you will see that empty space above the storefronts in the Bricktown warehouses developed into loft apartments. And maybe then the price of those last remaining canalside lots will be go down enough to be developed.

[Pete]

Decision delayed on developer
• Opposing proposals offered on development for old Mercy Hospital site super-block.
By Steve Lackmeyer Business Writer


Oklahoma City Urban Renewal commissioners will wait another month before selecting a developer for the superblock at NW 13 and Walker that was once home to Mercy Hospital.

At Wednesday’s meeting, developers of the proposed Mercy Park and Overholser Greens gave opposing views of the market for downtown condominiums priced above $300,000.

The issue is being raised by both sides as Wiggin Properties — developer for Overholser Greens — proposes one of the most expensive housing projects in the history of Oklahoma City’s urban renewal program.

The $62 million complex would consist of four towers built four to eight stories high above a 220-space underground garage.

The competing $48.3 million bid by Mercy Park LLC, led by Sieber Hotel developers Marva Ellard and Robert Magrini, along with electrical contractor M. Paul Iser, proposes 111 apartments, 22 for-sale condominiums, retail facing NW 13, and a 72-room hotel all built above a 305-space garage.

The developers say they expect to keep the condos priced less than $200,000.

The Overholser project is proposed as a phased construction of 109 units, $350,000 to $800,000 each, over four years. Chuck Wiggin, president of Wiggin Properties, told commissioners Oklahoma County recorded 713 single home sales last year that topped $350,000 and he believes he could tap into 5 percent of that market over the four years.

“We do think there is a market,” Wiggin said. “I think there is an indication there is a market for downtown that isn’t being served right now.”

Daniel Crane a senior vice president with Plano, Texas-based Capmark, countered that his company — which last year acquired GMAC Mortgage — stopped approving financing for speculative condominium developments six months ago.

“Capmark is the largest finance company in the world,” Crane said.

“Lenders are cutting back on condominium financing. When condominium projects go bad, they go really bad.”

Wiggin countered that downtown Oklahoma City is just emerging as a market for condominiums, with construction under way in Deep Deuce and Bricktown.

“We’re not the only ones that think it’s worth trying,” Wiggin said. “If you ask them what they think of what they’re doing, I’d say they’re all enthusiastic about their prospects. If you visit other cities around the country, you’ll find this is going on everywhere.”

Crane, attached to the Mercy Park project, assured commissioners financing for the proposal is firm.

He compared the financing by the Department of Housing and Urban Development to that used through his company for the Legacy at Arts Quarter being built at NW 4 and Walker.

That development went through three years of delays, which developer Mike Henderson partially blamed on arranging financing. Crane said the two projects are not comparable because of soil contamination issues at Legacy that are not involved with the Mercy site.

“The problem with Legacy was unique to Legacy,” Crane said. “Last year, there was about a $1 billion in financing done under this program on 170 or so projects.”

At the same meeting, commissioners were provided a report by a review consisting of city planners, downtown civic leaders and representatives of the nearby Heritage Hills neighborhood. The report recommended in favor of the Overholser proposal, citing its design and concerns about retail and rental units proposed as part of Mercy Park.




The two proposals
•Mercy Park — The $48.3 million bid, above, proposes 111 apartments, 22 for-sale condominiums, retail facing NW 13, and a 72-room hotel all built above a 305-space garage.

•Overholser Greens — The competing proposal, below, would be one of the most expensive housing projects in the history of Oklahoma City's urban renewal program. The $62 million complex would consist of four towers built four to eight stories high above a 220-space underground garage.