Categories
Opinion

Loeb Plan for Overton Square is Warmly Received

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It was a one-night presentation of “The Future of Overton Square” by Loeb Properties at Playhouse on the Square Wednesday and the crowd pretty much said “Bravo!”

Bob Loeb said his company will invest $19 million in the square and hopes the city will spend another $12 million for infrastructure, a parking garage, a water-detention facility, and a new site for the Hattiloo theater, a black repertory theater now located in a 75-seat building on Marshall near Sun Studio. The “theater district” would have four playhouses and a Malco four-screen movie theater plus new stores and restaurants.

“We are committed to doing our part regardless,” Loeb told the crowd that nearly filled the theater. Details of the plan will be on the company’s website on Thursday.

Loeb, architect Frank Ricks, Hattiloo theater founder Ekundayo Bandele, and Playhouse founder Jackie Nichols spoke for about 30 minutes.

“We’re been waiting for the next shoe to drop and it finally has,” said Nichols, who founded Playhouse in 1975.

Questions were generally friendly in contrast to the criticism that earlier plans for Overton Square ran into from preservationists and others. Loeb’s plan does not include a grocery store, but the parking garage, now three stories and 450 spots, could be a financial sticking point because the price has gone up to nearly double what the City Council approved earlier this year. Councilmen Jim Strickland and Shea Flinn urged Midtowners to show their support to the mayor and council. The crowd seemed in a welcoming mood, responding warmly to both the Midtown design overlay and the announcement of a new Five Guys hamburger joint on Union near the square. There was one question about cannibalizing downtown and Cooper-Young and other parts of Memphis. Loeb said that is possible (Paulette’s moved to HarborTown and Hattiloo will leave a vacancy on Marshall), but he hopes to create a “rising tide” that does more than redistribute business.

“We recognize that it is a lot of money in tough economic times,” Loeb said. He added that the garage and theater district will require private security because “crime will kill this thing faster than any single item.”

The plan is to create pedestrian-friendly density by adding a revitalized Overton Square to other Midtown projects including the fairgrounds, Cooper-Young, Overton Park, Broad Street, and Madison Avenue. On Union Avenue, there are plans to move the police station, which would open up another site for development. And the original developer of the French Quarter Inn next to Overton Square said he plans to spend $12 million on renovations and reopen it as a “four-star” hotel if Loeb follows through. The hotel, a one-star at best when it closed, looks like it needs at least that much.

Other eyesores to be replaced include Yosemite Sam’s and the old Chicago Pizza on Madison. Ricks said the design preserves many of the existing features including the curved building at the southwest corner of Cooper and Madison but it eliminates the “speed lane” to slow down traffic. The reopening is scheduled for 2013.

Loeb said the city can expect about $2.8 million in new tax revenue annually from sales and property taxes.
He said the mulitplier effect will be positive if the development works and negative if Overton Square continues to decline.

Categories
Opinion

Pyramid Earthquake Upgrade Would Cost $15-20 Million

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Upgrading seismic protection for the Pyramid and a Bass Pro store would cost $5.2 million initially and as much as $20 million when the work is finished.

Memphis Housing and Community Development Director Robert Lipscomb gave those numbers to members of the Memphis City Council Tuesday. He said Bass Pro executives wanted to “test the appetite” of the council before proceeding.

“I have not heard anything negative,” said council chairman Myron Lowery.

The additional seismic protections were announced several weeks ago and are not in response to the earthquake in Japan, although Lipscomb did note that Memphis and Seattle have been mentioned as earthquake risk areas in recent media reports.

The first stage would be below ground and the second stage above ground in the building itself.

Responding to a question from a council member, Lipscomb said it would cost an estimated $6-8 million to demolish The Pyramid, less the salvage. He said Bass Pro is the only serious suitor for the iconic building.

On another subject, Lipscomb gave a status report on the fairgrounds redevelopment. He said several “quick wins” would set the stage for a developer to make it “an urban village” of retail and residential and a sports venue. The quick wins include $25 million worth of upgrades to the stadium, a pair of Jumbotrons for $3 million, demolition of the Coliseum for $2.2 million, and property acquisition on Hollywood and other streets bordering the fairgrounds.

Lipscomb hopes to get approval from the council on April 5th. In his proposal, the city would be project manager and solicit proposals from developers. An advisory committee of five to seven members would be appointed by the mayor and approved by the council.

The financing method would be some combination of tax-increment financing and Tourism Development Zone funds. Both of those use revenues generated by the project as well as incremental taxes from Midtown areas. That way they can be touted as not tapping money from the city’s general fund in an election year.

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Cover Feature News

Fair Deal

Henry Turley is pumped.

Sitting in his office on the top floor of the Cotton Exchange overlooking the river, he is talking about his proposal called Fair Ground to redevelop the Mid-South Fairgrounds. He climbs out of his chair, ignores his ringing cell phone, and punctuates his comments with gestures and “damn rights!” for positive points and unprintable expletives for suggestions of skepticism.

“I think it’s the best idea I’ve had,” says the 67-year-old developer of Harbor Town, Uptown, and South Bluffs, among other projects. (Turley is also a minority stockholder in Contemporary Media, Inc., the Flyer‘s parent company.)

Fair Ground is scheduled to come before the Memphis City Council in early October. In some ways, it is Turley’s most ambitious and possibly most difficult project. The Fairgrounds comes with plenty of baggage, including an aging stadium, a defunct coliseum, and an abandoned amusement park. Fair Ground LLC, a black-and-white gang of seven that includes Turley, Robert Loeb, Archie Willis III, Mark Yates, Jason Wexler, Elliot Perry, and Arthur Gilliam Jr., wants to turn it into a combination of sports complex, renovated stadium, park, and retail center.

In a city where the majority of schools, churches, neighborhoods, parks, shopping centers, and even sporting events and concerts are predominantly black or white, Fair Ground aspires to create something so special that it will become common ground.

How to do that? In Turley’s words, make Liberty Bowl Memorial Stadium “as good a place for football as AutoZone Park is for baseball and FedExForum is for basketball” and eventually draw an additional 10,000 fans to each game; build a greenspace and grand entrance around the stadium that is “bigger and better” than the hallowed Grove at Ole Miss; add a sports complex modeled after the Salvation Army Kroc Center; and complete a “20 years of education” network of new public schools, Christian Brothers University, and the University of Memphis that is so good it pulls children away from private schools.

All of this is premised on a “clever real estate deal” engineered by Turley that would use taxes from the stadium and new retail stores and hotels to fund public improvements. It is, he says, “the closest thing to alchemy since the Middle Ages.”

Giving Turley his due — no other local developer has his downtown track record or applied to be master developer — the proposal, already 18 months old, has its skeptics.

Mayor Willie Herenton was supposed to sign a development agreement some time ago, but, as of this writing, had not done so. The mayor and his top aide Robert Lipscomb have been preoccupied with the Bass Pro Pyramid deal, the rebuilding of public housing, and now Beale Street. Those projects also rely on special tax streams.

“There are some significant sticking points over the financial terms,” Herenton said in an interview. “I need to be sure that our citizens derive the maximum benefit from this project with minimum exposure.”

Pressed as to what those sticking points are, he said, “It’s all about money.”

Banker Harold Byrd, a big University of Memphis supporter, has said that the Liberty Bowl will never be as well-received as an on-campus stadium and that “people in Knoxville or Oxford would laugh” at the idea of a stadium next to a shopping center.

Former Memphis mayor Dick Hackett, now head of the Children’s Museum of Memphis at the northeast corner of the Fairgrounds, has watched the gradual decline of the area up close. He chooses his words carefully.

“The project would have a profound impact on the environment we work in,” he said. “Retail is interesting and challenging. Whether it is a plus or minus depends on who the retailer is. That’s going to be a hard one.”

Hackett said the Children’s Museum “might as well be closed during football games, because our customers can’t get to it. If there are 11 events a year, then that’s 11 days a year you get beat up pretty bad from a customer standpoint.”

The museum more than defrays the lost business by charging $20 to park in its lot.

Turley is not deterred. When he looks at the Fairgrounds sitting idle in the geographic center of Memphis, he sees only a lot of memories and “200 acres of lost opportunity.”

The stadium and the Children’s Museum still draw crowds, but the rest of the property is demolished, abandoned, or underused. Libertyland amusement park, part of its roller coaster still standing, is closed. So is the Mid-South Coliseum, home to concerts and basketball games in Elliot Perry’s day, before giving way to The Pyramid and then FedExForum. Tim McCarver Stadium was demolished a few years ago, long after it was replaced by AutoZone Park. The annual Mid-South Fair is moving to Tunica, Mississippi, next year. Fairview Junior High School is blighted and has about 300 students. The main feature of the Fairgrounds on most days is several acres of asphalt parking lots.

Turley remembers playing and watching sports at the Fairgrounds in better days. Herenton remembers going to the segregated Mid-South Fair in the 1940s and 1950s, when it was the only opportunity he and other inner-city children had to see a cow or a pig. Two years ago, Herenton proposed replacing the stadium with a new one at a cost of up to $250 million. The proposal died, but Turley was intrigued. What if that kind of money was spent on a modest overhaul of the existing stadium and, more importantly, on the stadium’s surroundings?

“It makes no sense to pour millions of dollars into rehabilitating the football stadium while everything around it deteriorates,” he said.

Then he took another leap. What if the improvements were sports-related but for the benefit of weekend warriors and ordinary people instead of elite professional and amateur athletes? What if Memphians came together as sports participants as well as sports spectators? Could programs such as the Bridges Classic football games that bring together private and inner-city public schools and Memphis Athletic Ministries, which organizes competitive sports for inner-city children on a come-one-come-all basis, be the models for something much bigger?

“The Bridges football games, more than anything else, exemplify what we want Fair Ground to become,” said Turley, a graduate of Memphis University School and the University of Tennessee. “I go to the game, sit down on the Melrose side, and say I’m here on behalf of Fair Ground.”

He also has attended several Southern Heritage Classic games, and he once joined hundreds of angry fans who “stormed the gates” at a UT versus U of M game when an outmanned Liberty Bowl staff tried to funnel them all through one gate, making them miss most of the first quarter. When proponents of women’s roller derby inquired about using a building at the Fairgrounds, Turley quickly took up their cause and attended derby events.

He and others in the Fair Ground group have been meeting for several months with neighbors such as Sutton Mora-Hayes, executive director of the Cooper-Young Community Development Corporation.

“They really have a perspective of how we need something over there that is totally unique,” Mora-Hayes said. “Henry has been pretty open with the neighborhood about what the proposal is. Some ideas have been thrown around, like a Wal-Mart, that I don’t think will happen in a million years. As a neighborhood, we don’t want to say we are against anything on general principles because we are not developers. We have to trust on some level that if Henry is telling us 15 percent of the site is retail to make it successful, then we take that on faith.”

Cooper-Young has a strong group of small stores and restaurants and an annual festival but no park other than a small one near Peabody Elementary School. The neighborhood is racially mixed and most houses sell for less than $225,000.

“I look forward to it [Fair Ground] hosting a mix of ages, races, and sexes,” Mora-Hayes said.

Getting Memphians to come together for participant sports will be at least as hard as financing the project. While the Fairgrounds was deteriorating, suburbs were building super-sized baseball, soccer, and tennis complexes in Cordova, Germantown, Collierville, and Olive Branch, Mississippi. Within 100 miles of Memphis, there is strong competition for regional tournaments from facilities in Jackson, Tennessee, Jonesboro, Arkansas, and Oxford, Mississippi. Parents have become accustomed to hauling their children all over Shelby, Tipton, and DeSoto County for games and tournaments.

There is no multi-sports complex in Midtown, nor is there much in the way of hotels or retailers such as Wal-Mart or Target, which has several stores in the Greater Memphis area, but only one inside the Interstate loop. The rising cost of gasoline and reduced driving could favor the Fairgrounds, as would stronger showings by the University of Memphis football team, which attracts only about 25,000 fans on average to the 62,000 seat stadium.

A lack of customers has led to the closing of retail stores in Peabody Place downtown and the Walgreen’s and a lumber yard next to the Fairgrounds. The downtown elementary school next to AutoZone Park has so far failed to attract many white students. Nobody has to remind Turley. A year ago, his neighbors in South Bluffs were robbed and attacked. The gated entrance on the east side of South Bluffs, which was open previously, is now closed and requires a pass code.

Some misperceptions of the Fairgrounds seem based on opinion rather than evidence. In an interview last week, Herenton predicted that more than 75 percent of attendees at the final Mid-South Fair would be African American. The mayor, who is neither a fair-goer nor a football fan, criticized the fair’s marketing as an example of an outdated view of the world held by his old rival, former Shelby County mayor Jim Rout, now head of the fair. But on three separate Flyer visits to the fair, the crowd appeared to be, if anything, majority white. And Rout was there each time.

Meanwhile, Turley’s team has been asking neighbors and partners what he calls his “Kennedy question,” loosely taken after a phrase from President John F. Kennedy’s inaugural address: What can Fair Ground do for you and what can you do for Fair Ground?

The stakeholders include University of Memphis, Christian Brothers University, the AutoZone Liberty Bowl Classic, the Southern Heritage Classic, Memphis City Schools, and the Belt Line, Orange Mound, and Cooper-Young neighborhoods. Chickasaw Gardens and Memphis Country Club are less than a mile away.

“You can’t have an open discussion if people think you have already come to a conclusion,” Turley said. “We’re going to design this thing to try to help you realize your own dreams.”

Categories
Editorial Opinion

Fair Questions

Developer Henry Turley gave an overview of the Fairgrounds project to the Memphis Rotary Club on Tuesday. Turley (a member of the board of the parent company of this newspaper) said of his development team, “We start with questions, not answers.”

Well, here are a few of ours — questions, that is:

From Beale Street Landing to Shelby Farms, everyone seems to be talking about building places for Memphians from different places and backgrounds to “come together.” Very well, but what is the foundation for this belief in togetherness (with the exception of the Memphis Zoo and football and basketball games) at a time when so many concerts, movies, television programs, publications, shopping malls, churches, and schools appeal to niches that are more different than alike?

At least three other Midtown sites are targeted for major renovation — Overton Square, the old Sears Crosstown building, and the southeast corner of Poplar and Cleveland. How is the Fairgrounds project different and why is it entitled to tax incentives?

How would a youth sports complex compete with high school facilities and suburban mega-centers for baseball and soccer in what appears to be a glutted market?

Where is the tourism element in the plan if state funds are targeted for “Tourism Development Zones”?

If the Kroc Center and developers both want the same location, who wins?

How will the development team keep the University of Memphis from grabbing the lion’s share of tax revenues for improvements to Liberty Bowl Memorial Stadium? What happens to the Coliseum? When will a decision be made? What happens to Fairview Junior High School?

Those questions will do for starters.
Situation Normal …

All fouled up. Diversity in a community and on a governmental body is a good thing, and so is variety of opinion. But between last week’s election and the first special meeting this week of the Shelby County Commission, the cacophony of different opinions on the commission got wildly out of hand.

Faced with the necessity of revising the formula for defining five countywide officials, as Ordinance 360 was narrowly rejected by county voters last week, the 12 commissioners present found every way possible to avoid agreement.

Accord broke down over the term-limits issue. Some said the larger vote expected in November would approve either the three-term limit (for the five offices, mayor, and commissioners) rejected last week or no limits at all. Other said their constituents insisted on two terms. In the end, all the body could agree on was a referendum proposal for November saying that the offices — sheriff, trustee, assessor, county clerk, and register, all of which were former constitutional offices invalidated as such by the state Supreme Court — should be re-created under the county charter.

But even that restatement lost a vote between the time the commissioners voted as a committee of the whole and their reconvening as the commission per se.

Can Shelby County do without these offices? No. We go to press with a hope that a new commission meeting set for Wednesday morning could at least provide a referendum stating the obvious.

Categories
Cover Feature News

Football Stadium as Political Football

At his New Year’s Day prayer breakfast, Mayor Willie Herenton proposed that Memphis tear down Liberty Bowl Memorial Stadium and replace it with a new stadium at the Fairgrounds. Last Tuesday, the Memphis City Council received a consultant’s report on the feasibility of a new stadium and promptly voted to delay further discussion of it until December. Two days later, the University of Memphis announced that it would do its own feasibility study of an on-campus stadium.

Here is a “progress report” on the stadium proposal for the last nine months.

Date: January 1, 2007

Theme: “On the Wall,” the title of the mayor’s breakfast speech.

Venue: Press conference after breakfast at Memphis Cook Convention Center.

Handout: Six stapled pages of color pictures of pro and college football stadiums in Charlotte, Detroit, Nashville, Pittsburgh, Baltimore, and Louisville.

Cost estimate: $63 million (Louisville) to $300 million (Detroit).

Research/professionalism: College student hoping for a C grade.

Supporting cast: University of Memphis’ R.C. Johnson and Memphis Convention and Visitors Bureau’s Kevin Kane.

Big idea: Replace rather than refurbish the Liberty Bowl.

Reaction: Say what?

Date: February 20, 2007

Theme: “Project Nexus: Fairgrounds Master Plan and New Stadium Proposal.”

Venue: Lobby of City Hall.

Handout: Four-page press release and 40-page report.

Cost estimate: $150 million to $185 million.

Research/professionalism: Five-figure consulting job, with PowerPoint style.

Supporting cast: Various directors and mayoral staff.

Big idea: Economic development with fiscal restraint. No property taxes.

Reaction: In the Flyer, U of M booster Harold Byrd pushes for on-campus stadium.

Date: September 18, 2007

Theme: “Liberty Bowl Memorial Stadium Development Options.”

Venue: City Council committee room.

Handout: 136-page report.

Cost estimate: $21 million for renovation to $217 million for new stadium.

Research/professionalism: Six-figure consulting job, with footnotes.

Supporting cast: Chief financial officer Robert Lipscomb.

Big idea: Report covers all the bases but was “edited” before release.

Reaction: Put it away until December, two months after election.

Meanwhile, on September 15th, the Tigers defeated Jacksonville State before an estimated 28,000 fans at the 62,000-seat Liberty Bowl Stadium. Last Saturday, the Tigers traveled to Orlando to play Central Florida, which has a new on-campus 45,000-seat stadium with no public drinking fountains. Memphis lost 56-20 before a full house.

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News News Feature

Herenton’s Stadium Proposal: A Brief History

On January 1st, Mayor Willie Herenton surprised those attending his traditional New Year’s Day prayer breakfast by proposing that Memphians consider tearing down Liberty Bowl Memorial Stadium and replacing it with a new stadium at the Fairgrounds.

On Tuesday, the Memphis City Council received a consultant’s report on the feasibility of a new stadium and promptly voted to delay further discussion of it until December.
Here is a “progress report” on the stadium proposal for the last nine months.

January 1, 2007

Theme: “On the Wall,” the title of the mayor’s breakfast speech.

Venue: Press conference after breakfast at Memphis Cook Convention Center.

Handout. Six stapled-together pages of color pictures of pro and college football stadiums in Charlotte, Detroit, Nashville, Pittsburgh, Baltimore and Louisville.

Cost estimate: $63 million (Louisville) to $300 million (Detroit)

Research/Professionalism: College student hoping for a C grade.

Supporting cast: UM’s R. C. Johnson and CVB’s Kevin Kane.

Big idea: Replace rather than refurbish the Liberty Bowl.

Reaction: Say what?

February 20, 2007

Theme: “Project Nexus: Fairgrounds master plan and new stadium proposal.”

Venue: Lobby of City Hall

Handout: Four-page press release and 40-page plastic-covered report.

Cost estimate: $150 million to $185 million.

Research/Professionalism: Five-figure consulting job, Power-Point style.

Supporting cast: Various directors and mayoral staff.

Big idea: Economic development with fiscal restraint. No property taxes.

Reaction: Harold Byrd and other UM boosters push for on-campus stadium.

September 18, 2007

Theme: “Liberty Bowl Memorial Stadium Development Options.”

Venue: City Council committee room.

Handout: 136-page report.

Cost estimate: $21 million for renovation to $217 million for new stadium.

Research/Professionalism: Six-figure consulting job, with footnotes.

Supporting cast: Chief Financial Officer Robert Lipscomb.

Big idea: Report covers all the bases, but was “edited” before release.

Reaction: Put it away until December, two months after election.

Meanwhile, the University of Memphis Tigers defeated Jacksonville State Saturday before an estimated 28,000 fans at the 62,000-seat stadium.