VOL. 133 | NO. 108 | Wednesday, May 30, 2018
Revamped One Beale Plans Get City Board Approval
By Patrick Lantrip
Carlisle Corp.’s revamped plans for One Beale received unanimous approval from the Center City Revenue Finance Corp. on Tuesday, May 29.
The project was initially awarded a 20-year PILOT (payment-in-lieu-of-taxes) incentive by CCRFC in 2015, so Carlisle was seeking a green light to update the project's scope, get a closing deadline extension, and receive reaffirmation of a previous commitment to fund an onsite public parking garage.
Carlisle Corp. chief operating officer Chance Carlisle said his company elected to delay the project after it was able to acquire the Ellis family’s adjacent property, effectively allowing the company to double One Beale’s footprint.
Carlisle now plans on developing the project in two phases, the first of which would carry a $111 million price tag and include a 200-plus-room hotel with 20,000 square feet of ground-floor retail, a 227-unit apartment building with 10,000 square feet of office and 7,000 square feet of retail, and a parking garage with as many as 490 spaces.
Artist’s rendering of the expanded One Beale project between Front Street and Wagner Place that will be developed in two phases and could approach $225 million. (HBG Design)
“We have some pretty good ideas on how to redevelop (the Ellis property), which would push the project significantly higher, but we’re not prepared to tell the public exactly what those plans are today,” Carlisle said. “We’re still going through extensive testing to find out how much of those buildings can be incorporated into the apartments and parking.”
Meanwhile, Phase Two of the project would include 200,000 to 400,000 square feet of Class A office space on the southwest corner of Wagner and Beale Street. It will be brought before the CCRFC as a separate PILOT application at a later date.
“It’s our anticipation that the office site is going to be a pretty substantial tower,” Carlisle said. “It’s a $60 to $100 million project on its own, so when you add it to the other components, you start approaching closer to $225-ish million.”
The timing of Phase Two, Carlisle said, will correspond with the needs of a yet-to-be-determined anchor tenant.
“We have been in talks with multiple parties about who that anchor tenant is going to be, including firms outside of the city of Memphis,” he said. “It could be no sooner than six months or as long as three years.”
However, this second portion of the development would not use the same parking garage as Phase One occupants.
“We’ve reached a different accommodation with onsite parking and parking nearby with the city of Memphis and those users would not use the (Downtown Parking Authority) garage,” Carlisle said.
If everything goes as planned after One Beale’s June 5 date with the Memphis City Council regarding the closure of Wagner Place, Carlisle said the first building permits could be pulled as early as November.
After the vote Tuesday, Downtown Memphis Commission president and CEO Jennifer Oswalt expressed her support of the progress the Carlisle Corp. has made so far.
“We’ve been very encouraged by all of the work that has happened to this point,” she said.
In other action, a new six-story mixed-use building near Loflin Yard was awarded a 15-year PILOT by the CCRFC.
Developers Hamilton & Holliman are planning a new 80,000-square-foot building that would include 57 apartment units and 8,000 square feet of commercial space on a currently vacant lot located at 27 W. Carolina St.
The total cost of the project is estimated to be just under $8 million.