Downtown Memphis News & Developments (CBD, South Main, Riverfront, Medical District, The Edge, Uptown)

[MDC26]

6 hours ago, The Guardian of Memphis said:

Now that's what I'm talking about!

They should at least paint it and do some kind of maintenance on the building, but hopefully it'll get done like Crosstown with the vertical village concept. There's no telling how much it will cost to paint, get rid of the asbestos, raise the ceiling heights and convert the rooms into whatever. The historic credits won't put enough dent into the cost.  I was thinking since the DMC wants to kick MLGW out of their mid-century building on Main, they could possibly move into the Sterick or build something new on Civic Plaza.

Per the DMC's Master Plan:

So if Townhouse bought it, why haven't they mentioned it in their plans or commit to phases? Like 100 N. Main could be phase 1, and Jefferson Plaza could be phase 2? I hope they don't build low in this location.  At least a new structure could be the height of the Exchange Building of the Goodwyn.

Wow, never saw that before. Well, glad it fell through. It's too low.  

Townhouse is out of the picture. They sold off Jefferson plaza to the Texas group, and the whole block 100 N Main is on to the city of Memphis. 

[VSRJ]

I've always thought MLGW's building looks so out of place with all its green space (which I'm in favor of - but not there) and how set back/closed off the building is. I'd love to see this materialize.

[The Guardian of Memphis]

45 minutes ago, VSRJ said:

I've always thought MLGW's building looks so out of place with all its green space (which I'm in favor of - but not there) and how set back/closed off the building is. I'd love to see this materialize.

Yeah me too. It's good the DMC recognized this and didn't think it would be in the best interest for downtown as a whole. Even though I'd like to see this structure go, I don't mind the variation of architectural styles downtown has. MLGW belongs at Civic Plaza with the rest of the governmental institutions.  I'm also in favor of Beale Street seeing more activity during the day rather than on weekends. I think that's in the DMC's plan too.

[East Side Urbanite]

Any updates on the Sterick Building (one of my faves in this state) are appreciated. A poster previously noted we might hear some news by year's end.

[Memphis4ever]

Here are photos of the new St Jude Domino's Village. It's very impressive in glad they used a pinkish brick vs E.I.F.S.

 

[Memphis4ever]

Vance apartments there is foundation work finally.  

Mobility center photos

[VSRJ]

I'm sure Loews backing out influenced this.

Downtown Sheraton proposes $226M in renovations, construction of new tower

https://www.bizjournals.com/memphis/news/2022/09/07/sheraton-memphis-downtown-expansion-renovation.html

 

Quote

The Bluff City’s largest hotel is gearing up for a massive, multimillion-dollar project to complement the $200 million in renovations that have recently been invested in the Renasant Convention Center.

The 590-room Sheraton Memphis Downtown has proposed $123 million in upgrades and a possible $103 million new tower, according to an incentive application with the Center City Revenue Finance Corp. (CCRFC), an affiliate board of the Downtown Memphis Commission (DMC).

First, Hotel Memphis LP proposes to spend $86 million in renovations for the existing facility at 250 N. Main St. The original building dates to 1985, and a 207-room tower was added in 2004. That property would receive capital investments in real property and tangible personal property to match the upgraded Renasant Convention Center, the application said. Second, the owner also intends to spend an additional $37 million in "refreshes" over 30 years, targeted at improvements in guest rooms and other public spaces.

Last, and largest, the owners are proposing a $103 million expansion next to the existing property — "likely" in the form of a second tower, the application said.

If all three elements of the proposal came to fruition, the renovations and expansion would represent an estimated $226 million in capital expenditures.

Starwood and Schulte are behind the deal

Hotel Memphis LP is a joint venture between Starwood Capital Group and Schulte Hospitality Group. The partners bought the Sheraton in 2017. The incentive application said Atlanta-based Davidson Hospitality Group took over management of the property in December 2021.

The application states that Hotel Memphis wants to enhance its presence on the corner of Exchange and Main Street in Downtown Memphis. The company earns a large portion of its revenue from business associated with events happening at the adjacent Renasant Convention Center, which it is connected to by skywalk. The owners want to be the "living room" of the Renasant Convention Center, "with defined social gather spaces and amenities."

Miami-based private investment firm Starwood has invested in more than $195 billion in assets since 1991. The company has more than 4,000 employees. Louisville-based Schulte Hospitality is a hotel management and development company that currently oversees more than 150 hotels in 31 states, including properties branded by Hilton, IHG, and Marriott.

The Sheraton currently supports 253 permanent jobs and $12.1 million in total wages, according to the application. The facility features more than 16,000 square feet of meeting space in addition to the guest rooms.

Incentives requested for the Sheraton project

The developers are requesting two types of incentives: a Tourism Surcharge and a 30-year PILOT (payment-in-lieu-of-taxes). The Sheraton is within the Downtown Tourism Development Zone (TDZ) and is eligible for a Tourism Surcharge because it's a qualified public use facility (QPUF) as a full-service hotel with 250-plus rooms, the application said.

The CCRFC and City of Memphis would need to approve the Sheraton project as a QPUF. The Sheraton is asking for a 5% Tourism Surcharge to be applied to the sale of all qualified goods and services — including room, food and beverage, and occupancy revenue — within the hotel for 30 years, and that those revenues finance the project's costs.

Only counting the renovation, the Sheraton owners estimate the Tourism Surcharge would generate an average of $2.8 million, for $93 million over 30 years; adding in an expansion on top of the renovation, the developers estimate generating $4.2 million annually, for $127 million over the 30 years.

The big caveat for the project, as referenced multiple times in the application: The renovations and expansion are contingent upon receiving incentives, but also will be "driven ultimately by then-existing market conditions," such as the Renasant Convention Center's future booking pace, RevPAR (revenue per available room) for the Downtown hotel market, an increase in corporate demand from more commercial development, air travel in and out of Memphis, and City-approved revitalization efforts.

Timeline for Sheraton project

The application includes this timeline, presuming approvals are granted.

• Q4 2022: Closing of the loan or other financing
• Q4 2022: First expenditure of funds for project
• Q1 2023: Renovations begin
• 18 months later: Renovations completed
• 2024: Expansion might begin, if market conditions support project
• 20–22 months later: Expansion completed

The proposal has been approved by the DMC staff, and it is scheduled to be heard by the CCRFC on Tuesday, Sept. 13.

 

Edited September 7, 2022 by VSRJ

[MDC26]

51 minutes ago, VSRJ said:

I'm sure Loews backing out influenced this.

Downtown Sheraton proposes $226M in renovations, construction of new tower

https://www.bizjournals.com/memphis/news/2022/09/07/sheraton-memphis-downtown-expansion-renovation.html

 

 

Sounds good, I just hope they don't plan on taking over any of the park.  They could just build on the current parking lot with a several story parking garage to give them more parking, and put the tower on top of that. 

[The Guardian of Memphis]

3 hours ago, MDC26 said:

Sounds good, I just hope they don't plan on taking over any of the park.  They could just build on the current parking lot with a several story parking garage to give them more parking, and put the tower on top of that. 

Agreed. This is great news. I'm glad they're making the hotel look a little better on the outside. I never liked the extension next to the current tower - it doesn't blend. I wish they could build the tower in waiting taller and tear down the current ones, but I hope they make everything look seamless with the new one they're going to build. Hopefully one day the Federal Reserve will move so development can take place on Exchange Ave.

[Memphisborn]

8 hours ago, VSRJ said:

I'm sure Loews backing out influenced this.

Downtown Sheraton proposes $226M in renovations, construction of new tower

https://www.bizjournals.com/memphis/news/2022/09/07/sheraton-memphis-downtown-expansion-renovation.html

 

 

This is just what the doctor ordered along with the news that Grand Hyatt is moving forward.  Sheraton has stepped into the game with this proposal it would be a welcomed long overdue renovation. Memphis Rising. Now let’s get 100 N main construction started. Memphis rising 

[East Side Urbanite]

The Sheraton project would be strong for downtown Memphis. I stayed in that hotel years ago. It was fine.

[Memphisborn]

9 hours ago, East Side Urbanite said:

The Sheraton project would be strong for downtown Memphis. I stayed in that hotel years ago. It was fine.

Yes glad to see this project happening a total renovation exterior and interior. 

[MDC26]

2 Chainz' restaurant, Esco, will be opening at one of the store fronts in the Westin parking garage that has been empty forever.

https://dailymemphian.com/section/neighborhoods/article/30899/rapper-2chainz-opening-memphis-esco-restaurant

https://www.instagram.com/p/CiDeAnNvHpb/

[The Guardian of Memphis]

On 9/7/2022 at 9:00 PM, Memphisborn said:

This is just what the doctor ordered along with the news that Grand Hyatt is moving forward.  Sheraton has stepped into the game with this proposal it would be a welcomed long overdue renovation. Memphis Rising. Now let’s get 100 N main construction started. Memphis rising 

Yes indeed!

4 hours ago, MDC26 said:

2 Chainz' restaurant, Esco, will be opening at one of the store fronts in the Westin parking garage that has been empty forever.

https://dailymemphian.com/section/neighborhoods/article/30899/rapper-2chainz-opening-memphis-esco-restaurant

https://www.instagram.com/p/CiDeAnNvHpb/

Per the article: “It’s pretty much like a restaurant during the day and it has a lounge vibe at night,”

Good. Would like to see Beale St. this way too so there will be more traffic during the day as well as weekday nights. There could be this kind of set up already somewhat on Beale, please correct me if I am wrong.

[MDC26]

3 hours ago, The Guardian of Memphis said:

Yes indeed!

Per the article: “It’s pretty much like a restaurant during the day and it has a lounge vibe at night,”

Good. Would like to see Beale St. this way too so there will be more traffic during the day as well as weekday nights. There could be this kind of set up already somewhat on Beale, please correct me if I am wrong.

Blues City Cafe, BB King’s, Pig on Beale, Rum Boogie, Silky’s, Dyer’s, Alfred’s, and Jerry Lee Lewis’ are all open daily for lunch. Probably a few others too. 

[MDC26]

Dixie Greyhound Complex has been approved. Will have 68 apartments, 39k sqft commercial, and 15 artist studios and self storage in a new 5-story building. Looks like construction will start next month and is supposed to be open end of 2023. 
 

Also, a 3-building mixed use development on Crump with 29 residential units was approved.  
 

https://dailymemphian.com/section/business/article/30919/memphis-center-city-revenue-finance-corp-greyhound-complex-crump-boulevard

[VSRJ]

New Memphis will relocate to the former Emerge Memphis building: 

Quote

New Memphis is happy to announce that after more than 20 years headquartered in the Falls Building on Front Street, on October 1 the organization will re-emerge at 516 Tennessee Street. The former Emerge building will be newly branded as the “New Memphis building” and will include exterior signage reflecting this momentous occasion.

We're thrilled to continue serving #Memphis as we begin a new chapter in a new location.

 

 

Edited September 14, 2022 by VSRJ

[The Guardian of Memphis]

On 9/14/2022 at 1:49 PM, VSRJ said:

New Memphis will relocate to the former Emerge Memphis building: 

 

 

Ah the good ole days. MPact Memphis used to have functions either in the emerge building or across from it. MPact was a great organization. It did a lot in promoting the city to the 20-30 age group back in the day. I miss it. 

[VSRJ]

This will be some nice infill, unfortunately right next to a brand new gas station on the corner...

Downtown development: New infill apartment complex planned along E.H. Crump Boulevard

https://www.commercialappeal.com/story/money/business/development/2022/09/13/memphis-development-new-apartments-planned-e-h-crump-blvd/10365245002/

Quote

A local developer is planning to build an apartment complex at 34 E.H. Crump Blvd., bringing new market-rate housing to an area that has seen little development in recent years. 

Plans call for three, three-story buildings which will house 29 apartment units, two live-work units and 2,700 square feet of ground floor commercial space. The total project cost is estimated at $5.6 million. 

Developer James Little is the lead on the project. The design lead is cnct.  design. 

A Downtown Memphis Commission body approved a 10-year payment-in-lieu-of-tax incentive for the project Tuesday. 

"We really look forward to bringing new development to Crump, which has been primarily underserved," Little said. "We hope that this will activate, to spur new development throughout the corridor."

Edited September 16, 2022 by VSRJ

[MDC26]

New owners plan to restore Hotel Pontotoc to its former glory by converting it into a restaurant (basement/1st floor) and 10 apartments ($2 million reno.) 

Glad to hear this.  I've been hoping someone would do something with it and not let it get even worse.  Work starting this fall and will be completed by end of 2023 or beginning of 2024.  Original sign will remain, and will be restored.  Front stairs will be torn out and redone in an oval format. 

https://dailymemphian.com/subscriber/article/30996/downtown-memphis-historic-hotel-pontotoc-redevelopment

[Memphisborn]

4 hours ago, MDC26 said:

New owners plan to restore Hotel Pontotoc to its former glory by converting it into a restaurant (basement/1st floor) and 10 apartments ($2 million reno.) 

Glad to hear this.  I've been hoping someone would do something with it and not let it get even worse.  Work starting this fall and will be completed by end of 2023 or beginning of 2024.  Original sign will remain, and will be restored.  Front stairs will be torn out and redone in an oval format. 

https://dailymemphian.com/subscriber/article/30996/downtown-memphis-historic-hotel-pontotoc-redevelopment

Glad this is happening. 

[MDC26]

https://www.commercialappeal.com/story/money/business/development/2022/09/19/downtown-memphis-first-section-of-tom-lee-park-renovations-complete/69494219007/

Cutbank Bluff is completed.  Article also mentions that federal funding was secured to build a boardwalk out over the river, something that wasn't part of the original plan.  

[VSRJ]

Great news! I can't wait to go down there and see it all in person once it's complete.

[MDC26]

57 minutes ago, VSRJ said:

Great news! I can't wait to go down there and see it all in person once it's complete.

I would like to see a redesign of Robert Church park too.  I think its pretty terrible.  Not very inviting at all.  Needs a lot more trees, walkways, and landscaping.  There's a low/depressed area on the south side of it that could be turned into a pond/fountain. 

[The Guardian of Memphis]

31 minutes ago, MDC26 said:

I would like to see a redesign of Robert Church park too.  I think its pretty terrible.  Not very inviting at all.  Needs a lot more trees, walkways, and landscaping.  There's a low/depressed area on the south side of it that could be turned into a pond/fountain. 

Very true.  Should be a better representation for one of the most legendary  Memphians. Especially for all he did for the community. Kind of in a not so good location too. It would be nice if it was in another spot. Don’t know where. It’s located in a good area for development. 

Edited September 20, 2022 by The Guardian of Memphis