Categories
Food & Drink Hungry Memphis

Grind City Coffee Xpo Returns

Grind City Coffee Xpo

Grind City Coffee Xpo is back for its second year and promises to be even “bigger and more caffeinated” than last year. All proceeds will benefit Protect Our Aquifer.

The first Grind City Coffee Xpo was held in 2019 and hosted eight Memphis-based coffee shops and roasters and four coffee-centric food vendors. It drew more than 500 attendees.

“A huge difference between this year and 2019 is the inclusion of coffee professionals from outside of Memphis,” says Daniel Lynn, co-founder of Grind City Coffee Xpo along with Rachel Williams.

“We wanted to expand our community to others outside our wonderful city and have been amazed at the incredible response we have had from them,” he says.

“We have people coming from Nashville, Chattanooga, and Milwaukee to participate in this year’s expo. We can’t wait to share with them what Memphis has to offer and to introduce Memphians to some truly amazing people from elsewhere in the coffee community. That’s what it’s about. Growing our community.”

The expo will have three tiers for entry: 10 a.m. for $35, 11:30 a.m. for $25; or 12:30 p.m. for $20, and it’s happening on Saturday, March 14th, at the Pipkin Building at the fairgrounds. This year they will host more than 20 vendors and feature coffee and cocktail demonstrations from four pairs of baristas and bartenders, live music, three panel discussions led by industry professionals, and so much more.

Grind City Coffee’s mission is to celebrate the culture in and around coffee by providing an inclusive environment for everyone who fosters community over competition through educational, social, and craft events.

The Grind City Coffee Xpo will be held March 14th at the fairgrounds’ Pipkin Building (940 Early Maxwell) from 10 a.m. until 3 p.m. Learn more and get your tickets here: grindcitycoffee.com.

Categories
News News Blog

Fairgrounds Redevelopment Project Moves Forward

City of Memphis

A rendering of the proposed youth sports complex that will front Southern Avenue.

City leaders formally named the private development team that will lead the Fairgrounds redevelopment project Tuesday morning.

City leaders cleared a major hurdle to advance the plan in November with a positive vote on the project from the State Building Commission. At that time, though, commission leaders said they wanted another review of the plan. They wanted to ensure Memphis leaders could secure $61 million in private funds before they’d allow the city to issue $90 million in bonds for the city’s portion.

“If the money and the numbers do not work out, we will not move forward with the project,” Paul Young, the city’s director of Housing and Community Development, told the commission in November.

It was not immediately known Tuesday morning whether or not the city won that second approval from state officials. We’ll update this story with more information later today.

City of Memphis

A concept image of a new Fairgrounds.

However, a news release from Memphis Mayor Jim Strickland’s office said Tuesday his team had picked M&M Enterprises and Belpointe REIT to lead the redevelopment project.

“We’ve been working on this project for a while now, and I’m so pleased to have local talent stepping up and helping the city to transform this important piece of property,” Strickland said in a statement. “The underutilized Fairgrounds will be reimagined into a unique sports and entertainment destination for both Memphians and visitors.”

The project team will be led by local developer James Maclin, of M&M Enterprises. Maybe Maclin’s highest-profile project to date is the Broad Avenue mixed-use project he’s working on with Loeb Properties. Maclin is also involved in the redevelopment of the Racquet Club.

Belpoint is a real estate investment trust (REIT). These types of companies own many different types of real estate. Belpoint is based in Greenwich, Connecticut. A statement says the company is the first Opportunity Zone REIT registered with the securities and Exchange Commission (SEC).

“An Opportunity Zone is an economically-distressed community where new investments, under certain conditions, may be eligible for preferential tax treatment,” according to the Internal Revenue Service.

The Fairgrounds is part of the University District Opportunity Zone.

City of Memphis

A pre-design rendering of the Fairgrounds redevelopment project.

In November, Young said the project would move through three phases. Phase one is complete, with Tiger Lane, improvements to Liberty Bowl stadium, and site work for phase two. The second part of the project would include the construction of the youth sport complex, which would front Southern on the south end of the Fairgrounds.

”The complex will be located on the southern end of the Fairgrounds, on the site of the former Libertyland Amusement Park,” reads the city’s statement Tuesday. “It will focus on indoor sports, including basketball, volleyball, cheer, gymnastics, wrestling, and indoor track and field; it is projected to open in the first half of 2021.”

Phase three of the project would begin within five years of the completion of phase two. Phase three cold cost up to $30 million and include “iconic” entrances and exits, improvements to the Pipkin building, expanded parking, and more.

Justin Fox Burks

As of November, the Mid-South Coliseum would remain mothballed under the plan. But Young told committee members in November that private funding to revive the building would emerge if the area around it were reactivated.

The plan also aims to redevelop the north end of the Fairgrounds fronting Central with a mixed-use development. That development would include 30,000 square feet of retail space and 80 hotel rooms.

“The mixed-use development will be privately funded, although the city will provide infrastructure improvements,” reads the statement. “The private development will generate sales tax revenues for the Fairgrounds Tourism Development Zone (“TDZ”) which will be the primary source of funding for the new Sports & Events Complex.

“Using the TDZ will allow the city to redevelop the Fairgrounds using sales tax revenues that would normally go to the state and without having to rely on general operating funds which are used for things like police and firefighter salaries or on the capital improvement program which is used for things like street repaving.”

Categories
Food & Drink Hungry Memphis

New Venue for Margarita Festival

Margarita Festival ain’t scared of a little rain. But it is moving to a new venue due to impending weather.

The Margarita Festival is now at the Creative Arts Building at the Fairgrounds. This is next to the Pipkin Building. So the good news is: Great margs now with lots of parking!

The Margarita Festival is Saturday, May 11th, 3-6 p.m. (This is a sold out event! Check back next year.)

Categories
Film/TV Film/TV/Etc. Blog

Mike McCarthy’s Zippin Pippin Doc Destroy Memphis Returns To The Screen

Mike McCarthy is one of Memphis film pioneers. Starting in the 1990s, his feature films such as Teenage Tupelo, Superstarlet A.D., and Cigarette Girl forged a mondo, anything goes aesthetic from punk rock, trash cinema, and pop culture ephemera.

In the last few years, McCarthy has thrown himself into historic preservation, and his filmic output has migrated towards nonfiction. Destroy Memphis is his document of the years long quest to save Libertyland and the Zippin Pippin, Elvis’ favorite wooden rollercoaster. It’s a sometimes funny, sometimes sad, and always riveting story of grassroots civic engagement.

The film premiered at last year’s Indie Memphis Film Festival. In today’s time of protests, letter writing, and Memphis accelerating but often controversial development, this film seems even more relevant. The controversy at the heart of the film, what to do with the Fairgrounds, has only grown more murky and heated over time. Destroy Memphis will screen at Malco’s Studio on the Square on Thursday, October 26 at 7:00 PM. It seems like a perfect time to, as McCarthy says, “Start celebrating our history, and stop tearing it down!”

Mike McCarthy’s Zippin Pippin Doc Destroy Memphis Returns To The Screen

Categories
Cover Feature News

The Robert Lipscomb Affair

Robert Lipscomb has been called the most powerful man in Memphis. Power player. Power broker. Dealmaker. Deal breaker. Planning czar. Point man. Puppet master. Shadow operator. Rapist. Motherfucker.

He earned the first set of names from the powerful friends and opponents he made in a nearly 20-year career in two roles, the director of the Memphis division of Housing and Community Development (HCD) and as director of the Memphis Housing Authority (MHA). With those jobs, he directed the flow of hundreds of millions of dollars of government funding to the biggest and highest-profile projects in Memphis. This is how he — an unelected official, a behind-the-scenes operative known largely only to those in government and business — became so powerful.

The last two names in the first paragraph are from a man whose accusations have burned that power to the ground. The man, now 26 and living in Washington State, told Memphis Police Department (MPD) investigators that Lipscomb raped him. The accuser said that Lipscomb lured him into his SUV and then forced him to perform oral sex on him.

This was in 2003, according to a police report, while the accuser said he was a homeless teenager walking the streets of Memphis. The accuser said Lipscomb made him perform oral sex on him more than a dozen times after that, giving him money and promises of a better life to keep him quiet. Since the accuser’s first allegations surfaced two weeks ago, more accusers have called Memphis City Hall with similar stories about Lipscomb, city officials said. Nine by the end of last week, according to their count, though no further details have been forthcoming, either from City Hall or the MPD.

Indeed, they have gone seriously mum on what is presumably an ongoing investigation.

At this point, the allegations are just that, and Lipscomb hasn’t been charged or arrested for anything. But the stories about him have packed a powerful punch. Memphis Mayor A C Wharton, called the allegations “disturbing.” Jack Sammons, the city’s Chief Administrative Officer (CAO), called them “sickening.” MHA Chairman Ian Randolph called them “horrendous.” Lipscomb quit his job at HCD. He was suspended with pay from the MHA. Investigations have been launched into the criminal aspects of the case, of course, but financial investigators are also shining their lights on the books of every agency Lipscomb directed.

Meanwhile, the ousted Lipscomb maintains his innocence. Although he quit talking to the press under orders of his attorney, Ricky Wilkins, he was telling reporters who showed up at his front door two weeks ago that the allegations are false.

From certain points of view, it hardly matters; the damage is done.

It’s likely that, since the allegations surfaced, anyone who ever had contact with Lipscomb has completely reassessed the man who seemed to have all the puzzle pieces and knew how they fit together. Even as the allegations against Lipscomb remain to be investigated and very probably adjudicated, a new and unflattering light has begun to shine upon Lipscomb.

To many in the public, he is now like a comic-book villain walking half in the bright light of polite society and half in a private darkness with the demons that may lie there. And for all these years, if the accusations against him are true, he would have been carrying a disturbingly divided self around, one with unfettered access both to the city’s most innocent as well as to its most powerful — and with only a thin veil separating his competent and somewhat wonky public personality from an alleged private self that was both violent and profane.

Jackson Baker

Lipscomb overseeing slide presentation of Fairgrounds TDZ project for County Commission earlier this year; with him are architect Tom Marshall and Convention & Visitors Bureau head Kevin Kane

The Rundown

Nearly two weeks have passed since the original allegation surfaced about Lipscomb. Here’s what we know so far. First, the publicly known chronology:

Sunday, Aug. 30 — A late-night memo was sent to the press noting that a man had accused Lipscomb of rape and that Lipscomb had been relieved of duty at HCD.

Monday, Aug. 31 — Lipscomb resigns as HCD director. More Lipscomb accusers reportedly call City Hall. The MPD searches Lipscomb’s house and takes computers, folders, and a camcorder as evidence.

Tuesday, Sept. 1 — Wharton taps HCD Deputy Director Debbie Singleton to run that agency in the interim. He recommends Maura Black Sullivan, the city’s deputy chief administrative officer, to temporarily lead MHA. Even more Lipscomb accusers are said to come forward.

Wednesday, Sept. 2 — MHA suspends Lipscomb with pay, appoints Sullivan as temporary director. Sammons tells the press that Wharton’s office is going quiet on the investigation to let the MPD do its job.

Thursday, Sept. 3 — Lipscomb’s initial accuser talks with several media, including the Flyer, adding a detail here or subtracting one there, but always insisting that Lipscomb promised him a job and a house in return for sexual favors, with the relationship souring, as the accuser put it to the Flyer, after he realized “the motherfucker” was “pulling my leg.”

Tuesday, Sept. 8 — Still no charges filed against Lipscomb.

Toby Sells

Jack Sammons during last week’s MHA meeting

Conversations with Wharton and Sammons, among others, have subsequently filled out these bare-boned details somewhat. The first warning signal had come into City Hall on Thursday, August 20th, with an explicit phone call to the mayor’s office from the Seattle man, who, as was later learned, was a Memphis native with a fairly lengthy police record locally.

Wharton was out campaigning, and the first to learn about the call was CAO Sammons, who had just returned from official business in Nashville. The most riveting aspect of the call, that which convinced Sammons — and later Wharton and Memphis Police Director Toney Armstrong — that the matter had to be taken seriously was the caller’s insistence that he had Western Union receipts of blackmail payments from Lipscomb.

The caller had also spoken of a police complaint he had filed against Lipscomb in 2010, one that was virtually identical to his renewed complaint in 2015. The 2010 complaint was dismissed — on the basis, police records showed, that the complainant, who was homeless at the time, could not be located.

The similarity of the two accounts, five years apart, was a convincing fact to Sammons, who explained further that the complainant chose to repeat his charges again as a form of release recommended by a therapist in Seattle.

Acquainted with the basic facts upon his return to his office, Wharton called in Director Armstrong, on Friday, August 21st, and the two of them contacted the Seattle man, who repeated his tale and also forwarded photostats of the Western Union receipts.

Jackson Baker

Mayor Wharton faces a press scrum about Lipscomb matter

As the mayor would explain to the Flyer, he deferred to the judgment of his seasoned police director, who decided the matter was serious enough to merit a personal visit to Seattle to meet with the accuser. Armstrong would arrange for such a visit, by himself and a group of investigators, for the middle of the next week.

Between that weekend and the Armstrong party’s return from Seattle on Sunday, August 30th, there were meetings about various pending projects in City Hall involving Lipscomb, Wharton, and Sammons. They were conducted in a business-as-usual manner, with nothing said to Lipscomb about the caller from Seattle.

But on Sunday, Armstrong and his assisting officers were back in town, and they met with Wharton and Sammons at City Hall with a full briefing on what had been two full days of investigation in Seattle. The convened group then learned that the accuser from Seattle had contacted Fox-13 news with his accusations, and a reporter from that station had called, wanting details.

That fact sped up an itinerary that otherwise might have taken days or even weeks to develop. Lipscomb was called and asked to come to the mayor’s office for a meeting, which, he apparently presumed, had to do with some hitch in one of his ongoing projects.

When he arrived, however, he found out otherwise, and arrangements were made in the tense atmosphere of that meeting for him to begin the process of separating himself from city service.

The Upshot

Heading into its third week, the Lipscomb affair has seemingly settled into an incubation mode, with dormant legal and political implications that could either simmer quietly or explode into an ever-expanding crisis.

On the legal front, the deposed planning czar’s attorney, Wilkins, an able veteran who is as familiar both with Lipscomb and with the way city government operates as anybody around, was keeping his cards — such as have been dealt — close to his chest, with the full expectation that more surprises might be yet to come.

Wilkins has made it clear, though, that he felt his client’s rights had been put in jeopardy and that he will have much to say about several aspects of what has so far transpired at some point in the future.

Meanwhile, the implications of the affair for city business and the mayoral race that was just entering its stretch drive are still being assessed.

Politically, it is too early to tell. Wharton was receiving credit in some quarters for acting quickly and decisively in dealing with the problem, once it came up. Others were prepared to fault the mayor for not seeing the situation develop under his nose or for even looking the other way from potential trouble.

Further development in the Lipscomb saga could determine which view would prevail, at a time when polls show the mayor with only a slight lead over his closest opponent, Memphis City Councilman Jim Strickland.

On the governmental front, it has long been a fact of life in City Hall that Lipscomb was calling the shots on city planning ventures, which included numerous neighborhood developments, the just-completed Bass Pro Shops at the Pyramid attraction, and a $200 million pending TDZ (Tourism Development Zone) project involving the Fairgrounds.

John Branston

Lipscomb’s projects include the Pyramid,

John Branston

Heritage Trail,

Bianca Phillips

and Foote Homes.

Under two mayors, former city chief executive Willie Herenton and now Wharton, Lipscomb has been influential to the point that a common jest was to suggest that Herenton and Wharton had worked for Lipscomb rather than the other way around.

It was no joke, however, that under both his titles, Lipscomb had extraordinary power and bargaining ability, which left most members of the city council, even some who were privately critical of him, unable to say no to Lipscomb when pressed for a vote. Among other things, he had the ability to route developmental funding into their districts, or not, as he saw fit.

The Projects

No matter what was going on in his personal life, Lipscomb’s professional life as the director of the HCD and as the director of the MHA made him the point man on a number of massive city projects.

What will become of those projects — ranging from Foote Homes to the Fairgrounds redevelopment — remains to be seen, but the new MHA interim director, Sullivan, said she will be working with the new HCD interim director, Singleton, to evaluate each one in the coming months.

“Ms. Singleton and I have years of a good working relationship already and will work in concert to ensure the progress of the projects, but more importantly, the success of the city’s residents,” Sullivan said. “These projects are all multi-faceted and involve various divisions of city government. We are both currently evaluating the businesses, and the forward progress of each of these projects is a part of that evaluation.”

Here’s a rundown of a few of the projects Lipscomb’s departure leaves unfinished:

Foote Homes: Through the Memphis Heritage Trail project, Lipscomb had a vision to raze the city’s public housing projects and replace them with multi-income housing. And he saw through the eradication of five of the city’s six housing projects (and the displacement of their residents via housing vouchers) between 2001, when LeMoyne Gardens were razed and redeveloped as College Park, to 2014 when Cleaborn Homes were torn down and rebuilt as Cleaborn Pointe at Heritage Landing.

But the last housing project left in the city — Foote Homes — remains as MHA awaits a decision on the federal department of Housing and Urban Development’s Choice Neighborhoods grant. Winners of the grant are expected to be announced this month.

Kenneth Reardon, the former University of Memphis urban planning professor who led the Vance Avenue Collaborative (the group opposing the demolition of Foote Homes), believes Lipscomb’s sudden departure could put that grant at risk.

“What does Robert’s departure mean? He has been viewed as one of the most effective public housing directors in the country. So his departure, as the major planner/architect/public manager/guy who put the financing together, at this late stage, could have a serious negative effect on the city’s ability to get this [grant]. It’s hard to really know,” said Reardon, who recently moved to Boston to take a job as director of the graduate program for urban planning and development at the University of Massachusetts Boston.

At least Reardon is hoping the city doesn’t get the grant to tear down Foote Homes, which he believes is a colossally bad idea.

“We still think the city’s approach to Foote Homes is ill-conceived and certainly not the most creative and transformative proposal they could put forward, given that the number of low-income people needing deeply subsidized housing and the proportion of those who need to be downtown for employment and medical, educational reasons,” Reardon said. “Foote Homes remains a vital asset.”

Jordan Danelz, Mike McCarthy, and Marvin Stockwell of the Coliseum Coalition

The Fairgrounds: With Singleton named as the new interim director at HCD, Marvin Stockwell, the spokesman for the Coliseum Coalition, said the organization is prepared to continue talks with the city. Lipscomb was a proponent for the redevelopment of the Fairgrounds, possibly as a multi-purpose youth sports complex, and he was planning to go to the state after the October 8th election to push for TDZ status for the Fairgrounds, a move that was opposed by many. The Coliseum Coalition aims to save the long-vacant Mid-South Coliseum.

“We at the Coliseum Coalition stand ready to work with anyone and everyone to reopen and reuse the Mid-South Coliseum,” Stockwell said. “I think part of the reason that public opinion has continued to move in the direction of reopening the Coliseum is because we’ve been able to have a respectful dialogue with the city. We had that type of back-and-forth with Lipscomb, and we have every confidence that will carry forward. We’re going to pick up where we left off.”

Whitehaven: Whitehaven’s revitalization is dependent upon the area in its entirety, rather than only focusing on Southbrook Mall, which was a point of contention within the administration — and Lipscomb, who was secretly recorded earlier this year saying that some city leaders were “throwing darts” at a proposal to revamp the aging mall. Mayor A C Wharton will be heading a committee to enact the Whitehaven plan.

The Pinch District: Lipscomb’s involvement in the Pinch District development — the pressure on which has been mounting since far before Bass Pro Shops’ opening earlier this year — were first focused on making sure the hunting and fishing mega-store got up and running smoothly. During the rezoning of the Pinch District in 2013, Lipscomb was quoted as saying that the Pinch was “second priority” to Bass Pro Shops. With that complete, there’s been talk of a new hotel coming into the area. Tanja Mitchell, community development coordinator for Uptown Memphis, is hopeful that Lipscomb’s departure won’t affect the area’s redevelopment.

Toby Sells

a marquee board at the Memphis Housing Authority

“We’re happy to work with any agency to get the Pinch redeveloped, because that’s something that needs to happen. The Pinch needs to come to life again,” Mitchell said.

All these, and a pending $30 million federal development grant, are potentially hostages to fortune in the uncertain atmosphere of the moment, but Wharton and other city officials have expressed optimism that all can still proceed as before.

Categories
Editorial Opinion

Robert Lipscomb’s Influence and Playing the Gamble

In this week’s cover story, we, like the rest of the Memphis media, have begun to scratch the surface (and, for once, that oft-used cliché seems to be the right metaphor) of an ongoing problem in city government.

Yes, we mean the Lipscomb affair, for sure — a saga, rivaling anything in Sophocles or Shakespeare, of a sudden and dramatic fall from the heights of power to the depths of apparent ruin and disgrace. And one, moreover, that leaves a slew of unanswered questions in its wake: How was one man allowed, through two successive city administrations, to accumulate so much power and influence that, to all intent and purpose, he was unbossed at City Hall, able not only to chart his own course but, it would seem, to decide the direction of city government itself in matters of development?

It was Lipscomb single-handedly who came up with the Bass Pro solution to the riddle of an empty but debt-consuming Pyramid. He committed the city to sticking with that strategy in the face of other suggestions, some of which might have had merits of their own, and through year after year of what seemed never-ending delays. As of now, it appears that Lipscomb was right, that his gamble paid off. (Ask us again in 10 years.)

Other projects, like the apparently abandoned Heritage Trail TIF (Tax Increment Financing) proposal of a few years back, would have put enormous swaths of the city in potential hock to pay for what seemed, finally, disproportionately modest developments within a limited geographical area. The purpose, to pay homage to the city’s civil rights legacy while upgrading a depressed area, was fine, but the whole thing seemed out of scale, and it would have involved the disingenuous premise of having the entirety of downtown — which, all things considered, has been enjoying a boom — classified technically as a slum.

That project, like Bass Pro, might have paid off, too, but it ultimately seemed too much a gamble — one in which the ante seemed out of scale with the potential payoff.

The jury is still out (another cliché that somehow seems wholly appropriate) on another Lipscomb leftover, an ongoing Fairgrounds TDZ (Tourism Development Zone) proposal, which the administration of Mayor A C Wharton evidently still hopes to win state approval for, though there have been abundant objections to it from citizens’ groups and preservationists.

Don’t misunderstand. Lipscomb had a certain genius for dreaming up these projects, all of which aimed artfully at snagging state or federal monies (or both) that our cash-poor city would have trouble coming up with otherwise. Maybe Memphis needed — and needs — to take a few risks.

But it now seems clear that some obvious cautions are in order, as well. When we mentioned scratching the surface of a problem, we didn’t mean the Lipscomb affair alone. We meant that civic tendency, so much in evidence that a state comptroller was forced to upbraid us for it not along ago, to live entirely at risk, without sufficient oversight, like a giddy Mr. Micawber with a habit for playing the lottery.

We can still dream; we just need to have enough wakefulness about us to know what’s going on in reality.

Categories
Opinion

Fairgrounds Redo: Will Third Time Be Charmed?

stadiums_memphis.jpg

The 89-page Fairgrounds redevelopment plan released this week is the third major one since 2006 so I’m taking my time digesting it.

The Looney Ricks Kiss firm did one in 2006 that, obviously, didn’t go anywhere. The RKG Associates consulting firm did a 2009 study as well as the one that came out this week. The 2009 study was pessimistic about the $125-million public/private financing proposal for a sports-oriented Tourism Development Zone. The current one is optimistic about a $233-million public/private proposal for a sports-oriented TDZ.

Same property, same qualified public use facility (Liberty Bowl Stadium), but different economy (recession then, comeback now), different mayor (Herenton then, Wharton now), different developer at risk (Henry Turley and Robert Loeb then, unnamed now), different master/enabler (a city-appointed Fairgrounds Reuse Committee then, Robert Lipscomb, head of the Division of Housing and Community Development, now) and different fate of Fairview school at the key corner of Central and East Parkway (out then, in now).

Turley’s Fair Ground plan, which I wrote about here, is not mentioned in the 2013 RKG report despite the obvious similarities. Turley got state approval for a TDZ but ran afoul of the City Council and Lipscomb, who said his fees were too high, which Turley disputed. The new plan needs state approval, and a presentation is tentatively scheduled in mid-October. After that it will also need City Council approval.

In a supporting letter, Wharton wrote that “the fairgrounds project will also serve as the central hub of the city’s family-tourism expansion through its developments at Graceland, Bass Pro at the Pyramid, and the Riverfront.” He makes no mention of the proposed Crosstown project which is less than a mile from the edge of the Fairgrounds TDZ and is seeking $15 million in public funds. The Bass Pro Pyramid is part of a separate TDZ.

In short, Memphis is betting on a whole lot more free-spending tourists coming our way.

As the name suggests, the key to a TDZ is tourism spending as opposed to local spending that would have gone somewhere else but for the new development. In a TDZ, Memphis gets to keep the incremental increase in state sales taxes above a baseline number.

The baseline number is important in determining what “new” revenue can be used to pay off the bonds. From the new report:

“The analysis by RKG Associates concludes that the projected baseline retail sales are approximately $214 million, and as a result there are ample sales tax revenues — projected at $14.3 million yearly beginning in 2016 — to support the bond payments of $11.9 million annually.”

And from the 2009 RKG report: “The estimated stream of sales tax revenue, while significant, is not necessarily new revenue. Additionally, under the assumptions of the bonding in this analysis, the projected stream of sales tax revenues is insufficient to retire $112,264,000 in bonding.”

One more negative note from the 2009 report: “By the very nature of retail there is always some degree of transferred retail sale. In the context of the Mid-South Fairgrounds, it is likely that the majority of retail sales will be transferred sales from existing merchants.”

The 400,000-square feet of “destination retail” that would bring in new money in the current fairgrounds plan is not named. Nor is the operator of the “180-room hotel/conference center.” The location would be north of Tiger Lane and south of Central Avenue. Obviously, it matters whether the retail is a destination for East Memphians or Nashvillians and Mississippians.

The report says “the Fairgrounds redevelopment is being driven by the City of Memphis as owner” and “based on the city of Memphis vision and design” the city will seek “a retail development company” for the property north of Tiger Lane and another developer/operator for the sports facilities south of Tiger Lane. There is no mention of fees.

However there is this statement:

“Using the TDZ as the vehicle for financing the Fairgrounds redevelopment and carefully calibrating a plan of redevelopment, the City of Memphis continues to build economic engines, as it has done with the redevelopment of The Pyramid into destination retail and a tourist attraction.”

Well, let’s hold that praise until after Bass Pro actually opens. As the report says elsewhere, “there is no assurance that actual events will correspond with the assumptions on which such estimates are based.”

The proposed three-square-mile Fairgrounds TDZ would include big Midtown tax generators such as the Memphis Zoo, Overton Square, Union Avenue and the soon-to-be rebuilt Kroger, and Cooper-Young. The report doesn’t flat come out and state cause and effect, but the assumption is that these things are tied somehow to the fairgrounds and the stadium and therefore their incremental tax revenues should be captured.

Again, the big question is what’s the increment? That depends on what the baseline is. The lower the baseline, the bigger the increment. In this proposal, the baseline is 2012 sales tax collections, adjusted for inflation until 2016 when the retails sales stream starts flowing to the fairgrounds bonds.

RKG’s 2013 optimism starkly contrasts with its 2009 pessimism about fairgrounds retail, which went well beyond the recession: “Approximately 80 percent of the sales that would occur at the fairgrounds would come from residents within the primary trade area. Most all of the sales activity would be reallocated sales already occurring elsewhere in Memphis.”

Fairgrounds retail, RKG said then, “would fill a void in the local market area, however it lacks highway presence and the tenant mix to be a regional consumer draw.”

That was then, this is now.

Categories
Opinion

Stadium ADA Funding Gets Council Approval

interior.jpg

A City Council committee approved spending $12 million on ADA compliance at Liberty Bowl Stadium after being warned that if nothing was done the U.S. Justice Department might “shut the stadium down.”

“Not only could they shut the stadium down, they could hold the whole fairgrounds hostage” said Housing and Community Development director Robert Lipscomb. He said that meant forcing the city to make everything at the fairgrounds ADA compliant, but he did not say what will be allowed to be out of compliance.

The 61,000-seat stadium, which is rarely even half full in recent years, added more wheelchair-accessible seats and companion seats a few years ago but not enough to satisfy the Justice Department. The letter of the law would be one percent accessible seating, or 620 seats and 620 companion seats, but the department typically settles for less. Lipscomb said the city bargained with Justice to lower the cost from $40 million to $12 million, which includes some non-seating expenses. A handout said the reduction was due to “new technology and alternate design solutions.” There will be 564 ADA/companion seats. The maximum projected loss of seats is 2,000.

If the full council approves the expenditure as expected, construction will be done between January and August of 2013. Lipscomb said projected new taxes from a proposed Tourism Development Zone (TDZ) to include Cooper-Young and Overton Square would pay the bills. The council will be asked to vote on the TDZ on January 22, 2013. If approved, the city will apply to the state in February and expects to get approval in June. The vision is a youth sports complex.

Committee members asked few questions about the project. Some said they had a “moral obligation” to vote for the proposal. Three people in wheelchairs came to the meeting but did not speak. Interviewed after the meeting, they each said the current wheelchair-accessible seating is inadequate, but they also each said they do not go to games at the stadium.

“There are a lot of people who are not trying to come,” said Louis Patrick. “This is one of those questions of if they build it will they come.”

Categories
Opinion

Stadium Upgrade One Piece of Fairgrounds Puzzle

interior.jpg

The moon in the sky was a big pizza pie over Liberty Bowl Stadium Tuesday night as hundreds of fans walked on the new artificial turf field and the giant new video board displayed a stunningly lifelike high-def image of . . . City Councilman Bill Boyd.

Actually Boyd followed a promotional Memphis video to the tune of “Green Onions,” and he was at the podium and makeshift stage to introduce a bunch of dignitaries celebrating the newly renovated stadium. The place looked great inside and out, with a fountain, colored lights, and grand entrance at the end of Tiger Lane and the new turf, freshly painted stands, and the big board over the south end zone. What a change from the cow barns and fairgrounds clutter of two years ago.

On Saturday night, the Memphis Tigers and their new coach Justin Fuente will take the field against U-T Martin, a comedown from previous openers against Southeastern Conference teams but a winnable game for a Tiger team that has won five games in three years.

For Memphis to get a good return on its investment, which was heavily leveraged by donations from FedEx, the Tigers will have to get respectable and at least half-fill the Liberty Bowl regularly, which looks doubtful until Memphis joins the Big East Conference in 2013. The other two ramrods and beneficiaries, the Southern Heritage Classic and the AutoZone Liberty Bowl, should set the bar at 50,000 butts in seats.

The stated goal of city master planner Robert Lipscomb and his team is to make the fairgrounds a 365-day facility for ordinary Memphians as well as elite athletes. A worthy aspiration, long overdue, but about as possible as the Tigers going undefeated. For now, the Children’s Museum is the closest thing to a daily draw, and it is not really part of the makeover. The Kroc Center on East Parkway will give Midtown a convenient and low-cost alternative to suburban fitness centers under the direction of the Salvation Army. I’m eager to see what all will be in the mix and how Memphians respond.

The high school football field and track should continue to get regular use from the future unified school system. The Bridges Kickoff Classic matching public and private schools moved from the Liberty Bowl to MUS in 2009. The smaller stadium costs less to rent and is a better fit, but the location is far from the center of the city.

Tearing down the Mid-South Coliseum was part of the aborted Fair Ground plan of Henry Turley and Bob Loeb and is a part of Lipscomb’s plan as well. What’s the rush? Sentiment isn’t the point. The fact that Elvis once played there is as irrelevant as the fact that Gordie Howe once made a promotional visit for the River Kings. But don’t tear down a building that is safe enough to host graduations in recent years and is surrounded by parking until someone comes up with a better idea and a paying customer to make it happen. It’s not like there’s no open space to build on at the fairgrounds.

Baseball fields at the Fairgrounds would return baseball to the inner city, the foundation of the Memphis Redbirds 12 years ago. Nice to see Tim McCarver making a big donation to his old home town but baseball is not the city game. How much farther can you take RBI than the Redbirds did with ex-major leaguer and Memphian Reggie Williams giving it their best shot?

The competition for baseball tournaments comes not only from Snowden Grove and First Tennessee Fields but also from multi-field complexes in Jackson, Jonesboro, New Albany, and Batesville. The competition for festivals, outdoor concerts, and packaged pay-for-fun ala the Mud Island LuvMud benefit will come from downtown, Shelby Farms, and other venues. There is no single sports and entertainment center in Memphis if there ever was one.

A Target store, a Hampton Inn-style motel, housing, and a Tourism Development Zone to capture sales taxes were also part of Fair Ground. What’s done is done, but I think it’s too bad that someone of Turley’s talent, vision, and track record is working in Jackson, Tennessee and not in Midtown, Memphis. Is the city as developer a real deal or pie in the sky? We will see.

Categories
Opinion

Loeb Wants Decision on Overton Square in 2011

WebNewsCarOvertonSquareLoebRENDER.jpg

Robert Loeb says his company’s redevelopment of Overton Square can move forward with or without an underground storm water detention basin, but he needs to know by the end of this year what the city is going to do.

Loeb Properties has a contract to buy the property that expires December 31st. The company proposes to spend $19 million on Overton Square. The city is considering spending up to $19 million for a parking garage, underground detention basin, and street improvements. The proposed investment has to clear the City Council, which has two more meetings this year.

Loeb said he has no preference between an $8 million detention basin and a smaller, less expensive one, but believes the smaller one — less than one tenth the size of the bigger one — wouldn’t hold enough water to do much good.

“If the funds are in there it isn’t my decision,” he said. “But it works kind of hand in hand with the garage structure.”

Without a garage, Loeb said “we’ll have low-density, surface development” and shared surface parking with Playhouse on the Square and others instead of high-density development.

Overton Square and other Midtown developments with big parking lots such as the Home Depot at Poplar and Avalon contribute to the flooding problem during heavy rains. Detention basins (the soccer field at Christian Brothers University is one example) hold water temporarily, as opposed to retention basins that retain it. The city engineering department is considering several flood abatement options for Midtown, including the one at Overton Square and another one in the Snowden School playing field. A detention basin in Overton Park on the greensward was rejected because of public opposition.

“I’d like to be a good neighbor,” said Loeb, who presented his company’s plan earlier this year at Playhouse on the Square. It included restaurants, new and renovated retail spaces, and a new home for the Hatiloo Theater.

Flooding after heavy rains is a problem for residents in Midtown neighborhoods north and south of Overton Square. The total cost to protect them against a 25-year flood is estimated at $24.3 million.

Mary Wilder, cochairman of the Lick Creek Storm Water Coalition, has followed this issue for years and is also a Midtowner in the Vollentine-Evergreen Community Association (VECA). She sent me the article here. She makes a strong case for small-scale “green” measures that, if they catch on, can have a significant impact on flood abatement.

The coalition opposes detention basins in Overton Park and supports Loebs’ project “as long as detention is part of it.” She adds that even the largest detention basin under Overton Square “is not going to solve VECA’s flooding problem” because Lick Creek picks up more water between the square and the VECA neighborhood. Wilder is frustrated that city engineers “start talking engineering to you” and have not been clear on why the cost of the proposed Overton Square detention basin suddenly went up so much. There is suspicion that Overton Park will come back in play as an alternative.

I am a shameless homer on this one. I live in Midtown, although not near Overton Square, and like driving five minutes instead of 20 minutes for dinner and a movie. I was for the Loeb-Henry Turley fairgrounds redevelopment, Fair Ground, that was rejected by the previous administration and the City Council. But the football crowd won that one, and the result, for better (Tiger Lane, Southern Heritage Classic, AutoZone Liberty Bowl) and worse (about 2000 people at the last Memphis home football game, acres of empty parking lots, nine events a year, and nothing at the old Libertyland site) is plain to see.

Low density or high density, Loebs’ development would be a nice addition to a budding “theater district” hanging on to memories of better days in the Sixties and Seventies. I’d like to see an upscale grocery store in the mix and believe it could still happen. I question how much a relocated repertory theater company brings to the party and prime space on Cooper.

A $6 million parking garage? I don’t know about that. Can’t imagine it being free for long, if ever, and pay-to-park can be a deterrent when there are alternatives. If there are a few nights when the theaters are full and so are the bars and restaurants so parking is scarce, well, we should have more such problems.

As for the financing, I think the place in Memphis for a Tourism Development Zone (TDZ) is Graceland. That’s clearly other people’s money, and Whitehaven and Elvis Presley Boulevard, as Councilman Harold Collins says, are overdue for attention. In hindsight, Whitehaven should not have hitched its wagon to Robert Sillerman’s grandiose plans for Graceland.

The Fair Ground TDZ was tied to that specific project and it’s gone now. Getting another TDZ is easier said than done. It took Turley’s considerable reputation and political skill to get the first one.

Another funding alternative is a Tax Increment Financing (TIF) district. That captures the incremental growth in sales taxes and pours it back into project financing, but the proposed boundaries are bigger than Overton Square. I don’t think higher tax revenue from a pizza joint on Union Avenue or small business on Central necessarily has anything to do with new investment in Overton Square. And TIFs strike me as very similar to special school districts.

Finally, or foremost depending on where you live, there is flooding. I would be going ballistic if I lived in one of the flooded areas in the big flood of 2010 or in a house where sewage came up through the basement drain and flooded my living room and the city was slow-walking flood abatement. There’s a case to be made for bundling flood abatement and development of Overton Square, but there’s a better case to be made for doing what’s best for flood-afflicted residents regardless and paying for it out of general funds. Much as I wish the money could be taken away from boondoggles such as Beale Street Landing, that isn’t going to happen. So we will see what the city council does in December, and Loeb will make its decision after that.