NOTEBOOK: A business wants to stay downtown, but there are ‘issues’
KENT DARR Sep 19, 2018 | 9:06 pm
2 min read time
443 wordsBusiness Record Insider, Real Estate and Development, Retail and Business, The Insider NotebookSherwin Williams paint company is in the unenviable position of being stuck between the past and visions of the future for an area undergoing rejuvenation south of Martin Luther King Jr. Parkway at Southwest Fifth Street.
One of these days, Sherwin Williams Commercial Paint is going to have to move out of its downtown location at 515 16th St., just north of the Krause Gateway Center, the soon to open headquarters of Kum & Go. A Kum & Go entity also owns the Sherwin Williams property, and it is no secret nor a surprise that Kum & Go CEO Kyle Krause would like his new neighborhood to redevelop in a fashion he sees fit.
Sherwin Williams has been on the hunt for new space and has made an offer for the longtime home of Crescent Electric at 313 S.W. Fifth St.
NAI Iowa Realty Commercial’s Kevin Crowley is representing Crescent Electric. He said the deal has “issues.”
For one thing, some of the new neighbors aren’t happy. They would like to see the Crescent Electric warehouse renovated into housing or another use that fits the area. Davis Sanders and Kent Mauck carried out a successful historic renovation of Harbach Lofts, just across Southwest Fifth from Crescent Electric, and managed to add the chic St. Kilda restaurant to boot. Many years ago, Nelson Construction and Development renovated another industrial building to create A.P. Lofts. Craig Fritzjunker is on a one-man mission to renovate another warehouse just south of Crescent Electric.
The Crescent Electric site has drawn lots of attention from developers. Opus Group had its sights on the property, as did Ryan Cos. US Inc. and Rich Eychaner, who redeveloped a foundry and brewery into the successful 300 MLK project. Sanders and Mauck also have shown interest.
As things stand, Sherwin Williams can move into the property under its grandfathered use and make no changes in the structure. Maybe in a few years it could do an upgrade, but it would be under no obligation. That troubles many people from City Hall to the development community.
“The addition of Sherwin Williams delivery trucks and contractors’ vehicles will probably slow down additional reinvestment in the area and locks up a piece of valuable development land for many years to come,” Mauck said. “It’s not good for the neighborhood or the city’s tax base.”
Mauck and Sanders had the Crescent Electric property under contract.
“We ultimately determined the cost structure required for our concept would have been difficult to achieve and we let the contract expire,” Mauck said.
While Crescent Electric is building new digs in Urbandale, Sherwin Williams just wants a place to call home.