ATLANTA | Development Thread V

[Atlwest281]

American Apparel is expensive? not really. Its in line with H&M and does very very well in other college areas. I think it was near the wrong college. If it was near Georgia state it would probably have been a different story.

[gttx]

Originally Posted by Atlwest281

American Apparel is expensive? not really. Its in line with H&M and does very very well in other college areas. I think it was near the wrong college. If it was near Georgia state it would probably have been a different story.

Sorry, but $40 for a plain t-shirt is too expensive. Especially when trying to sell them to college students.

[Atlwest281]

There stuff is in line with American Eagle and stores of that level which are teaming with college students. Yes there are some 40 dollar t-shirts but generally you can find shirts and underware and stuff like that in the 10-20 range.

[cybele]

Originally Posted by alleystreetindustry

and to have a location in midtown is a great idea, but on 5th next to tech wasnt. a lot of people didnt even know that location existed, and when they did rarely went. little five has so much more to offer than that area of tech. and frankly, what college student would blow money on clothes like that? they are really good clothes, just too expensive.

Does this have implications for the Midtown Mile in general or is it just this particular store that was too pricey?

[shivtim]

^ I think it's probably just the recession, and I bet things will pick up in a couple of years. There were also a few things that closed recently in the base of Spire including Fune Sushi Bar, and the Athlete's Foot closed in Plaza Midtown.

It's all been balanced by the opening of the new restaurants at 12th and midtown, as well as the midtown diner on 10th. Most of the restaurants that have closed have almost immediately been replaced (Nona Mia took the place of Donatos, Prickly Pear took the place of Amore, etc).

So, I still have high hopes for the midtown mile, just not in this economy.

[micropundit]

By Gertha Coffee


The Atlanta Journal-Constitution

7:04 p.m. Monday, August 3, 2009

Developer John Wieland’s dream of building a luxury condo tower and art gallery in Midtown is unlikely to come true.

He’s put the land for the proposed project, once a $350 million vision, on the market. But Wieland said Monday he is working on a plan for the site if the land does not sell.

The nearly 2 acres of land on Peachtree Street is being offered for $19.8 million, Robert Allen, a senior vice president at Colliers Spectrum Cauble, the real estate firm handling the listing, said Monday. It is zoned for multiple uses, including hotel, office, residential and retail, Allen said.

The original plan at 1301 Peachtree St., across from the High Museum, was to include a 23-story building with 96 condos starting at $2 million, and a 15,000-square-foot contemporary art gallery. The project was started and put on hold in 2007 because of the downturn in the housing and credit markets.

“The land is for sale,” Wieland said. “But at the same time, I am working on a reconfiguration for that site. If we can sell it before we get a solution, that’s great.” He said the solution probably would be a much smaller condominium.

Wieland said last month he hoped to make an announcement in September about the rebirth of the project, which had been scaled back to 34 homes.

Wieland paid about $17 million for the land in 2006 and 2007, according to Databank, a real estate tracking and analysis firm.

In today’s economy, the site is “more suitable for hotel or office than condominium,” Allen said.

He said Colliers is “having conversations with some people who have some interest” in the site, but did not offer details.

Wieland, a collector of contemporary art and a former board chairman of the High Museum, had a strong vision for One Museum Place when the project was announced. He wanted the art gallery to house the work of cutting-edge contemporary artists. And it was to be his personal home as well as a home for other art lovers.

“One of the big last thrills of my life,” Wieland, now 72, told the AJC in 2006, “would be to do a fantastic building across the street [from the High] that would be a home for my art and my personal home.”

[A-town]

I don't think Wieland should sell, he should wait for the market to recover then restart construction. But reasonable pricing for the location should start at no more than $300,000, the building was very elegant with timeless architecture that matched the High.

[cybele]

Well, if he can turn a $3 million profit off two acres of raw land in two years that's not a bad deal at all.

[alleystreetindustry]

Originally Posted by shivtim

^ I think it's probably just the recession, and I bet things will pick up in a couple of years. There were also a few things that closed recently in the base of Spire including Fune Sushi Bar, and the Athlete's Foot closed in Plaza Midtown.

It's all been balanced by the opening of the new restaurants at 12th and midtown, as well as the midtown diner on 10th. Most of the restaurants that have closed have almost immediately been replaced (Nona Mia took the place of Donatos, Prickly Pear took the place of Amore, etc).

So, I still have high hopes for the midtown mile, just not in this economy.

the american apparel closed before the recession began. or just after when it didnt have a hold on every americans mind.

Originally Posted by cybele

Does this have implications for the Midtown Mile in general or is it just this particular store that was too pricey?

american apparel would be great on the midtown mile! just not in tech. every [aa] store needs to be anchored near other retail. a stand alone wouldnt bring the business. the aa store on fifth was basically a stand alone. all other retail nearby was nothing but the bookstore and restaurants.

Originally Posted by gttx

Sorry, but $40 for a plain t-shirt is too expensive. Especially when trying to sell them to college students.

exactly. i buy american apparel now, because i have my money to spend from work. but now that im starting school in the fall, not so much. in a college students eyes, it is too expensive (unless they have 'mommys and daddys' money to blow). every other adult im sure could take the bill, but no one whos focused budget is on loan repayment and a meal plan.

[A-town]

Originally Posted by cybele

Well, if he can turn a $3 million profit off two acres of raw land in two years that's not a bad deal at all.

True, guess I just really wanted to see that building come to fruition.

[shivtim]

CDC Update (Clifton/Roybal Campus in DeKalb County):

Building 23 is officially topped off.
17 floors plus a mechanical penthouse and 4 underground levels.
From the CDC:
"Building 23 is a massive project, including 722,000 square feet of space, and housing diverse functions such as laboratories, vivariums, insectaries, and support areas, with a total cost of $365,000,000, including design, demolition, campus utility improvements, construction, and equipment. During its construction timeframe, Building 23 was the second largest construction project underway in Atlanta, second only to the renovations going on at Hartsfield-Jackson International Airport."

Construction begins soon on building 24.
Shooting for LEED Gold. Anticipated completion Fall 2011.
"Building 24 will have 12 floors plus a mechanical penthouse, and will house about 1,100 CDC public health professionals from CCID... Size-wise, it will measure 311,000 gross square feet."

[GThomas]

LA Fitness gym at Tech Square, probably one of the biggest constant draws for foot traffic in Midtown, has closed. I last went on July 31st to find signs on the doors saying the location would be closing on that day and to go to the Atlantic Station location... no notice prior to that. I'm sure this had something to do with the parking deck. They pretty much gave me the FU when I told them I expected a refund for membership dues since according to them, I could drive to or "ride the shuttle" to Atlantic Station. Really? God forbid if there is someone who wants the convenience of walking to a gym. Sadly enough, I know people that lived 4-5 blocks away that refused to walk to the gym. Eh, whatever, I'll be cancelling that card transaction for sure.

[jew4life4948]

Originally Posted by Atlwest281

American Apparel is expensive? not really. Its in line with H&M and does very very well in other college areas. I think it was near the wrong college. If it was near Georgia state it would probably have been a different story.

Actually, most young folks steal from American Apparel. Their clothes have no sensor chips, so all you do is wear cargo pants and you're good to go.

And no I do not have statistics to back it up, it is just a commonly accepted fact amongst my generation.

Alleystreetindustry will back that up!

[ATLaffinity]

Originally Posted by GThomas

LA Fitness gym at Tech Square, probably one of the biggest constant draws for foot traffic in Midtown, has closed. I last went on July 31st to find signs on the doors saying the location would be closing on that day and to go to the Atlantic Station location... no notice prior to that. I'm sure this had something to do with the parking deck. They pretty much gave me the FU when I told them I expected a refund for membership dues since according to them, I could drive to or "ride the shuttle" to Atlantic Station. Really? God forbid if there is someone who wants the convenience of walking to a gym. Sadly enough, I know people that lived 4-5 blocks away that refused to walk to the gym. Eh, whatever, I'll be cancelling that card transaction for sure.

i can see it outside my window and i didn't know.

yeah, AS is hardly next door.

[cybele]

Originally Posted by shivtim

CDC Update (Clifton/Roybal Campus in DeKalb County):

Building 23 is officially topped off.
17 floors plus a mechanical penthouse and 4 underground levels.
From the CDC:
"Building 23 is a massive project, including 722,000 square feet of space, and housing diverse functions such as laboratories, vivariums, insectaries, and support areas, with a total cost of $365,000,000, including design, demolition, campus utility improvements, construction, and equipment. During its construction timeframe, Building 23 was the second largest construction project underway in Atlanta, second only to the renovations going on at Hartsfield-Jackson International Airport."

Construction begins soon on building 24.
Shooting for LEED Gold. Anticipated completion Fall 2011.
"Building 24 will have 12 floors plus a mechanical penthouse, and will house about 1,100 CDC public health professionals from CCID... Size-wise, it will measure 311,000 gross square feet."

Wow, the CDC is going wild. There was also an article in the Atlanta Business Chronicle last week about them building two more buildings at the Chamblee campus.

The planned facilities include a 294,800-gross-square-foot building and a 729-car parking deck, coupled with a 285,500-gross-square-foot building and a 781-car parking deck.

The CDC plans to relocate about 2,000 researchers, scientists and doctors from leased locations to the campus, which is home to environmental health research labs, said George Chandler, the CDC’s director of buildings and facilities.

http://atlanta.bizjournals.com/atlanta/stories/2009/08/03/story3.html

What a boon for Atlanta!

[shivtim]

^Yep, here's where buildings 107 and 108 will go, as well as their associated (but not attached) parking decks:

Note that the road running along the bottom is Buford highway, so these should be pretty visible even through the trees that line the road.
They have a similar square footage and footprint to building 106, so my guess is that that they'll each be about 11 stories.

Also, the CDC is mostly consolidating jobs and replacing old facilities, so there won't necessarily be a lot of new jobs in these buildings, but just the construction itself will help to keep builders/contractors etc employed during this downturn.

[shivtim]

12th and Midtown from 8/3/09

[UVAsuperman]

Fune closed because they violated lease covenants by operating the sushi restaurant as a nightclub. Since that time, which was before the onslaught of the recession, an eye boutique and doctor has opened at Spire, which appears to be doing well. Sure, it's a difficult time to open generic retail, but there is still a market on the Midtown Mile for good restaurants and unique concepts. It's also a great time to get rental concessions as a new tenant.

[Dettmann1]

I'm surpised Weiland is wanting that much for that piece of property. Seeing as he paid 17 million for it at the height of the real estate bubble, you'd figure he'd have to take a hit to sell it. It will be interesting to see what happens with it thats for sure as I bet he will more than likely have to take a loss on it.

[gttx]

Originally Posted by Dettmann1

I'm surpised Weiland is wanting that much for that piece of property. Seeing as he paid 17 million for it at the height of the real estate bubble, you'd figure he'd have to take a hit to sell it. It will be interesting to see what happens with it thats for sure as I bet he will more than likely have to take a loss on it.

He also bought the site with a 7-story building on it, so my guess would be that the site is, in fact, more valuable as empty land than as a small, old building. I would also guess that he paid a considerable amount already to have the building demolished, so $17 million is not his full investment in the site.