Salt Lake City: Official Development News Thread - Part 3

[brankrom]

I have it on pretty good authority from someone I trust and confirmed from a couple of other sources that 111 S. Main will be COB South. The Corporation® already owns and utilizes the 1960s bank building that will be torn down soon for NPAC for additional COB office space.

Honestly, to me The Corporation® is a mixed bag. I don't subscribe to the theology and see a lot of abuses, but like it or not it is THE primary economic engine in Utah and like it or not without Mormons SLC is Elko or Ely if it existed at all. The Corporation® glad hands with lots of different interests and spends tons of money and employs a lot of people not only in its own operations (a small percentage of which is actually ecclesiastical in nature IMO) but also the likes of Bud Bailey, Big D, and Layton. So that's the positive, on the inverse side The Corporation® also has a non representative amount of influence in public policy because $$$ equals influence and that's NOT unique to Utah.

[Plaid Shirts]

Originally Posted by brankrom

I have it on pretty good authority from someone I trust and confirmed from a couple of other sources that 111 S. Main will be COB South. The Corporation® already owns and utilizes the 1960s bank building that will be torn down soon for NPAC for additional COB office space.

Honestly, to me The Corporation® is a mixed bag. I don't subscribe to the theology and see a lot of abuses, but like it or not it is THE primary economic engine in Utah and like it or not without Mormons SLC is Elko or Ely if it existed at all. The Corporation® glad hands with lots of different interests and spends tons of money and employs a lot of people not only in its own operations (a small percentage of which is actually ecclesiastical in nature IMO) but also the likes of Bud Bailey, Big D, and Layton. So that's the positive, on the inverse side The Corporation® also has a non representative amount of influence in public policy because $$$ equals influence and that's NOT unique to Utah.

What the hell are you talking about? The Corporation? I'm very hesitant to believe any of this. You heard it from somebody, that knows somebody, that knows somebody, that knows somebody, etc....that's usually how these things go.

[delts145]

Brankrom, which 1960's bank building are you referring to. Somehow I probably missed it from a previous discussion.

[utenation]

Originally Posted by Skystruck

111 and 145 added to the shot! Accuracy and quality are not the best but it gives you an idea just how much these towers are going to add to the skyline!

That is sweet. 111 defintely fills the mid gap in SLC... 145 looks good too.

Once we have these two and the CCH, I think SLC will start to look like a grown up downtown.. I still think we need some towers above 450' but three new towers is a big plus+.

[Makid]

Originally Posted by brankrom

I have it on pretty good authority from someone I trust and confirmed from a couple of other sources that 111 S. Main will be COB South. The Corporation® already owns and utilizes the 1960s bank building that will be torn down soon for NPAC for additional COB office space.

Honestly, to me The Corporation® is a mixed bag. I don't subscribe to the theology and see a lot of abuses, but like it or not it is THE primary economic engine in Utah and like it or not without Mormons SLC is Elko or Ely if it existed at all. The Corporation® glad hands with lots of different interests and spends tons of money and employs a lot of people not only in its own operations (a small percentage of which is actually ecclesiastical in nature IMO) but also the likes of Bud Bailey, Big D, and Layton. So that's the positive, on the inverse side The Corporation® also has a non representative amount of influence in public policy because $$$ equals influence and that's NOT unique to Utah.

Most of the land and buildings that are being torn down for the UPAC were owned by PRI (LDS Church business branch). The entire property for the UPAC and 111S Main were sold to SL City for development.

111S Main has a main function of providing revenue to help fund the UPAC. If 111S was going to be COB South, it would not be able to provide any revenue for the UPAC as it would be tax exempt.

The LDS Church does have plans for at least 1 additional building for church functions, it doesn't have any plans to build a COB 2 south of South Temple from anything that I have heard.

Their goal is to keep their larger facilities closer together in a campus style setting. I would expect COB2 to be built either directly west of the history museum or on the parking lot directly north of the history museum. Either location would allow all their tax exempt buildings to be connected via underground connections. This allows for easier moving of equipment and personnel as well as providing more security for dignitaries when needed.

[CountyLemonade]

Originally Posted by brankrom

The Corporation®

Come on, now. Let's be polite.

[Scraperdude801]

Originally Posted by Merewether

Someone asked for another pic of the Ronald McDonald House extension on South Temple. I am sure architects considered the view up 900 East which is somewhat centered on the portico, but at least in a midday light, the head on view is noticeably flat. In my opinion the original building to the east is more successful, but I appreciate that there may have been pressure for a supposedly more historically evocative style.

And it is definitely an improvement over the previous gas station. We've gone from 4 (pretty sure there was one at K) to 3 (E St.) to 2 (both at M) and now only one left on East South Temple. Why they were ever allowed is a mystery to me.

[IMG]
RonMcDHouse by duckbay, on Flickr[/IMG]

Yeah, that was me that asked for this. Thank you.

The building is nothing great, but it is a good charity, and is better than the gas station that was there, and a lot of other things that have destroyed South Temple.

[brankrom]

Originally Posted by Comrade

^^^^One of my favorite views of SLC. Actually I like the view from the 2100 S Freeway to NB I 15 flyover at night. Hard to get a good pic from there though.

There's also another cool shot on Parley's Way just west of the Walmart downtown rises above the trees with Antelope Island in the background but would require something other than a point and shoot of cel phone.

[brankrom]

Originally Posted by Plaid Shirts

What the hell are you talking about? The Corporation? I'm very hesitant to believe any of this. You heard it from somebody, that knows somebody, that knows somebody, that knows somebody, etc....that's usually how these things go.

That very well may be it is hearsay for sure. I know someone who works in the COB and he told me that the church will be a (if not THE tenant) of 111. I don't know for sure as I'm sure he doesn't know either for sure but I trust him. Also the company I work for is determining if we will renew our lease at One Utah and management was considering 111 among other locations but was told the church was moving into 111 so it was removed from consideration.

[jtrent77]

Originally Posted by Makid

Most of the land and buildings that are being torn down for the UPAC were owned by PRI (LDS Church business branch). The entire property for the UPAC and 111S Main were sold to SL City for development.

111S Main has a main function of providing revenue to help fund the UPAC. If 111S was going to be COB South, it would not be able to provide any revenue for the UPAC as it would be tax exempt.

The LDS Church does have plans for at least 1 additional building for church functions, it doesn't have any plans to build a COB 2 south of South Temple from anything that I have heard.

Their goal is to keep their larger facilities closer together in a campus style setting. I would expect COB2 to be built either directly west of the history museum or on the parking lot directly north of the history museum. Either location would allow all their tax exempt buildings to be connected via underground connections. This allows for easier moving of equipment and personnel as well as providing more security for dignitaries when needed.

I am also doubting the COB2 idea for 111. Buildings that are used for the church are always owned by the Presiding Bishopric. I haven't known of a time when the for profit sides and the non-profit sides have mixed. So if this was to be COB2 I don't think PRI would be the ones doing it.

[Viperlord]

KBS REIT III Purchases 222 Main for $170.5 Million

Wasnt it built for $125 million?


beautiful pic of main street & 222 in the article.
http://www.businesswire.com/multimedia/home/20140303006371/en/#.UxTXdPldXdk


Also, having read a few articles about Hamilton Partners.... they like the real estate development side of the business more than the leasing side. They prefer to develop over leasing. So, they probably sold off 222 main for capital for their other projects.

I know that according to their site they have the East Village development in Sandy.... I really hope that they develop something else Downtown though....and soon... maybe the CCH???
http://www.hamiltonpartners.com/saltlake_locations.php




ALSO:

new video link news on 111 main street tower and why Hamilton Partners Pulled out of the deal......
http://www.kutv.com/news/features/local/stories/vid_6041.shtml

[Makid]

Originally Posted by Viperlord

KBS REIT III Purchases 222 Main for $170.5 Million

Wasnt it built for $125 million?

I think it was between $110 Million and $125 Million. Either way, that is impressive that after only a few short years that its value is at $170.5 Million.

With that type of return, I can see why HP would sell the building.

[StevenF]

Originally Posted by Viperlord

ALSO:

new video link news on 111 main street tower and why Hamilton Partners Pulled out of the deal......
http://www.kutv.com/news/features/local/stories/vid_6041.shtml

From the sound of that, it seems like HP was having issues with a possible tenant. Instead of postponing the building due to financing they handed it over to a company that has the capital to keep it going even without having the required square footage % pre leased.

[RosePark]

I know the sale of 111 South Main was a recent development, but this ad in Utah Business would imply it is not COB South

[Orlando]

So, the main reason why HP pulled out is because the major tenant they had for this was being very tentative. This is what I suspected. Why would HP pull out if they already had a major tenant in place? Why would any developer? And, because of the church's interest in keeping City Creek and Temple Square vibrant, they stepped up to make sure that this tower will be built. I suspect that Goldman Sachs was flirting with Boyer and their 145 development. So, Goldman going back and forth between the two developments was a catalyst for the sell. This all makes sense.

[jimmycdii]

Downtown SLC tweeted out this survey today. It's a chance to vote for best convention city. I thought it'd be worth sharing here, given recent discussions on the CCH, etc.

[Future Mayor]

Originally Posted by Orlando

So, the main reason why HP pulled out is because the major tenant they had for this was being very tentative. This is what I suspected. Why would HP pull out if they already had a major tenant in place? Why would any developer? And, because of the church's interest in keeping City Creek and Temple Square vibrant, they stepped up to make sure that this tower will be built. I suspect that Goldman Sachs was flirting with Boyer and their 145 development. So, Goldman going back and forth between the two developments was a catalyst for the sell. This all makes sense.

I'm glad that CCR was able and willing to step in and take the development lead and make sure this building stays on track. As with the CCC condos CCR has deep enough pockets that they can withstand a couple of years with lower lease percentage and still pay the other partners, or even if the lease numbers do come right after completion, they still have the pockets to front the money without the pre-lease percentage being there. As you said their interest in bringing even more people to downtown that will support CCC stores and eateries, and possibly even buy a condo or two, is all a huge benefit for them.

I talked with a guy today that used to work in event coordination at Goldman at 222. Not necessarily an overly reliable source but he said that he had heard that they wanted to consolidate the rest of their Research Park functions in with the downtown functions, and he had heard that they were looking to lease more available space in a different building or possible get a building of their own. So pretty much all of our speculation about them either wanting to go to 111 or 145. I can't remember who stated it, but I agree, being on Main St seems a bit more prestigious than on State.


As for the pictures posted, the view from the 400/500 South bend has always been one of my favorites, and the addition of 111 is a fantastic addition to our skyline. Imagine what a possible new tallest on the Carl's Jr site would do from that angle.


It truly is an amazing time to be in Salt Lake City and witness the growth that the city is going through.

[Future Mayor]

As I was re-reading the last sentence in my previous post it got me thinking. This time next year we could realistically have three tower cranes in the sky above the City, 111, 145 and CCH. Depending on how the CCC condos sell during this real estate season, while those three are still up The Cascade could add a fourth.

[Makid]

I got this email today:

New convention hotel moving forward

Salt Lake County, UT— Representative Brad Wilson, Senator Stuart Adams and Salt Lake County Mayor Ben McAdams said consensus language has been added to a Utah bill for convention facilities and a privately-developed convention hotel adjacent to the Salt Palace Convention Center with support from the Utah Hotel & Lodging Association, clearing the path for a vote in the Utah House soon.

“With a headquarters hotel, Utah will soon be the Rocky Mountain destination for more large conventions, tens of thousands of new visitors, and millions of dollars in new revenue,” said Mayor McAdams. “This privately-built hotel will also bring us the overdue meeting space that convention planners need and that will help keep the Salt Palace Convention Center bustling more weeks of the year.”

McAdams said the financing model approved in the legislation provides zero risk to Utah taxpayers since the sales tax rebates follow successful operation of the facility. He said if the hotel doesn’t generate any revenues, it receives no rebates. To address worries from existing hotel owners that the opening of a 1,000-room hotel would harm their bottom line, McAdams said a mitigation fund will be created, using proceeds from the new hotel. Approximately $8 million—spread over four years—will be available for distribution according to a short-term impact formula.

“Convention visitors are a significant part of our state’s economy,” said Rep. Wilson, the House sponsor of HB 356. “This legislation will help us successfully compete as we seek to attract increasing numbers of convention visitors to our state and it does so in a manner that mitigates any short-term impacts to downtown hotels. With this consensus language, we’ve arrived at a win-win.”

Senator Stuart Adams is the bill’s sponsor in the Utah Senate. Adams lauded the consensus.

“For over 20 years, the effort to attract a privately-built convention headquarters hotel has been held up over concerns about the short-term impacts of a new hotel. With this consensus, we will maximize the local and statewide economic benefit of our convention industry and minimize any short-term impacts. This outcome is a victory for taxpayers and our state’s economy, but it does so in a way that is sensitive to the short-term concerns expressed by several local hotels.”

Jordan Garn, Exec. Director of the Utah Hotel & Lodging Association submitted a letter of support from the organization for the consensus language.

“The Utah Hotel & Lodging Association supports HB 356 after weeks of negotiation produced a compromise that accounts for the potential impacts to existing hotels,” said the letter. “We are hopeful that the convention center hotel, over time, will induce demand and will generate increased traffic into our great state, allowing several industries, including hotels, to thrive. Rep. Wilson and Sen. Adams deserve an immense amount of credit for not only listening to the hotel industry’s concerns, but for finding creative solutions to address them.”

McAdams praised the legislative sponsors for working to forge common ground. He also commended House Speaker Becky Lockhart, who challenged supporters to improve the legislation through a provision that supports statewide tourism marketing and promotion to convention delegates.

“From the Salt Lake Chamber of Commerce, to the downtown retail community, to the many hospitality businesses in our state, this was a team effort. We’re all excited to see—over the next few years—how new jobs and significant economic impact will flow from what state, county and city leaders have worked to achieve,” said McAdams.

--slco--


Now all parties are a go for the CCH.

[EPdesign]

We have an awesome Downtown.