Red Bank location attracts more tenants

Friday, August 15, 2008
Business Courier of Cincinnati - by Jon Newberry Staff Reporter

Two mixed-use office and retail developments along the busy Red Bank Road corridor have picked up key occupants in recent months. Reisenfeld & Associates, a law firm currently located on Reading Road just north of downtown Cincinnati, is building a two-story, 38,000-square-foot building at Miller-Valentine Group’s Red Bank Village in Fairfax.

It will be the second office building at the site and is expected to be completed by the end of the year. The first office building at the complex, adjacent to Reisenfeld’s, was recently completed.

Reisenfeld has tripled in size over the past three years and also acquired the Sojourners Title agency. The agency will also be relocating to Red Bank Village. Brad Reisenfeld said the firm will own the building and conducted an employee survey before settling on the site.

“It’s the perfect location for us. It’s a very central location and an up-and-coming area,” he said, citing easy highway access and a desire to work with Miller-Valentine as key factors.

The office buildings are part of a larger project anchored by a proposed Wal-Mart Supercenter that’s being developed by Regency Centers Corp. The Wal-Mart was announced in 2006, but its opening was pushed back to 2009. Construction likewise has yet to get under way on a planned 30,000-square-foot retail strip center and on three available retail outlots along Red Bank Road.
Red Bank Village is at the southern end of Red Bank, about nine miles from downtown via Columbia Parkway.

Neyer Properties also has been adding buildings and tenants at Red Bank Crossing. A Goddard School day-care center recently opened in a single-story, 10,000-square-foot building that lies to the south of a two-story, 30,000-square-foot office building that’s just been completed. The first, 40,000-square-foot office building on the site was completed a couple years ago and is fully leased to medical and health-related tenants.

Jeff Chamot, project manager for Neyer, said the newest office building is a LEED-certified “green” building and, as such, affords tenants a 100 percent tax abatement for 12 years from the city of Cincinnati.

The environmental design also reduces utility costs by about 20 percent, he said, and studies indicate that people who work in green buildings are more productive, use fewer sick days and are happier at their jobs.

All the monetary benefits flow directly to the tenants since they’re responsible for property taxes and operating expenses, Chamot said.

Tenants have been attracted to the project because of the location and the 30,000 cars a day that use the Red Bank Expressway, he said. Red Bank runs between Wooster Pike/Columbia Parkway on the south end, to Interstate 71 on the north, with major intersections at Erie and Madison Road in between.

“I’ve always thought of it as the East-North connector,” Chamot said.

Red Bank Ready
Projects: Red Bank Village, Red Bank Crossing
Costs: More than $15 million
Developers: Red Bank Village Office LLC, Neyer Properties
CMs: MV Construction, NPI and Reece-Campbell
Architects: McGill Smith Punshon, PSA

$250 Million Developement Planned for Liberty Township

More than $250 million in retail, restaurants, apartments, hotels and offices are planned for a 110-acre plot of land just west of Interstate 75 in Liberty Township.

Liberty Township-based developer George Flynn, Bob Hutsenpiller of Hutsenpiller Contractors Inc. and Brian Brockhoff of Bailey Capital Partners have spent the last three years quietly acquiring 22 parcels along Hamilton-Mason Road. Earlier this year, they brought in Miller-Valentine Group to assist with development and land acquisition and Columbus-based Steiner & Associates as lead developer of the project. The team plans to build more than 2 million square feet of development there over time.

The first phase, which could begin as early as 2009, includes 250,000 square feet of office space, an upscale theater, two hotels, restaurants, three department stores, additional retail and about 200 apartments - 1.2 million square feet of total development costing about $200 million.

"We're essentially building a community gathering space," said Mike Duffey, a Steiner spokesman. "It will become a hub for the entire community."

Liberty Township, located almost halfway between Dayton and Cincinnati, has spent the last few years preparing itself to handle the rush of developers seeking land positions in its boundaries. As the West Chester corridor has become saturated with offices and retail, it became evident to Liberty officials that the rural bedroom community would be next.

"Development is going to happen. We thought, 'What can we do to control it?'" said Dina Minneci, township administrator.

To prepare for even more population growth, expected to top 60,000 over the next 20 years from 35,000 today, the township created a master plan and four overlay districts that focused on commercial development for 18 percent of Liberty's total land area.

"The criteria we have is it has to be a sustainable, long-term commitment with a 30-40 year life cycle," said Pat Hiltman, president of Liberty Township trustees. "If we're going to bring retail in, it needs to be the crown jewel of Butler County and Southwest Ohio."

Steiner & Associates Inc. is best known for its mixed-use development of Easton Town Center in Columbus, a 90-acre project. It recently built the 72-acre mixed-use development in Dayton, called The Greene, and is known locally for Newport on the Levee, a late 1990s project.

Miller-Valentine Group became a financial and development partner to help with land
acquisition and development. The firm's local expertise in health-care office, hotel and residential development would be an asset for parts of the project.

"We're out of land at University Pointe and it's been a big success. This will be the office location in the northern market," said Brian Copfer, Miller-Valentine's vice president of development services.

The developers submitted plans to Liberty Township Tuesday, requesting a zoning change to planned unit development. Pending approval, plans will go before the Butler County Planning Commission in June and to Liberty Township trustees in late July.

Housing Project on Tap Near UC

MetLife Inc. and Trammel Crow Co. are planning a $24 million apartment project on Jefferson Avenue near the Cincinnati Zoo, with up to 140 units and a mix of amenities aimed at attracting graduate students and hospital workers.

"With the university shutting down a couple of their grad-style dormitory buildings, we hope to build something that will be attractive to that clientele," said Richard Dickason, a vice president in Trammell Crow's student-housing practice based in Boston. "We're looking to start construction first part of next year and be ready for a fall 2010 opening."

Dubbed The Stratum on Jefferson, monthly rent will range from $800 for studio apartments to $1,500 for two-bedroom units. Amenities will include a fitness center, media rooms, business center and a parking space for every bedroom. Under a venture with insurer MetLife, Trammell Crow has opened similar projects near Drexel University in Philadelphia and the University of Memphis.

Enrollment boosts rates

Trammell Crow recently signed a purchase contract for a site owned by the Uptown Crossings Community Urban Redevelopment Corp., a nonprofit that bought the property from the zoo in 2005. The group has worked with UC and local hospitals to attract various projects, including a failed bid to land a $70 million National Institute of Occupational Safety and Health research lab.

But Monica Rimai, UC's senior vice president for administration and finance, said rising enrollment is having a positive impact on rental rates near campus. That could help the new project in the long run.

"This is a tough market. We have to be patient," she said.

UC is stimulating new demand for off-campus housing by closing two dorms for renovation this summer. Todd Duncan, UC's director of housing and food services, said the $10 million renovation will convert two buildings now used primarily by grad students to one that houses younger students. The buildings, near the corner of Jefferson Avenue and Martin Luther King Boulevard, are known affectionately on campus as the "ugly sisters." After the renovation, the buildings will employ a "twin bed approach" for up to 900 students.

UC enrollment is expected to reach a 17-year high this fall of 37,300 students. Duncan said its 3,200 on-campus beds were 95 percent full this year.

City West Development has revolutionized the West End

The largest housing project in Cincinnati since World War II is on the cusp of completion.
City West, which includes 686 rental units, 211 for-sale homes, 20,000 square feet of retail space and a park on 14 acres of land, has transformed the blighted, low-income area of the West End into a mixed-income development that is breathing new life into the region.

"We have put a mark on the city of Cincinnati map," said Dale White, president/CEO of D.A.G. Construction Co. Inc., the general contractor for the project. "Crime has gone down a lot, more people are moving into that area and new houses are being sold."

Construction started on the project in 1999, with the award of $66 million in grants under the federal Department of Housing and Urban Development's Hope VI program.

"Blight, litter and crime are significantly better," said Pete Witte, a board member of the Cincinnati Metropolitan Housing Authority, which owns City West. "We scraped the earth and built all-new."

Before the City West development, the area it sits on was home to 1,800 units of public housing. The units, built in the 1940s, were outdated, with small rooms, common hallways and interior courtyards. Former Cincinnati City Council member Jim Tarbell said the tenants of those homes were economically mixed when they were built, but it devolved into mostly non-working, welfare-dependent tenants over the years.

Changed atmosphere

"City West is the most dramatic example where we are making an attempt to correct the planning mistakes we made in World War II," Tarbell said. "We're trying to compensate for those mistakes, and it's critical because of what it is, where it is and how much money was spent."

Gone are the small, cramped units, replaced with townhomes complete with separate entrances and garages accessible by a private access alleyway.

The atmosphere is changing.

"There is now a park, Laurel Park," said Lindsay Wilhelm, marketing director for D.A.G. "It was used for buying, selling and using drugs. Now it is a park where kids go out and play."

White said there is a mix of low,- middle- and high-income residents living in the development.
"The yuppies have moved in," he said. "The houses are selling at around $175,000. That's unheard of in the West End."

Tarbell said the biggest challenge facing City West is filling the retail space and having enough people living in the area to support it.

"It's drastically better than it was, but is it as good as everybody had hoped? Not yet," Tarbell said.

In the Oct. 19 issue of the Business Courier, Lou Mitch, the top local official for City West developer The Community Builders, said it was better than 90 percent occupied.

Witte said the commercial side hasn't been going as well as planned. "Once it all comes together and we fill the commercial space, it will create a good neighborhood for the city of Cincinnati," he said.

Lifestyles
• Construction on City West began in 1999 with $66 million in grants.

• Crime was a major neighborhood concern. In 1999, police got 13,559 calls. There were 932 Part 1 crimes, such as murder, rape, aggravated assault, auto theft and larceny.

• In 2007, there were 10,952 calls to Cincinnati police and only 657 Part 1 crimes, a drop of 20 percent and 30 percent, respectively.

• Commercial space houses a PNC Bank and plans call for an ice cream parlor and small grocery store.

• City West reduced the community's density to 897 housing units, down from 1,800.

Keystone Parke - New Development at the Dana Exit off I-71

As the first building in the $100 million Keystone Parke project conspicuously rises at Dana Avenue and Interstate 71, its developers hope the campus takes root at another intersection, this one theoretical: where classical and urban design meet the forward-thinking and eco-friendly approach of the Leadership in Environmental and Energy Design rating program.

"Neyer (Properties Inc.) wanted to tap into the urban Cincinnati market, and we tried to contemporize that urban setting with a campus feel," said Jason Williams, principal with PDT Architecture/Planning/Interior Design, which designed Keystone Parke. Equally important, he said, is that Neyer is seeking Silver LEED certification for all the campus buildings from the U.S. Green Building Council. Such recognition requires that buildings earn points in categories from energy and water efficiency, to sustainable construction, and use of materials and resources.

The project's master plan includes three buildings with a total 465,000 square feet of Class A offices, a four-story public parking structure and space for a restaurant and retailers. A fourth building, where the Cincinnati Area Chapter of the American Red Cross has said it will establish its headquarters, is also in the planning stages.

The entire Keystone campus is in the city of Cincinnati. It's being sold as a perfect spot for companies that don't want to leave the city yet aren't interested in being in the downtown area.

"The highway visibility and convenience to downtown is extremely important," said Bill Schneller, vice president at CB Richard Ellis, the leasing company.

The first building will house Neyer's headquarters. The four-story, 65,000-square-foot structure is the smallest on site and is street-level and approachable.

"We opened up the building so there was a connection to the park and the center courtyard in order to encourage people to get out and mingle," Williams said.

The designer "took clues" from the classical architecture of downtown, he added. The windows serve not only to make the building appear modern but also to provide natural light.
Future phases will rise higher, with the second building at seven stories, 160,000 square feet, and the third at 10 stories, 240,000 square feet. "It is that way so the eye is drawn up through the park," Williams said.

Charlie Pond, Neyer's director of building development, said the company is using recycled materials throughout construction as well as paints and coatings that contain minimal volatile organic compounds (VOCs), which have been the target of the green movement because of way they contaminate air, particularly indoors.

The green focus is largely about educating the community about efficient office construction, Pond said. "We feel this region of the country does not yet really understand how it can be done affordably."

Keys to Green
• Keystone Parke includes a landscaped boulevard, park-like area and a hiking and biking trail.

• A second building will break ground by early 2009. The schedule for future buildings will depend on the market.

• Evanston Playfield will get an upgraded swimming pool and athletic facilities.

Neyer Corp. Looks to give Middletown a Makeover!

Al Neyer Inc. recently purchased a 60 acre plot along Interstate 75 in Middletown, OH. Plans are to develop up to $100 million in office space, shopping, and residential properties. The acerage is located in the Renaissance district of Middletown, across Union Road from the new Atrium Medical Center.

Al Neyer has already sold about eight acred to Herry McClain Cos., who is a developer with interests in building a 100-bed assisted living facility in the area.

Keep an eye out for this area's emergence.

Seriously?!?! The Banks Project in Cincinnati is for real?

Ground has been broken on The Banks, an 18-acre, $600 million mixed-use development on the Ohio River in Downtown Cincinnati. The initial part of the project’s first phase consists of about 300 apartments and 70,000 square feet of retail and restaurants; construction is scheduled for completion in 2010.

A spokesperson for the project told CPN that there is no retail preleasing yet, and that the retail will focus on “eatertainment” and on support retail for the residents.

The Banks’ master developer is Riverbanks Renaissance L.L.C., a joint venture of Carter & Associates Commercial Services L.L.C. and The Dawson Co., both of which are headquartered in Atlanta. The two companies will also handle project management for the construction of additional public infrastructure. The $74 million needed to finance Phase 1A will be provided by a $40 million senior debt financing commitment from National City Bank, a $10 million debt financing commitment from the Cincinnati Equity Fund, $12 million in equity funding led by Carter, Dawson and their investors, and $12 million in grant funding from the City of Cincinnati and Hamilton County for the residential portion of the project.

Subject to contingencies, the second part of Phase I will include an office building of at least 200,000 square feet and possibly a hotel. The private investment for phase 1B is estimated at about $75 million. Although the particulars of subsequent phases remain flexible, they could total 1 million to 1.8 million square feet of apartments and residential condos; 200,000 to 1 million square feet of office space; 200,000 to 400,000 square feet of restaurants, bars, and other retail; hotel development of 200,000 to 400,000 square feet; and parking for nearly 1,800 cars.

The Banks also includes a 40-acre riverfront park that will include playgrounds, a 12-acre “great lawn,” walking and biking paths, gardens, and a promenade overlooking the entire park. A focal point of the area is the existing National Underground Railroad Freedom Center, a museum and educational center.

The entire site is bookended by Cincinnati’s two major stadiums: the Bengals’ Paul Brown Stadium, which opened in 2000, and the Reds’ Great American Ball Park, which opened in 2003.

CPN reported in February that, according to a report by Property & Portfolio Research Inc., Cincinnati has one of the country's highest major market office vacancy rates. An 11 percent increase in office construction in Cincinnati this year should add 1.8 million square feet to the city's office space supply, pushing the office vacancy rate to about 20 percent by the end of 2009.

Tale of the Madisons (Madisonville and Madison Place)

We all know the Madisonville area from the terrible riots that occurred several years ago. But that history is long gone and Madisonville is quickly becoming one of the strongest neighborhoods poised to take off in the next several years!

Madisonville is tucked right in between Mariemont, Oakley, and the tip of Hyde Park. I can't think of a neighborhood with better neighbors! Outside of it's close proximity to these highly desired communities, the architecture is very similar to the homes found in Hyde Park, Mt. Lookout and Oakley. So once rehabbers run out of inventory in Oakley, they'll strongly start targeting the Madisonville area.

The area most likely to see the quickest growth will be the South East portion of Madisonville. All of these homes are within a 1/2 mile walk to Mariemont Square (which is absolutely incredible). Several of the homes are already well maintained but you can find distressed properties in the area ranging from $20,000 - $80,000. This affordability will draw in the young professionals who will help to shape and revitalize a once unpopular neighborhood.

Lastly, there is some strong development occuring on Red Bank Road, the western border of Madisonville. A new Super Walmart is being built, the Oakley Drive-In has been converted to a luxury Dog Spa and Medical Office Space, and Miller Valentine will be developing the area where the old Nu Tone plant used to operate (http://cincinnati.bizjournals.com/cincinnati/stories/2007/06/18/daily42.html?from_msn_money=1).

Just East of Plainville Road in Madisonville is an area called Madison Place that has already seen a lot of investor activity and above average growth. This area is within easy walking distance of Mariemont Square and the homes are primarily simple starter homes. Madison Place is known already as the place to buy for Mariemont Perks without the Mariemont Price.

Both neighborhoods are worth checking out for Investors or Owner Occupied Buyers. Feel free to contact me for any additional information regarding these neighborhoods as I'm excited to see them take off!

New Development Plan for a 36 Acre Parcel near Cincinnati Airport!

After landing two of Northern Kentucky's largest development projects in 2007, Al Neyer Inc. is expanding its Riverview Business Park in Hebron by adding 35 acres to the 101-acre park it opened in 1998.

The downtown-based real estate developer paid $320,000 for a former horse farm adjacent to its hilltop property northeast of the Cincinnati/Northern Kentucky International Airport, a deal that roughly doubles the 36 acres still available in the park. By incorporating design elements that evoke a residential feel, including a decorative stone wall at the entrance and a one-acre lake, Neyer has attracted a cluster of foreign-owned companies that made Riverview Business Park their U.S. headquarters.

"It was designed as an upscale business park," said David Neyer, president and CEO of the family-owned Al Neyer Inc. "The people we were trying to get were those companies that would favor higher-end amenities."

New to the neighborhood in 2007 were Psion Teklogix Corp., a Canadian company that sells mobile computing systems, and Mauer USA, a German firm that specializes in plastic injection molding. Three of the seven companies that located in the Riverview park were German-owned, while a British firm that moved to the park in 2000 was later replaced by trade-show display company Opera Portables Inc.

"It's developed into a nice, small niche business park," said Dan Tobergte, president and CEO of Northern Kentucky Tri-ED, the economic development arm for Boone, Kenton and Campbell counties. "Its location is very accessible. Its price point is reasonable, in the $90,000 an acre range. It's a very natural setting, preserving as many trees as possible."
Psion Teklogix and Mauer were among Tri-ED's 20 largest expansion projects in 2007. Psion's 60,000-square-foot facility represented a roughly $6 million investment and holds about 150 employees in sales, accounting and technical support. The company makes scanning devices and RFID equipment, which are used to track packages and inventory.

"It has quite a different look and feel than most industrial parks," said Tony Condi, director of marketing for Psion Teklogix. "All the buildings back here are very eye-catching."

See the Full Article at: http://cincinnati.bizjournals.com/cincinnati/stories/2008/04/07/focus1.html?f=et177&b=1207540800^1614502&ana=e_vert

FINALLY - The Banks Project is Underway

It took 11 gold-painted shovels, two boxes of gold-colored hard hats, dozens of dignitaries, fireworks, speeches and a lot of dirt, but the physical birth of the Banks riverfront development finally occurred Wednesday.

The shovels hit the earth at 4:40 p.m. for an event nine years in the making - the ceremonial groundbreaking for a project that many thought would never happen.

"Looking out upon you and this gorgeous sky and these wonderful surroundings, I hope you will forgive me for reverting to one of my former professions," said Gov. Ted Strickland, a former minister. "This is the day which the Lord has made, let us rejoice and be glad in it. You can feel the energy in this place!"

See the full story here: http://news.enquirer.com/apps/pbcs.dll/article?AID=/20080403/NEWS01/804030316/1077/COL02

US Playing Cards May Leave it's Norwood Site

Thought this article was interesting as it may open up a huge 21-Acre plot of land in the Eastern Part of Norwood, large enough to

Below is the first portion of the article, go to http://cincinnati.bizjournals.com/cincinnati/stories/2008/03/24/story1.html?b=1206331200^1608456 for the full article:

Friday, March 21, 2008
U.S. Playing Card may leave Norwood

Business Courier of Cincinnati - by Jon Newberry Staff Reporter

"United States Playing Card Co. is exploring relocation options and could make a decision to move out of its 108-year-old plant and headquarters in Norwood by June.

The company has more than 600 employees overall, including more than 400 in Norwood, and the 600,000-square-foot compound is its only U.S. manufacturing site.

Phil Dolci, president of the 114-year-old business, said it's looking at unspecified locations in Ohio, Kentucky and Indiana and has been in contact with state and county economic development officials in all of those places. No decision has been made yet, and at this point "everything is a possibility," including remaining in Norwood, he told the Business Courier.
"Ideally we'll make a decision in the second quarter," Dolci said.

Asked if any of the locations under consideration are outside the Cincinnati metro area, Dolci said "Indiana would be" but declined to be more specific about any of the possible relocation sites.
The timing of the actual move, if that's the decision, would depend on whether U.S. Playing Card relocates to an existing facility or to a new building, along with any site preparations or building changes related to the chosen location. Dolci said the consideration of alternative locations was prompted by a desire to improve on its current manufacturing facilities.

"Manufacturing on four different floors in six different buildings isn't the paragon of efficiency," he said. If the company moves, nothing has been determined about the future of its 21-acre complex on Beech Street at Park Avenue, where the ornate entrance is topped by a four-story, neo-Romanesque bell tower that was added to the brick building in 1926.

"Everything is TBD," Dolci said.

Norwood doing what it can
Real estate industry sources said CB Richard Ellis is representing the company in its search efforts. Ken Murawski, managing director of the Cincinnati office, couldn't be reached for comment.

Norwood Mayor Tom Williams said the city is trying anything it can to keep the company. There are no other sites within the city that are large enough, but officials are exploring options at the current location...

Xavier University is Truly Developing in Norwood, OH

Just when you think Norwood can't possibly take on another development, Xavier University has planned to expand it's own reign over the area by expanding to the east with a new development called Xavier Square. Quickly becoming the most predominant university in Cincinnati, the 20 acre development will truly bring a new sense of life to the campus. The Xavier Square development is a joint venture between the Xavier University and Corporex Companies. Xavier Square, also known as East Campus, will consist of :

• 120,000 Square Feet of Office Space



• 100,000 Square Feet of Retail



• 90 Room Boutique Hotel



• 550-600 Student Apartments



• 120 Market Rate Houses



• A New University Recreation Center, Bookstore, and Health Center

The development will be located on the corner of Dana Avenue and Montgomery Road, right on the edge of Norwood. The development will be located directly across from the neighboring suburb of Evanston. 7 of the 20 acres was donated by BASF Chemical Plant to the school after a fire forced the company to relocate. The Zumbiel Packaging Plant moved to Hebron, OH in 2004 and sold the 9 acre property to Xavier.

Demolition should begin in 2008 and the first phase of building will begin sometime around the first of 2009. Living only 5 blocks from the Xavier Campus, I'm truly looking forward to the change. The Xavier campus unfortunately borders an area of distressed and occasionally boarded up homes in Evanston. The real estate is prime for student housing, but there is an above average risk of vandalism and crime that keeps students and owner occupied buyers away. Hopefully this change will be the start of a residential renovation surrounding the development that will bring about families and young professionals to the area.