I'll add my personal opinion - I'm not a fan of Optima, for what it's worth. 

That being said, here's the latest news from Crain's Cleveland Business.

 

http://www.crainscleveland.com/article/20130121/FREE/130129969

 

I was indifferent about Optima, but this definitely goes to show that they're trying to play hardball. They have done a lot for the downtown office market, but threatening to shutter a building because you don't get a tenant? That seems a bit harsh and premature given that there are still tenants in the market looking for space and hotels/apartments are needed.

Maybe they will shut it down as an office building for its few remaining tenants, so it can be converted to residential or hotel.

Unless it was taken out of context, it kind of seems like a child throwing a tantrum.

To me. Optima seams like terrorists, holding the building (and its current tenants), the county, and the city hostage until their demands are met. Ive always been skeptical of them tho, as it seems like they dont get things done. Geis on the other hand... Optima, as a national company should be going after companies all over and trying to bring them to Cleveland and to their buildings, not sinking down to this

^ I think that's going a bit far.  They may be playing a bit of hardball, but I believe them when they say that they will have to shut the building down if they don't land a large tenant, and the only one that is currently looking is the County.  You can't keep a building open profitably at 84% vacancy, and it's going to be a heck of a job to repurpose that building, because of the shear size of it.

The school district is also looking for offices (90K sf needed by July), but a discussion about the future of the ex-Huntington Building is probably destined for another thread.

I'm not sure I understand the hate for Optima here.  Their talk about having to shut down 925 Euclid sounds a lot more like a prediction than a threat, IMHO. If keeping 925 Euclid open and occupied is important to the County, it needs to assess the risk of closure (for some period of time anyway) and weigh it as a "cost" of the Geis proposal.  I highly doubt Optima would leave money on the table by closing 925 Euclid just to prove a point.

It's kind of like the Cavs waiting on LeBron to solve all of their ills.  He may - or may not - choose to return home.

I hope Optima didn't buy this building - and let's face it they got it on the cheap - for just one potential tenant (the county). 

Should be interesting to see Plan B or C. 

No one really believes that Optima has the gravitas to actually develop the Breuer Tower into residential.

Speaking of LeBron, coincidentally, I just "discovered" this very memo written to the citizens of Cuyahoga County:

 

 

Dear Cleveland, All Of Northeast Ohio and Cuyahoga County Supporters Wherever You May Be Today;

 

As you now know, our county, is no longer a considering Optima's Huntington Building for their HQ.

 

This was announced with a several day, narcissistic, self-promotional build-up culminating with a "decision" unlike anything ever "witnessed" in the history of the County and probably the history of every county in the United States, or world for that matter.

 

Clearly, this is bitterly disappointing to all of us.

 

The good news is that Optima and the rest of the hard-working, loyal, and driven staff over here at your hometown (if you live in Miami) development company have not betrayed you nor NEVER will betray you.

 

There is so much more to tell you about the events of the recent past and our more than exciting future. Over the next several days and weeks, we will be communicating much of that to you.

 

You simply don't deserve this kind of cowardly betrayal.

 

In the meantime, I want to make one statement to you today:

 

"I PERSONALLY GUARANTEE THAT CUYAHOGA COUNTY WILL GET A WORLD-CLASS HQ BEFORE ANY OTHER COUNTY IN THE UNIVERSE GETS ONE."

 

You can take it to the bank.

 

If you thought we were motivated before tonight to bring the best possible HQ plan to Cuyahoga County and Cleveland, I can tell you that this shameful display of selfishness and betrayal by our very own has shifted our "motivation" to previously unknown and previously never experienced levels.

 

Some people think they should go to heaven but NOT have to die to get there.

 

Sorry, but that's simply not how it works.

 

Sleep well, Cuyahoga County.

 

Tomorrow is a new and much brighter day....

 

I PROMISE you that our energy, focus, capital, knowledge and experience will be directed at one thing and one thing only:

 

DELIVERING YOU the HQ you have long deserved and is long overdue....

 

Signed,

Chaim Schochet

Optima

 

That is going to be a hefty tax bill for a shuttered property

No one really believes that Optima has the gravitas to actually develop the Breuer Tower into residential.

They would probably partner with someone like the Westin.  Sage hospitality is their partner here

From the article:

In its bid, Optima proposes moving the county’s workers into the 925 Euclid Building. It would use Ameritrust Tower and the 1010 Euclid building as Geis would —for apartments — but Optima would reserve the space at the corner of East Ninth and Prospect — now two nondescript, aging office buildings — for future tenants, either by refurbishing the existing buildings or tearing them down and constructing a new building.

 

Does anybody actually believe this? Schochet has made it clear the city doesn't need more or new office space.

You can take it to the bank.

 

And that's exactly what the county did with its HQ! :-D

Was hoping more of you would chuckle at my Dan Gilbert inspired memo!

With that being said...here's the latest news!

 

http://www.crainscleveland.com/article/20130122/FREE/130129922

MJM reports via Twitter that the county council has unanimously OK'd the HQ deal with Geis. So now the hard work begins....

 

http://www.cleveland.com/cuyahoga-county/index.ssf/2013/01/cuyahoga_county_council_considers_ameritrust_headquarters_deal.html#incart_river_default

Was hoping more of you would chuckle at my Dan Gilbert inspired memo!

With that being said...here's the latest news!

 

http://www.crainscleveland.com/article/20130122/FREE/130129922

 

 

I thought the comic sans was a nice touch

Thanks!

Hopefully we all can move on and get a nice HQ built at that site, with a first-class renovation of the tower and rotunda!

Well we don't know the construction timeline but there were workers with ladders already entering the PH Buildings on Huron

^The PD article reporting all this stated that the new building will be done by July 2014.  18 months sounds pretty quick to me especially considering they do not even have a design yet.

The PH building was all lit up last night at 9:30 pm as I walked from the Cavs game to Playhouse Square. I believe that was right after the county council's vote. Could they have started some preliminary pre-demolition inspection work literally within minutes of the vote?

Previous articles have stated that as soon as the deal was passed work could start immediately. I guess they really meant it!!

Was hoping more of you would chuckle at my Dan Gilbert inspired memo!

With that being said...here's the latest news!

 

http://www.crainscleveland.com/article/20130122/FREE/130129922

I thought the comic sans was a nice touch

 

Previous articles have stated that as soon as the deal was passed work could start immediately. I guess they really meant it!!

 

There probably is some motivation to get started before Optima finds a sypathetic judge to hold things up.  The farther along they are, and the more investment sunk in, the less likely it will be for a judge to throw in a roadblock.

My take away is that they're moving quickly: Feb 2013 asbestos, Apr 2013 site demolition, July 2014 building completion.

 

Ameritrust deal will cost taxpayers $16 million for new headquarters, on top of lease

By Laura Johnston, The Plain Dealer

January 26, 2013 at 8:00 PM, updated January 26, 2013 at 8:02 PM

 

CLEVELAND, Ohio --

 

On top of $6.7 in annual rent payments, Cuyahoga County taxpayers can expect to spend at least $16 million to finish their new government headquarters at the downtown Ameritrust campus.

 

That cost will consume much of the $27 million the county will make off the sale of the complex, which includes a historic rotunda and 28-story tower. The total could creep up, too, because the county has yet to decide what furniture to buy, or how many interior walls to construct.

 

Geis plans to begin asbestos abatement in the H&P Buildings at the Ameritrust complex in February, then demolish them in April to make way for the new county headquarters.

 

http://www.cleveland.com/cuyahoga-county/index.ssf/2013/01/ameritrust_deal_will_cost_taxpayers_16_million_for_new_headquarters_on_top_of_lease.html

Not so sure the B. Tower is out of the woods just yet.... Talk of its redevelopment could remain just talk...just like the S. Block Bldg. What are the chances that some of the wise thinking that pays no regard to structures of significance around here...could prevail in seeing this thing go down. Any time Frangos is mentioned in these talks, it is frightening.

^that title is incredibly misleading.  Sure it'll cost money, but it's also getting the Ameritrust off our back, and hopefully adding a huge amount to economic development in a much needed area.

^ Good point. Such headliners sell papers and give the media the controversy, confusion, and division it craves.

Geis Cos. emerges as key downtown player with Ameritrust win

Company known for big industrial developments has come a long way from humble beginnings

By STAN BULLARD

4:30 am, January 28, 2013

 

When the late Erwin Geis in 1967 built his first Northeast Ohio industrial building in Warrensville Heights, his family spent a Saturday doing the landscaping. A grade-schooler at the time, Erwin's son Greg Geis once talked about how he got hungry and tried the green fertilizer as a would-be lunch — one he quickly lost.

 

However, Greg and older brother Fred Geis developed an appetite for construction and property development that has propelled the now Streetsboro-based Geis Cos. far from its humble beginnings. Today, its website says, it has active projects in 16 locations in 10 cities and has developed more than 9,000 acres and 600 projects.

 

When Cuyahoga County Council last week unanimously declared Geis Cos. the winning bidder for the old Ameritrust complex, the company indisputably entered the development big leagues in light of the size and scope of the $200 million redevelopment effort planned for the long-idle site at East Ninth Street and Euclid Avenue.

 

READ MORE AT:

http://www.crainscleveland.com/article/20130128/SUB1/301289972

I cannot open that link. Will the tower be saved?

^None of us (as far as I know) have seen the transaction documents to see if they obligate Geis to reuse the tower, but I think everyone's reasonable expectation, based on every public statement, is that Geis plans to repurpose the tower into residential.

Yep. See the other articles posted herein.

There have been more lights on inside the tower each night.  Not sure if anyone else has noticed this, but tonight there were multiple floors.

If you want to see a very interesting document, check out:

 

http://media.cleveland.com/business_impact/other/Council%20Presentation%20v2%201-2-13.pdf (5.5mb)

 

Optima's argument that it offered the best deal is a partial argument, as the county used numerous factors in its scorecard to rate each of the three short-listed buyers of the Ameritrust complex. On that scorecard, Optima's proposal scored the lowest of the three. See Pg 22.

 

Also, see Pg 18 for a layout of how Geis intends to arrange apartments in the Breuer Tower and in the Swetland/1010 Euclid building.

 

Site selection information is available for the consolidated administration building is also contained in this document. Weston proposed a new 11-story building on the parking lot it owns on the NW corner of St. Clair and West 3rd with a very nice design. Too bad this build-to-suit building would have cost the county twice what Geis was offering. See Pg. 59 for the renders.

If you want to see a very interesting document, check out:

 

http://media.cleveland.com/business_impact/other/Council%20Presentation%20v2%201-2-13.pdf (5.5mb)

 

Optima's argument that it offered the best deal is a partial argument, as the county used numerous factors in its scorecard to rate each of the three short-listed buyers of the Ameritrust complex. On that scorecard, Optima's proposal scored the lowest of the three. See Pg 22.

 

Also, see Pg 18 for a layout of how Geis intends to arrange apartments in the Breuer Tower and in the Swetland/1010 Euclid building.

 

Site selection information is available for the consolidated administration building is also contained in this document. Weston proposed a new 11-story building on the parking lot it owns on the NW corner of St. Clair and West 3rd with a very nice design. Too bad this build-to-suit building would have cost the county twice what Geis was offering. See Pg. 59 for the renders.

 

Wow, shame. They must have refined it more when shortlisted. There is a different rendering on page 47.

Yesterday there was a big crane on site on Huron and E 9th near the building they are tearing down. Today they've also installed some sort of plywood 90 degree angle extending from the building to the sidewalk below on E 9th. Not sure what that's for, but at least it appears the asbestos removal is starting right away.

Yesterday there was a big crane on site on Huron and E 9th near the building they are tearing down. Today they've also installed some sort of plywood 90 degree angle extending from the building to the sidewalk below on E 9th. Not sure what that's for, but at least it appears the asbestos removal is starting right away.

 

I thought the county removed all the asbestos from the property? Or was that just from the tower?

There's currently plastic all over and a lot of the ceiling pieces are knocked out inside the H&P. One of the articles mentioned they were doing asbestos removal in February in both buildings and teardown in April.

Or was that just from the tower?

 

Just the tower.

Yesterday there was a big crane on site on Huron and E 9th near the building they are tearing down. Today they've also installed some sort of plywood 90 degree angle extending from the building to the sidewalk below on E 9th. Not sure what that's for, but at least it appears the asbestos removal is starting right away.

I was curious about this as well.  I saw a hydrant permit in the window the day before, and examining the wooden structure today, it runs from the hydrant on the curb to one of the windows removed from the building.  Apparently this is some sort of protective conduit for a hose or pipe.

It was nice to see the lights on inside the rotunda today, even though there was no public event happening. Just work related to bringing it back to life again..... :)

Construction lift being assembled:

 

Welcome Johann!

They are going like gangbusters on 1010 Euclid. I would have love to take a pictures of all their workers who were out there today but I was riding by on the HealthLine. Maybe tomorrow I can get a picture, but I doubt the workers will be there on a Saturday.

That would be great if you could get some pictures. By the way how many apartment units is the 1010 building being converted to?

That would be great if you could get some pictures. By the way how many apartment units is the 1010 building being converted to?

 

Unfortunately I didn't have enough time to swing by there and get photos. But this article says there will be 80 apartments in 1010 Euclid, plus offices and retail.......

 

Geis says it will rise to tall task

Developer will erect county headquarters as it's working on two other East 9th projects

By STAN BULLARD

4:30 am, May 20, 2013

 

As crews recently demolished two old, midrise buildings at the Ameritrust complex in downtown Cleveland, onlookers often stopped to watch the show at East Ninth Street and Prospect Avenue. As developer Geis Cos. soon starts erecting the eight-story Cuyahoga County headquarters there, the show will go on.

 

However, Geis isn't stopping with the county building. Under an ambitious construction schedule, Geis also will embark on redeveloping the 29-story Ameritrust Tower and an attached, 13-story building at 1010 Euclid Ave. in a project it mysteriously calls, “The M on 9th.”

 

A PowerPoint presentation by Geis at a luncheon last Tuesday, May 14, with the Greater Cleveland Mortgage Bankers trade group in Ameritrust's rotunda indicates the developer expects to close a $170 million financing package by mid-July. Redevelopment of the tower and 1010 Euclid building to apartments, a hotel and offices would follow.

 

The PowerPoint revealed that the delivery date for the complex is July 15, 2014 — just 14 months from now.

 

READ MORE AT:

http://www.crainscleveland.com/article/20130520/SUB1/305209970

Word is that work on 1010 Euclid is due to stop Friday as someone complained about the work (not sure why) and the city found that the contractor apparently did not have the proper permits. I'm also hearing that construction workers will be laid off, suggesting that this might not be a short delay.

Yikes.  How credible do you think this info is, KJP?

Yikes.  How credible do you think this info is, KJP?

 

If past information is any indication, pretty reliable.

UGH. I hope this doesn't take too long to correct.