OG&E Energy Center

[Spartan]

I'm starting to unravel the mysteries of TIF #2, which is the over-arching TIF that covers pretty much the whole downtown area.

One important bit of information: There is only a 50% assessment of increased property values due to sales or development where there is no public assistance. This is termed "indirect" increment and at this point the Stage Center property falls into this category.

"Direct" means 100% of the increase in property values goes into TIF #2, but this only applies to projects that get direct public assistance.

I've put together a list of projects that have received TIF allocations but there are dozens and I'm waiting to get a list directly from the City.

Sooooooo, if a property first falls into the indirect increment, does that then make an 80% TIF request actually 90% (assuming a 100% increase)?

[hfry]

I am watching the City council meeting and Ed Shadid just gave a great little speech on the TIF for this project and for more openness in the dialogues in discussion of these kinds of deals. I've never been a huge fan of how he kinda goes against everything but this was sincere and you could tell he was deeply concerned and was bringing up points that have been brought up here.

[Pete]

Sooooooo, if a property first falls into the indirect increment, does that then make an 80% TIF request actually 90% (assuming a 100% increase)?

I'm in the process of looking at this development from several different scenarios: 1) No development (leave as is); 2) Development that is somewhat less than what Clayco is proposing; and 3) The full-blown Clayco proposal.

There are lots of things to factor in, not the least of which being TIF #2 expires in 10 years and that indirect projects (those not funded by TIF) only have 50% of their incremental increase go into the current TIF. So, right now, the $53K per year that Rainey Williams is paying in property tax for Stage Center (all of it is incremental because it was previously a nonprofit and thus not subject to tax) is going half into TIF #2 and half directly to the general coffers, just like all property tax. AND half will only go to TIF #2 for 10 more years, because it expires in 2025.

Also, if anything is built on this block without TIF funds, that means 50% of the resulting tax increase would go into TIF #2 for about 7-8 years (won't be assessed until complete in 2017) and that's all the TIF money that would get diverted. Absolutely massive difference between that and diverting ALL increased taxes for 25 years to the developer.

[Reno and Walker]

Almost correct but needs a little updating lol...just kidding , hope all is well

[OUGrad05]

So I've gone through most of this thread, though not word for word, what has been confirmed and what is just "might" happen? OGE is getting a new HQ, that seems confirmed but which image? Are any of the other three towers confirmed or simply speculative at this point?

[Pete]

Nothing confirmed as of yet but the OKC Urban Renewal Authority has selected Clayco's plan (two office towers, two residential towers and structured parking) to develop both the old Stage Center site and the parcel just south which is currently owned by the City.

The City and Clayco are now in negotiations over possible public incentives.

Assuming they can reach agreement, the final development agreement will be signed, final plans for the development would go through design review (likely just a formality) and then they could start construction next year.

If all goes according to plan, OG&E would occupy most of the north office building (on the right below) with some additional space for lease. The second tower would be built sometime afterwards -- as would both residential towers.

[OUGrad05]

Thanks Pete, I was thinking OG&E was supposed to break ground early 2015 but there's still some wrangling taking place over the TIF/funding and sometimes those issues take a lot of time to work out. You would think OG&E wants to get started on their building...

[ChrisHayes]

I can't wait to see this project get under way. I'm into photography so I plan on documenting it from start to finish. Hopefully it ignites a firestorm of development in Downtown

[John Knight]

I snapped this pic yesterday while I was headed to the Myriad Gardens:

[ChrisHayes]

Looks to me that they've already done pre prep on the site

[traxx]

I can't wait to see this project get under way. I'm into photography so I plan on documenting it from start to finish. Hopefully it ignites a firestorm of development in Downtown

Be sure to post your pics here and keep us updated after this gets started.

[Richard at Remax]

Pete, any word on if the north hotel/fifth tower is gaining any steam or was it shelved?

[Pete]

Pete, any word on if the north hotel/fifth tower is gaining any steam or was it shelved?

No, I think they are busy trying to negotiate the public incentives and trying to make their numbers work on the overall development.


BTW, one thing that has not been mentioned is that in Clayco's proposal, they are looking to pay the City only about $500K per acre for the south parcel, when the identical property to the north (Stage Center) just sold for $1.35 million per acre.

So, that represents another $2.15 million in discount / incentive.

[Just the facts]

..and land across the street sold for $6 million per acre.

[Pete]

BTW, OCURA cancelled their meeting this month so no decisions on TIF dollars will be made at least until their next meeting on Jan. 21st.

[Just the facts]

BTW, OCURA cancelled their meeting this month so no decisions on TIF dollars will be made at least until their next meeting on Jan. 21st.

Interesting. I wonder if that means there is a huge gap in the negotiations.

[catch22]

Interesting. I wonder if that means there is a huge gap in the negotiations.

Takes a while to get a check printed and cut of the size required.

[Dubya61]

Interesting. I wonder if that means there is a huge gap in the negotiations.

I wonder if the delay and the supposition that the Preftakes block won't ask any TIF are related. Mental picture of the city saying let this decision wait until it's obvious no TIF is required for the Preftakes block -- then see if ClayCo want's to resubmit their TIF request.

[BoulderSooner]

I wonder if the delay and the supposition that the Preftakes block won't ask any TIF are related. Mental picture of the city saying let this decision wait until it's obvious no TIF is required for the Preftakes block -- then see if ClayCo want's to resubmit their TIF request.

Doubtfull

[UnFrSaKn]

[Just the facts]

I find it a little ironic that it is taking longer to approve the building permit than was given to solicit the bids in the first place. Maybe the City was a little overzealous in seeking a developer for what might be the best plot of land in OCURA's portfolio.

[catch22]

I find it a little ironic that it is taking longer to approve the building permit than was given to solicit the bids in the first place. Maybe the City was a little overzealous in seeking a developer for what might be the best plot of land in OCURA's portfolio.

They have not filed for building permits yet.

[lasomeday]

Didn't know where to put this..... So here Stage Center was the 2nd biggest loss for Preservationists in the U.S. this year according to Curbed..... I am sure we could be #1 for cities if the add up the buildings we have destroyed and will destroy in the next few years.... Sandridge destruction, Stage Center, Preftakes block, and Film Exchange building....

Mapping the Biggest Preservation Wins and Losses of 2014 - Preservation Watch - Curbed National

[UnFrSaKn]

Another list. We are popular!

5 Important Places We Lost Forever This Year

[Bellaboo]

Another list. We are popular!

5 Important Places We Lost Forever This Year

Well, they didn't update their 'replacement building' for SC with the latest and correct OGE HQ rendering.