Salt Lake City: Official Development News Thread - Part 5 - Page 766

Paniolo Man · #**15301** Posted **Mar 10, 2023, 1:25 AM**

The former Sears lot IHC owns is finally on the agenda for a planning commission meeting this month. If the planning commission grants the rezone and amendments it'll go to the City Council for approval.

bob rulz · #**15302** Posted **Mar 10, 2023, 8:02 AM**

I don't think there's any reason to panic yet for the Main Street skyscraper. Things take time and costs are very high right now. Marv knows a lot more about it than I do, but I would be shocked if Hines didn't eventually follow through. I think worst case scenario they sell the land to another developer who will propose a different skyscraper.

RC14 · #**15303** Posted **Mar 10, 2023, 8:35 AM**

^
I agree. When I think about how long we waited for other towers (222 Main, Hyatt Regency, 151 State which eventually became Liberty Sky) I don't feel like we've reached the point where we need to declare the Main Street tower dead yet.

Although, it is very frustrating and I am a little worried given the current environment.

locolife · #**15304** Posted **Mar 10, 2023, 5:41 PM**

Quote:

Originally Posted by Old&New

A year after demolishing the Utah Theater, Hines is set to miss first development deadline

https://buildingsaltlake.com/a-year-afte...-set-to-miss-first-development-deadline/

Shouldn’t they have been required to secure funding before demolishing the theater? Where did they get the money to do the demolition? Sounds like either a BS excuse, or an egregious and unforgivable oversight by the mayor and city council. Might be time to say goodbye to Erin and her administrative staff.

Bummer... sadly I think more of this is to come with the current market conditions only getting more challenging. Maybe it's just a Hines thing but I doubt it. Empire Group is having problems getting Astra Phoenix going down here.

UT_Presto · #**15305** Posted **Mar 10, 2023, 5:43 PM**

https://imgur.com/a/1AJuY1z

That's the best I got for trying to get a picture posted. I was driving past Worthington this morning and they also have some copper panelling installed.

Schmoe · #**15306** Posted **Mar 10, 2023, 6:14 PM**

Quote:

Originally Posted by SLCHenry

On the bright side of this, maybe Kensington can buy this property and build us a taller tower *cough cough Schmoe*

Why would I buy something Hines got for free?

Truly, this project is not dead in my mind. This is just a crazy time to source capital. Hines has made the decision not to sink any more equity into the deal until the capital markets improve. It's not what enthusiasts want to hear, but it's the reality every developer is facing right now. We were lucky to get our capital stack filled when we did, or Astra Tower could be experiencing something similar.

As it is, with the nation's largest banks (aka commercial lenders) getting hammered in the wake of the SVB news, there is still reason to feel trepidation out there. The world needs solvent lenders.

UT_Presto · #**15307** Posted **Mar 10, 2023, 6:17 PM**

Here's a bit of speculation!

The Wing Coop restaurant in Marmalade, directly across 300 West from the new Harvest development, has permanently closed (RIP). This is what they had to say about that location's closing on their website, "The Shopping Center is under New Ownership and the New Landlord has Not Honored the Existing Agreement".

As sad as I am to be losing my favorite wing spot, at least the one that was far closer to me, I think it would be great to see a new development on scale with the Harvest replace those little buildings. We'll see if anything comes from this besides heartbreak for wings.

Makid · #**15308** Posted **Mar 10, 2023, 7:05 PM**

To me, this slowdown reminds me a lot of 2007/2008. Projects across the country were cancelled or delayed. Some even stalled mid construction. It took years for everything to level out and the boom cycle to start again.

Salt Lake wasn't hit as bad during that cycle due to City Creek and 222. It is possible that SLC will weather this down cycle fairly well. We still have a lot of smaller projects happening and then there are the larger projects (Airport, Astra, Worthington/Convexity, and Temple Square).

It is very likely that we will see a 6 to 12 month delay on many projects due to financing. This won't impact all projects though. It is very likely that the new IHC Hospital will still move forward on their original time line.

We will also have another round of Transit expansion along the Wasatch Front with FrontRunner work progressing to allow for 15 minute frequencies. It is also likely that we will see some BRT work and maybe even a Frontlines 2034 project set that will push transit expansion even further.

In addition to all of this, we are also just waiting for the official nod regarding hosting the 2030/2034 Winter Olympics. This nod will start the push for athlete/student housing and additional hotel space.

This is just some of the reasons why I think SLC will be fine and come out of this slow down stronger.

Also, as I was typing this, I was thinking about some similarities regarding the current slowdown and around 2010. SLC had 2 large residential buildings under construction (1.5 blocks apart from each other - City Creek) and was expanding transit along the Wasatch Front. This is nearly the same as we have happening today with regards to Astra & Worthington/Convexity and the combination of the Airport and FrontRunner expansion projects. While there are some differences, the similarities are interesting.

taboubak · #**15309** Posted **Mar 10, 2023, 7:26 PM**

Quote:

Originally Posted by Schmoe

Why would I buy something Hines got for free?

Truly, this project is not dead in my mind. This is just a crazy time to source capital. Hines has made the decision not to sink any more equity into the deal until the capital markets improve. It's not what enthusiasts want to hear, but it's the reality every developer is facing right now. We were lucky to get our capital stack filled when we did, or Astra Tower could be experiencing something similar.

As it is, with the nation's largest banks (aka commercial lenders) getting hammered in the wake of the SVB news, there is still reason to feel trepidation out there. The world needs solvent lenders.

Thanks for your insight Schmoe, it is always greatly appreciated. It's good to hear it from this perspective and to know that there is still some hope for the Hines project. It is just frustrating because how quickly they moved demolish the theatre considering they weren't close to being shovel ready. If they do end up falling through though, hopefully we could get the city to give Kensington the land for free too.

I'm just hoping whatever gets built on the tower site ends up being taller than the 392' proposed. With the design review and extension expiring anyway, it presents and opportunity to build something noticeable in the center of the skyline. An extra 100' here would go a long way, and I think everyone here wouldn't mind a delay if it meant a taller tower.

SLCHenry · #**15310** Posted **Mar 10, 2023, 8:15 PM**

Quote:

Originally Posted by taboubak

Thanks for your insight Schmoe, it is always greatly appreciated. It's good to hear it from this perspective and to know that there is still some hope for the Hines project. It is just frustrating because how quickly they moved demolish the theatre considering they weren't close to being shovel ready. If they do end up falling through though, hopefully we could get the city to give Kensington the land for free too.

I'm just hoping whatever gets built on the tower site ends up being taller than the 392' proposed. With the design review and extension expiring anyway, it presents and opportunity to build something noticeable in the center of the skyline. An extra 100' here would go a long way, and I think everyone here wouldn't mind a delay if it meant a taller tower.

My words exactly. Imho, this tower is probably my favorite thats been proposed for SLC recently.

Side note, does anyone know how many stories Astra really is? I keep seeing 39 or 40 and im not sure which one it is…

Blah_Amazing · #**15311** Posted **Mar 10, 2023, 9:06 PM**

Anyone else see what's been happening to Zions Bank lately??

I was watching CNBC this morning for the opening bell of the NYSE and they mentioned Zions Bankcorp as one of the banks people are fearing is having significant liquidity problems (if you are unaware, several banks in the US (mostly crypto or tech based) have collapsed in massive bank runs in the past day or so).

I checked the chart of Zions bank and I watched as it was falling rapidly down from 12% to down 16% in the matter of minutes. Then the price started to shoot back up. Someone or some entity began buying hundreds of thousands of shares of the company. So something bought tens of millions of dollars in shares and was able to stabilize it (it still fell 2.4% but way off its lows). The stock is still way down from its highs in February 2022.

The reason I mention it is I believe Zions Bank helps finance quite a few of the projects in SLC and the company is being put on at least some lists of being potentially in trouble. I wonder if this will impact the ability for certain projects to gain financing going forward.

I'm not trying to cause any concern, I'm sure they are fine, but it did make me wonder what would happen if they are really struggling.

Paniolo Man · #**15312** Posted **Mar 10, 2023, 9:09 PM**

Quote:

Originally Posted by UT_Presto

https://imgur.com/a/1AJuY1z

That's the best I got for trying to get a picture posted. I was driving past Worthington this morning and they also have some copper panelling installed.

Here is a good quick how-to on posting Imgur-hosted images. Hope this is appropriate for this thread, seems relevant though.

With your image uploaded, right click and open the image in a new tab.

The URL needs to have the ".jpg", ".png", or other file extension on the end for it to properly link.

If your image is very large you can make it display smaller by adding an "h" to the end of the file url like so.

When making the post, simply click the image icon and paste the url in the box.

It should show up looking like this until you post.

It took me a while to figure it out and pictures help me learn so I hope this is useful.

Makid · #**15313** Posted **Mar 10, 2023, 9:17 PM**

Quote:

Originally Posted by SLCHenry

Side note, does anyone know how many stories Astra really is? I keep seeing 39 or 40 and im not sure which one it is…

My understanding is that it is 40 stories in total. 39 stories account for the lobby and 38 floors consisting of residential units. The top floor is an open area for residents of the tower.

Schmoe · #**15314** Posted **Mar 10, 2023, 9:27 PM**

Quote:

Originally Posted by Makid

My understanding is that it is 40 stories in total. 39 stories account for the lobby and 38 floors consisting of residential units. The top floor is an open area for residents of the tower.

Correct. The 40th story is an amenity space and mechanical, no units.

ajiuO · #**15315** Posted **Mar 10, 2023, 10:41 PM**

Quote:

Originally Posted by bob rulz

I don't think there's any reason to panic yet for the Main Street skyscraper. Things take time and costs are very high right now. Marv knows a lot more about it than I do, but I would be shocked if Hines didn't eventually follow through. I think worst case scenario they sell the land to another developer who will propose a different skyscraper.

A much shorter one, naturally. I’m guessing 6-8 stories… but hey! At least they are now using an innovative mixture of various cheap looking cladding materials instead of beige stucco. So it will surly be an improvement over what we would have got 5 years ago.

UT_Presto · #**15316** Posted **Mar 10, 2023, 10:59 PM**

Hey! I got it up! Thanks for your help Paniolo Man, your photos were very helpful.

Paniolo Man · #**15317** Posted **Mar 11, 2023, 12:47 AM**

Okland has created a website pertaining to the new North Capitol Building.

It has some higher res renders that I haven't seen here yet along with progress photos, a demolition time lapse, and an interesting informational video. I'll attach the renders below.

CCE also has a website dedicated to the Museum Of Utah to be housed on the first floor.

delts145 · #**15318** Posted **Mar 11, 2023, 12:49 AM**

Paniolo Man, You wouldn't happen to know how to download some of these construction update photos on this Capitol Website?

Quote:

Originally Posted by Paniolo Man

Okland has created a website pertaining to the new North Capitol Building.

Quote:

Originally Posted by taboubak

Thanks for your insight Schmoe, it is always greatly appreciated. It's good to hear it from this perspective and to know that there is still some hope for the Hines project. It is just frustrating because how quickly they moved demolish the theatre considering they weren't close to being shovel ready. If they do end up falling through though, hopefully we could get the city to give Kensington the land for free too.

I'm just hoping whatever gets built on the tower site ends up being taller than the 392' proposed. With the design review and extension expiring anyway, it presents and opportunity to build something noticeable in the center of the skyline. An extra 100' here would go a long way, and I think everyone here wouldn't mind a delay if it meant a taller tower.

Make that an extra 110'. Let's break that 500' ceiling!!

RC14 · #**15319** Posted **Mar 11, 2023, 1:09 AM**

Quote:

Originally Posted by Blah_Amazing

Anyone else see what's been happening to Zions Bank lately??

I was just told that the CEO sent an email to all the employees saying that everything is fine.
..so I'm convinced.

Edit: I found this article from Deseret News that talks about the potential impact on Silicon Slopes and Utah
https://www.deseret.com/utah/2023/3/10/2...-utah-companies-startups-venture-capital

delts145 · #**15320** Posted **Mar 11, 2023, 7:39 PM**

Posted by u/Blah_Amazing 21 hours ago

New SLC Project: Pickle & Hide. 741 400 West. Design Review. project is envisioned as a live/work/ play hub. Includes 139 apartments, retail and flex commercial space. Mid block pedestrian connections lined with green space and patios.

I guess this will be posted here soon.

https://www.reddit.com/r/DevelopmentSLC/...Jr1PjrMVzzAtq7zD%2FC9DsmU7b4BfOnJIuQAQAA