KANNAPOLIS, NC (WBTV) - The Kannapolis City Council has taken the first step towards approving a plan for an investment of approximately $300 million in the downtown revitalization project.
On Monday night unanimously approve a Memorandum of Understanding with Corporate Realty, Inc. The firm has said they would like to invest approximately $300 million in new construction and redevelopment of properties in downtown Kannapolis.
According to a press release from the City of Kannapolis, the purpose of the non-binding MOU is to begin the process of a formal partnership with Corporate Realty and the first step in the development of the properties.
Over the next several months, the City and Corporate Realty will work to complete due diligence, create a Development Plan and negotiate a Master Development Agreement which will establish more details regarding the sale of property, design, finance, construction, ownership and operations of the first proposed project..
Corporate Realty, Inc., based in Birmingham, Alabama, has proposed four development projects that would bring residential units, retail and restaurant, corporate offices and more to the downtown. Corporate Realty has experience in developing office, corporate, medical, retail and multifamily properties in the southeastern United States.
The first project would involve the block of properties and buildings on West Avenue which will be adjacent to the Sports and Entertainment Venue. Corporate Realty is proposing a mixed use development for this site.
"The first project right out of the ground is a mixed-use project, multi-family, 280 units," City Manager Mike Legg told WBTV.
The second project would include the block of buildings adjacent to and south of the historic Gem Theatre. The City would retain ownership and preserve the Gem Theatre. Other buildings in this block would be redeveloped as historic creative office space, retail and restaurants, parking and more as well as some new construction.
The third project proposed is an active senior residential community on a portion of the property which used to be Plant 4, at Vance Avenue, between West Avenue and Dale Earnhardt Boulevard.
The fourth project proposed is a corporate headquarters office building on privately owned property adjacent to the Sports and Entertainment Venue.
This would be a significant step in the success of the Downtown Revitalization Project," according to the release.
Construction is underway on the first phase, infrastructure improvements and a linear park streetscape expected to be completed in early 2019. Construction of the Sports and Entertainment Venue will begin later this year.
This would be the second "major economic development project" by a private investor in the Kannapolis Downtown Revitalization Project. The first private investment, the Demonstration Project, also known as VIDA, a multifamily residential and retail project by Florida based Lansing Melbourne Group, is slated to begin construction in the next few months. The Lansing Melbourne Group will invest $60 million in VIDA which will be located on West Avenue between Vance Avenue and West B Street.
"That has always been the game plan; make public investment, attract private investment, it's just happening a lot quicker than we thought," Legg added.