CA: Developers re-sequencing plans for Midtown mixed-use project
Developers are having to plan a new sequence of the steps it will take to build a $43 million project of apartments, retail and parking structures on the block of Union between McLean and Idlewild.
The change — to accommodate Methodist Healthcare clinics now housed in some of the buildings to be demolished — is one reason why work has not started on the project, Ron Belz said.
Belz Enterprises is a partner with Georgia-based Harbour Retail Partners in plans to transform the block.
Harbour Retail purchased in March for $2.12 million the vacant and dilapidated office building and hotel on the southwest corner of Union and McLean, and Belz Enterprises already owns the adjacent health care buildings at Union and Idlewild.
“It’s complicated because Methodist Hospitals has the diagnostic clinics there and I’m a big supporter of Methodist,’’ Belz said.
“That clinic can’t move out of there until the new hospital stuff is finished,’’ he said. “So we’re trying to re-sequence our work so that it doesn’t disturb Methodist.’’
A few more months may pass before the public sees work on the project, Belz said.
Meanwhile, Methodist Healthcare is working to find a new home for the clinics.
“We have not been notified as to when construction will begin on the building that houses our Methodist Minor Medical Center-Midtown and Margaret West Comprehensive Breast Center-Midtown,” Gene Cashman, vice president and chief executive of the system’s Affiliated Services, said in a written response to questions from The Commercial Appeal.
“We are developing a plan to find another location, so we can continue to provide these much needed medical services to families and employees living in and around Midtown Memphis,’’ Cashman said.
Harbour Retail and Belz Enterprizes plan to build 188 apartments, 513 parking spaces and up to 41,000 square feet of retail. The property totals 3.2 acres.
The Center City Revenue Finance Corp. will provide property tax cuts for the development expected to rejuvenate a prime corner in the heart of Midtown. Those tax breaks will total $10.5 million over 15 years.
The Downtown Memphis Commission staff has calculated that, even with the tax cuts, the project will create and additional $1.7 million in local tax revenue over the 15 years.