August 16, 20186 yr Tax increment financing allows tax dollars created because of the development to be used to help finance the project. The deal approved Wednesday only affects city tax dollars and not school revenues. Forgive my ignorance as I'm aware this is a standard municipality finance model, but have any other projects been finances this away around town? It's great the city is betting on the project's success to pay for itself but also wondering what happens if the economy shits the bed in the meantime?
August 16, 20186 yr Tax increment financing allows tax dollars created because of the development to be used to help finance the project. The deal approved Wednesday only affects city tax dollars and not school revenues. Forgive my ignorance as I'm aware this is a standard municipality finance model, but have any other projects been finances this away around town? It's great the city is betting on the project's success to pay for itself but also wondering what happens if the economy shits the bed in the meantime? TIFs are fairly standard for most new projects in the city. There is always economic risk, however the risk is on the part of the developer who must make the PILOT payments during the TIF term.
August 16, 20186 yr ^^Several projects have used them all over the county: https://development.ohio.gov/OTEISearch/tif/selection.aspx?County=Cuyahoga I'm pretty sure it's the bondholders who take the risk if things go to pot and the project is unable to make the negotiated payments it promises to make instead of paying the increase in property taxes.
August 16, 20186 yr bless the bond holders....let's get this crucial stretch of Euclid lit back up again!
October 1, 20186 yr BTW the name of this topic should probably be changed to include "Euclid Grand".... Euclid Grand: Important Piece of Euclid Corridor Puzzle Closes Financing on Heels of Study Showing Sustained Demand for Downtown Living Cleveland Development Advisors, the real estate and business finance affiliate of the Greater Cleveland Partnership closed financing on the $76 Million Euclid Grand development, (formerly the John Hartness Brown Complex at 1001-1101 Euclid Ave) on Thursday, September 27. The project, which sits just east of E. 9th street, will create an additional 222 multifamily apartment units and 21,206 square feet of ground level commercial space. “This is project represents one of the last major projects along the Euclid Corridor from Public Square to Playhouse Square,” said Yvette Ittu, President of Cleveland Development Advisors. “It is exciting to see the downtown neighborhood develop and grow into a mature and thriving community. Watching the final gaps getting filled in validates our early investments and provides some of the units needed to fill continued demand for downtown housing.” In addition to the funds from CDA, the project sponsor, ALTO Partners, received financing from The Port Authority, ULICO, and a bridge loan from Octagon Finance, all of which was supplemented with both Federal and State Historic Tax Credits. The project is targeting a May 2020 completion date. This announcement comes on the heels of Downtown Cleveland Alliance’s release of a housing demand study from Philadelphia, PA based Urban Partners the day prior. The study, initiated by GCP and CDA along with partners Downtown Cleveland Alliance, Cleveland Neighborhood Progress and Enterprise, looked at center-city housing trends in cities across the United States suggests the Downtown Cleveland neighborhood has room to absorb an additional 6,800 housing units and nearly 13,000 new residents over the next 10 years despite the rapid development that has seen the current downtown population rise to an estimated 17,500, a huge increase from 8,900 in 2010. https://www.gcpartnership.com/Stay%20Informed%20on%20News%20and%20Policy/Newsroom/~/link.aspx?_id=9B74B5C44FC84910B0479369FDE5BE48&_z=z "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
October 1, 20186 yr In addition to the funds from CDA, the project sponsor, ALTO Partners, received financing from The Port Authority, ULICO, and a bridge loan from Octagon Finance, all of which was supplemented with both Federal and State Historic Tax Credits. The project is targeting a May 2020 completion date. Wasn't it Alto that initially said they didn't need any financing? I guess they got new advice. Remember: It's the Year of the Snake
October 1, 20186 yr Wasn't it Alto that initially said they didn't need any financing? I guess they got new advice. Or they weren't telling the truth at the outset. "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
October 2, 20186 yr I haven't been this excited for a building renovation since the Schofield. https://www.crainscleveland.com/real-estate/euclid-avenue-eyesore-set-renovation Euclid Avenue eyesore set for renovation STAN BULLARD A group of buildings at 1001-1101 Euclid Ave. is about to be converted to more than 200 apartments. Windows, missing since a modernist metal facade was removed several years ago, will replace plastic sheets that have been blowing in the wind. Construction workers soon will start restoring to life the John Hartness Brown building complex, one of the last big dead zones on lower Euclid Avenue in downtown Cleveland, in a $90 million project. Michael Sabracos, CEO of the U.S. unit of Istanbul-based AltoPartners, said in an interview on Tuesday, Oct. 2, that he expects construction workers hired by Panzica Cos. of Mayfield Village to set to work "within weeks" on the three-building, six-story complex at 1001-1101 Euclid Ave. He expects the project, using state and federal historic tax credits, to be finished in 2020. ... Financing for the project, now called Euclid Grand Apartments, was closed last Thursday, Sept. 27, according to Cleveland Development Advisors, a foundation and corporate-backed source of equity for catalytic real estate projects. CDA contributed $4 million to the project, which included financing through the Cleveland-Cuyahoga County Port Authority and others.
October 2, 20186 yr Every time a new project starts, I wonder where are the construction workers coming from? New hires? Transferred/stolen from other contractors? "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
October 2, 20186 yr Every time a new project starts, I wonder where are the construction workers coming from? New hires? Transferred/stolen from other contractors? Panzica was the GC for Centric which is just finishing up. Maybe they'll use a lot of the same subs.
October 5, 20186 yr After seeing the Kimpton Schofield restoration work and the visual impact made at the corner of Euclid and East Ninth, I cannot wait to see this piece of the puzzle brought back to life: clevelandskyscrapers.com Cleveland Skyscrapers on Instagram
October 5, 20186 yr I hope Cleveland Construction is still available. "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
October 5, 20186 yr ^Presuming KJP is referring to this: https://www.clevelandconstruction.com/portfolio/kimpton-schofield-hotel-and-residences/ clevelandskyscrapers.com Cleveland Skyscrapers on Instagram
October 5, 20186 yr Thanks for the pics MayDay. I didnt realize there was that much detail in the facade. Hard too see past the grime and plastic sheeting.
October 5, 20186 yr What is the statute of limitations on filing charges against whoever punched holes in the original facade for those steel beams?
October 5, 20186 yr What is the statute of limitations on filing charges against whoever punched holes in the original facade for those steel beams? There should really be mock trials for things like this.
October 5, 20186 yr What is the statute of limitations on filing charges against whoever punched holes in the original facade for those steel beams? It's not the original facade! [At least not for most of the complex]
October 16, 20186 yr Downtown Cleveland Redevelopment Receives $40M Loan With the construction loan secured by Berkadia, the former John Hartness Brown complex will be reinvented as The Euclid Grand, a mixed-use development. https://www.multihousingnews.com/post/amp/downtown-cleveland-redevelopment-receives-40m-loan/#referrer=https%3A%2F%2Fwww.google.com&amp_tf=From %1%24s "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
October 16, 20186 yr I'm so excited to see this development happen and how it positively effects neighboring retail like Heinen's.
October 16, 20186 yr 2 hours ago, CLE_Millennial said: Does anyone have any clue when construction might begin? Crain's had an article a couple weeks ago with a quote from developer AltoPartner's CEO saying he expected work to start "within weeks".
October 17, 20186 yr On 10/5/2018 at 6:25 AM, Klingaling87 said: Why do you say that? Cleveland Construction did a fabulous job with the Trump International Hotel at the Old Post Office in D.C. . I hope they get the job as well, politics aside. https://www.clevelandconstruction.com/portfolio/trump-international-hotel-at-the-old-post-office/
October 17, 20186 yr Actually, @MayDay was correct as to his guess. Sorry I missed @Klingaling87's question until now. Sometimes I'm so busy posting that im not reading! "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
October 17, 20186 yr 11 hours ago, CLE_Millennial said: I'm so excited to see this development happen and how it positively effects neighboring retail like Heinen's. I feel like Geiger’s badly needs the boost
October 17, 20186 yr 10 hours ago, YABO713 said: I feel like Geiger’s badly needs the boost Big time.. I feel like they get 2 customers a day lol
October 17, 20186 yr ^ i always go in there and want to buy something but it's just a bit out of my price range.
October 17, 20186 yr ^^ It might help their cause if the staff could acknowledge when a customer is in the store but we have a thread for retail discussion. Getting back on topic, I have a direct view of these buildings so as soon as I see construction activity, I'll post some pics. clevelandskyscrapers.com Cleveland Skyscrapers on Instagram
October 17, 20186 yr 15 minutes ago, MayDay said: ^^ It might help their cause if the staff could acknowledge when a customer is in the store but we have a thread for retail discussion. Getting back on topic, I have a direct view of these buildings so as soon as I see construction activity, I'll post some pics. Haha. I honestly have the OPPOSITE problem when I'm in there. Everytime I'm there I get suckered into buying something because I really want them to make it.
October 23, 20186 yr I think you are right. We may finally have the beginnings of construction. They have been marking utilities in front of the building today as well.
October 24, 20186 yr Hopefully this project will help put people on the sidewalks in this area! "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
October 24, 20186 yr Let's hope they line up some interesting retail tenants. The unit count itself won't do all that much for sidewalk activity (though every increment helps a little).
October 24, 20186 yr Just cleaning up the facade and putting windows in will help the area. Right now it looks like a couple bombs went off in those buildings!!!
October 26, 20186 yr Things are looking up! "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
November 13, 20186 yr The MSM is starting to notice what UrbanOhioans have been reporting for a week or two.... "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
November 13, 20186 yr On 10/24/2018 at 3:24 PM, StapHanger said: Let's hope they line up some interesting retail tenants. The unit count itself won't do all that much for sidewalk activity (though every increment helps a little). This might be a little off topic but, hopefully JHB can line up tenants. There’s many ground level vacancies from other projects (Garfield, Schofield, Standard, etc). Besides restaurants it doesn’t seem viable in our city for retail spaces to go into the large, fairly expensive spaces. The scheduled has had a pop up shop and will now have a seasonal bar. This isn’t a Cleveland issue per se as it’s a fairly common issue nationwide. Maybe something else besides retail could go into the spaces like startups or other things. But there’s alreasy a smattering of street level vacancies around JHB so hopefully they’re more successful.
November 13, 20186 yr Your talk-to-text interpreted "Schofield" as "scheduled," didn't it? Awesome! I'm surprised it got it right the first time. ? "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
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