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Grandview Yard - News & Updates

Home Forums General Columbus Discussion Development Grandview Yard – News & Updates

Viewing 15 posts - 301 through 315 (of 795 total)
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  • #452924

    groundrules
    Participant

    futureman said:
    What does the Grandview Yard phase 3 have to do with Bank Block on Grandview Ave?

    sarcasm and hyperbole.

    #452925
    Walker Evans
    Walker Evans
    Keymaster

    groundrules said:
    You know they could have done better.

    Oh, sure. I was pretty happy with the first phase of Grandview Yard with the hotel, gym, restaurants, apartments and the multi-use parking deck in the middle. The rest of it looks like big box stores and surface lots. Bleh.

    Though I do think NRI has a pretty good track record for utilizing surface parking in the short term and filling them in with development at a later date when the time is right (see: All of the Arena District). I hope they’re planning to do the same.

    And now you’ve put me in the mood for Sbarro. Thanks. :P

    #452926

    GCrites80s
    Participant

    People get in the mood for Sbarro? It always seems to me like a place where you have to eat rather than you want to eat. Like at a truck stop in Iowa where the next city is 50 miles away.

    #452927

    wpcc88
    Participant

    GCrites80s said:
    People get in the mood for Sbarro? It always seems to me like a place where you have to eat rather than you want to eat. Like at a truck stop in Iowa where the next city is 50 miles away.

    plus one to that.. Sbarro is the most bleh thing about the last 10-15 comments haha

    #452928

    surber17
    Participant

    InnerCore – I’m looking to you for an answer to this one. Here is what I don’t understand. I’ve met with developers and have heard this every time “we build what people want, when residential is hot we build that, when commercial gets going we build that”. Ok, fine, but even a development hobbyist like myself knows the demand for both at Grandview Yard is already there. This is a really easy case of “if you build it RIGHT, you could sell it all”. You already have a neighborhood surrounding this place that is craving a great walkable community to either live in or visit, so to me you’re not really giving the people what they want even though that’s exactly what you say drives your business model. Why? To paraphrase – NRI, the demand is there, just build it right and it will sell. Also, dont tell me you are or don’t know how to — the original drawings for Grandview Yard were awesome and would sell very quickly — build that.

    #452929

    GCrites80s
    Participant

    They’re probably afraid that 1997 is going to break out again and that sprawl will be hot once more. And then they’d be stuck with something “too urban”. They might feel that doing it suburban first, then going back and infilling it to urban once it’s successful and they know the demand is there allows them to hedge their bets.

    #452930

    wpcc88
    Participant

    surber17 said:
    InnerCore – I’m looking to you for an answer to this one. Here is what I don’t understand. I’ve met with developers and have heard this every time “we build what people want, when residential is hot we build that, when commercial gets going we build that”. Ok, fine, but even a development hobbyist like myself knows the demand for both at Grandview Yard is already there. This is a really easy case of “if you build it RIGHT, you could sell it all”. You already have a neighborhood surrounding this place that is craving a great walkable community to either live in or visit, so to me you’re not really giving the people what they want even though that’s exactly what you say drives your business model. Why? To paraphrase – NRI, the demand is there, just build it right and it will sell. Also, dont tell me you are or don’t know how to — the original drawings for Grandview Yard were awesome and would sell very quickly — build that.

    You would think that would be the case but I think some of it had to do with the additional apartment complexes that popped up at the same time. Harrison West, 600, Tribeca and Lennox took away some of their potential residents IMO. This therefore setback the commercial demand that was needed because not as many apartments were able to be built as before. Just a guess but I think that has had something to do with it in a round about way.

    #452931
    Walker Evans
    Walker Evans
    Keymaster

    GCrites80s said:
    People get in the mood for Sbarro? It always seems to me like a place where you have to eat rather than you want to eat. Like at a truck stop in Iowa where the next city is 50 miles away.

    I always thought of Sbarro in the camp of “I forget what it tastes like” and then you eat it and remember and don’t want it again for a long time.

    Anyway, I had lunch at El Arepazo instead. ;)

    #452932

    wpcc88
    Participant

    GCrites80s said:
    They’re probably afraid that 1997 is going to break out again and that sprawl will be hot once more. And then they’d be stuck with something “too urban”. They might feel that doing it suburban first, then going back and infilling it to urban once it’s successful and they know the demand is there allows them to hedge their bets.

    Good point but I don’t know how you can be ‘too urban’ where you’re a stone’s throw from the urban core.

    #452933

    ricospaz
    Participant

    There may be some pressure from the city for taxable development because I’m pretty sure they were promised this a couple years back when the Yard was announced.

    #452934

    InnerCore
    Participant

    surber17 said:
    InnerCore – I’m looking to you for an answer to this one. Here is what I don’t understand. I’ve met with developers and have heard this every time “we build what people want, when residential is hot we build that, when commercial gets going we build that”. Ok, fine, but even a development hobbyist like myself knows the demand for both at Grandview Yard is already there. This is a really easy case of “if you build it RIGHT, you could sell it all”. You already have a neighborhood surrounding this place that is craving a great walkable community to either live in or visit, so to me you’re not really giving the people what they want even though that’s exactly what you say drives your business model. Why? To paraphrase – NRI, the demand is there, just build it right and it will sell. Also, dont tell me you are or don’t know how to — the original drawings for Grandview Yard were awesome and would sell very quickly — build that.

    The whole “we build what people wan’t” is BS. What they really mean is that we build what we can easily finance and sell.

    Developers aren’t building with their own money. Were smarter than that. We get what is called non recourse loans. So if the sh!t hits the fans we simply hand over the keys and walk away.

    Now let’s look at Grandview Yard. Building mixed use is a LOT more complicated from the financing aspect. Let’s say you want to build a mixed use residential and retail building. Well once it’s built for the developer to get his money at some point he has to sell or refinance. But typically someone who wants to invest in retail may not want to invest in multifamily or vice versa. And from the financing aspect lenders usually also get comfortable financing only one property type as well.

    So right now nationally multifamily lending is on fire. The home ownership rate is dropping, everyone is renting sending vacancy down and rental rates up. So lenders are comfortable lending for multifamily. But Lending for retail isn’t great right now. So let’s say you want to get lending for multifamily/retail the terms are going to be less favorable than multifamily alone.

    So from a developers standpoint to go mixed use you have to accept less favorable lending which means less profit for the developer. Then you probably have less options when you go to sell which means more risk. The trade off is that you’ll have a better product that will sell for more and be more stable in the long run.

    Now what happens is that the larger developers and lenders are willing to take smaller yields to be in core markets because they are considered more of a safe bet. So for instance developers and lenders may be fine with 4% yields in the larger coastal markets but may want 10% yields in what we called secondary and tertiary markets (i.e. Columbus, Oklahoma, etc.).

    So as a result a developer is willing to go into a deal in a core market at 50% LTV (loan to value) allowing them to do a mixed use project and still hit the lower expected yields.

    But the developer going into Columbus is expecting to get the higher yield due to the higher risk of being in a secondary market. So to hit the higher yield they can’t go in with 50% LTV and need to go in at 75% LTV. And since they can’t get financing at this rate for mixed use, the stick to the tried and true formula of single use, easy to build and easy to sell. So instead of a mixed use community you get a residential building that’s easy to finance with a single story retail building surrounded by a parking lot which is also easy to finance. The exception would be places like SN and downtown. In essence these areas are our core areas. Grandview yard is still untested. So it appears NRI would rather go the with less risk now and see how things go.

    #452935

    jbcmh81
    Participant

    futureman said:
    Land exchange will lead up to third phase of Grandview Yard
    By ALAN FROMAN

    ThisWeek Community News Wednesday June 5, 2013 2:00 PM

    Grandview Heights City Council is considering a series of ordinances that would enable Capital Wholesale Drug Co. to remain operating at its current location within the Grandview Yard development and the Yard developer to build a parking lot for Phase 3 construction.

    Council’s economic development committee reviewed and discussed the five pieces of legislation Monday night, June 3, prior to the regular council meeting. Council held second readings of the ordinances.

    Capital Wholesale and NRI have reached an agreement on a land exchange that would allow the business to remain operating at 873 Williams Ave.

    READ MORE: http://www.thisweeknews.com/content/stories/grandview/news/2013/06/04/land-exchange-will-lead-up-to-third-phase-of-grandview-yard.html

    So more surface lots? GY really shaping up.

    #452936

    jbcmh81
    Participant

    Walker said:
    Grandview was so much cooler when it had the abandoned Big Bear warehouse sitting there all unused and stuff.

    Not having an abandoned warehouse is not exactly the same as saying GY is even close to meeting its potential. I know developers can only build what the economy and area will support, but I’m also sure that half the development does not need to be surface parking and suburban layouts to be successful. I get tired of people excusing crappy development because it’s better than nothing. That’s not raising the bar, that’s lowering it as far as possible.

    #452937
    rus
    rus
    Participant

    InnerCore said:
    So it appears NRI would rather go the with less risk now and see how things go.

    So… a dense, walkable mixed use development is considered risky? Not arguing, just making sure I understand your point.

    #452938

    jbcmh81
    Participant

    wpcc88 said:
    You would think that would be the case but I think some of it had to do with the additional apartment complexes that popped up at the same time. Harrison West, 600, Tribeca and Lennox took away some of their potential residents IMO. This therefore setback the commercial demand that was needed because not as many apartments were able to be built as before. Just a guess but I think that has had something to do with it in a round about way.

    Not sure how that’s possible when many of these same new projects still have more demand than what’s available. The demand is there. The will to do better is not.

Viewing 15 posts - 301 through 315 (of 795 total)

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