Update on North Shore development plans (Pittsburgh: sales, refinance, transfer)

[pman]

Originally Posted by Blackbeauty212

More details....

Alco Parking president pursuing two North Shore parcels

Looks like Krass and Continential could lose out to this guy...I will admit it does seems as though Continental has been dragging its feet

yeah, I wouldn't trust the guys in charge as far as I can throw em. sure, maybe stabile is trying to shake things up because continental is trying to gain control of his assets there..but so what? such things are good for the city. continental and krass seems to be trying to act like what's good for them is what's good for the city. given the premium stabile is willing to pay, it would be criminal not to renegotiate or sell.

[LEFT]Merrill Stabile, general partner in 501 Martindale Associates and president of Alco Parking...is offering the city Stadium Authority $10 million "with no contingencies" and a guaranteed closing within 120 days to buy a 3.3-acre parcel on North Shore Drive next to Stage AE...Continental has the right under the option agreement to purchase that parcel for roughly $1 million...far below fair market value given ...Mr. Stabile also is offering to buy a 1.1-acre riverfront parcel next to the former Equitable office building for $3 million, or six times more than the $500,000 the authority says Continental is required to pay under the option agreement...[LEFT][LEFT][LEFT][LEFT]he believes the strength of the Downtown real estate market...will spill over to the North Shore and spur more office building...[LEFT]Continental... is proposing more entertainment-related development on the 3.3-acre site ...Ms. Conturo said the parties are now "considering appropriate revisions in response to the changed circumstances on the North Shore, including an extension of the next takedown date."[LEFT]... Mr. Kass and Mark Hart, the Steelers' director of planning and development, said Mr. Stabile should be talking to them about land buys since they hold the option rights to the parcels.
"In my opinion, Merrill's got a lot of nerve trying to stir up trouble," Mr. Kass said...
Mr. Stabile countered that the Stadium Authority owns the land...City Councilman Bill Peduto...said it would be in the "best interest of the public to pursue" Mr. Stabile's proposal...Mr. Kass, meanwhile, said tenants have complained about being charged anywhere from $3 to $10 to park in Alco lots. He also said Continental had to pay Mr. Stabile $1 million to get dedicated parking for the Hyatt Place hotel development.
But Mr. Stabile argued that he added a $3 rate to accommodate diners at North Shore restaurants. He said they get charged higher rates only if they dine on nights when there are games or other events on the North Shore.
As for the $1 million bill for Hyatt Place parking?"Well, you know what? He got it cheap...

Alco Parking president pursuing two North Shore parcels

of the two, Stabile's arguments make more sense. he's putting his money where his mouth is, the other group is simply trying to talk down the offer because it makes them look like they're getting a sweetheart deal..and makes them look bad for asking for another extension. it may well be stabile is frustrated with the pace of development by that group, which is probably keeping his parking rates artificially low. I think office is a better use than just restaurants...there's no reason a ten story office building couldn't have restaurant space at street level.

[BrianTH]

Seeing that he was involved in a couple hotel projects makes me think he is indeed credible.

Personally, I'd like a healthy mix of residential, retail/entertainment, and office. I've got no problem with a 10-story office tower as part of that mix.

[pman]

he makes a pretty convincing argument IMO

[LEFT]"The highest and best use for this property is more than a parking lot," Stabile said.
Continental is planning to construct three office buildings and a residential tower on undeveloped North Shore land between 2013 and 2019, according to a draft report commissioned by the authority. Those projects, combined with a plan by the Steelers to add 4,000 seats to Heinz Field, would increase the need for additional parking. But a funding source to pay for new parking wasn't identified in the report. [aka asking for another extension or more public subsidies]
The authority has too much debt, Stabile said, and the public shouldn't foot the bill for future parking needs. The $28.9 million Gen. Robinson Street garage, paid for with public subsidies, has failed to bring in enough revenue to cover costs since it opened in 2006.
"They could cut their debt in half with $10 million in cash," he said of his offer.
If the authority accepts, Stabile said his plan would be to partner with a development company to build the "signature" office tower on the lot, which could cost between $40 million and $50 million. He added that he would commit to paying for additional parking needed from his North Shore development without subsidy from the authority.
Vacancy rates in Downtown are falling, and few new "Class A" office buildings are planned. That creates an opportunity for new office space, Stabile said.

Read more: Offer to buy North Shore parking lot 10 times option on table - Pittsburgh Tribune-Review Offer to buy North Shore parking lot 10 times option on table - Pittsburgh Tribune-Review[/LEFT]

[pman]

Former mayor Sophie Masloff calls for North Shore development, or else
http://m.triblive.com/triblive/pm_18307/contentdetail.htm?contentguid=PpyGqPdG (broken link)

[BrianTH]

If nothing else, the pressure does seem to be ramping up on Continental.

[Blackbeauty212]

Originally Posted by pman

Former mayor Sophie Masloff calls for North Shore development, or else
m.TribLive.com : North Shore shake-up: The Stabile proposal (http://m.triblive.com/triblive/pm_18307/contentdetail.htm?contentguid=PpyGqPdG - broken link)

GO SOPHIE - Old Gal still has some Fire left.......

[pman]

well, mr rooney, the architecture is largely crap, and, well, you didn't have a plan until someone else pushed you into it....j

[LEFT]Steelers President Art Rooney II said this morning that the team and a Columbus developer should be ready to move forward with the next stage of development on the North Shore next year.
[LEFT]"The bottom line is that we're in the middle of a very successful development here and I don't see why anyone would want to change developers at this point. We're looking forward to taking down the next parcels. We probably will start that next year," he said....[LEFT]The price is 10 times the amount Continental is obligated to pay under an option agreement with the Steelers and Pirates signed almost a decade ago.

Read more: Rooney says more North Shore development expected next year[/LEFT]
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[BrianTH]

Here's an idea: don't let your options expire if you want to exercise them and the price looks very favorable.

[nuwaver88]

Originally Posted by Blackbeauty212

GO SOPHIE - Old Gal still has some Fire left.......

Right! Remember back in 1991, when Sophie proposed her "Field of Dreams" on property slightly to the west of where PNC Park is today. She was nearly laughed out of town. Pittsburgh would have been the first to have the new "Old Style" ballpark, rather than Camden Yards in Baltimore. It was too ambitious for Pittsburgh at the time. Jewish grandmother's know best. It's just that simple.

[pman]

Steelers push North Shore development
nobody thinks they should have to pay more. Hey i did an ok job last year so i should be guaranteed a promotion.