Monday, June 14, 2010

Sale brings new buyer for FBI move to Sycamore

The sale of a 6.26-acre parcel in Sycamore Township has brought Neyer Properties' Kenwood Towers and the Federal Bureau of Investigation's (FBI) new division headquarters one step closer to completion.

Molasky Group of Companies of Las Vegas bought the rights to own and construct the development from Barry Real Estate Companies of Atlanta, which struggled to obtain financing for the project.

The deal is the result of a year of negotiations between Neyer Properties, the FBI, and the township.

The FBI has signed a 20-year lease and will pay nearly $4 million a year in rent.

A new public road connecting Hosbrook and Montgomery roads will allow access to both Montgomery Road and Interstate 71. A $3.5 million tax increment financing bond will pay for the road improvements.

The adjacent Kenwood Towers will include a seven-story, 160-room hotel and a nine-story, 266,000-square foot office building and parking garage.

Neyer Properties hopes to begin construction following the road's completion.

"We donated nearly two acres of land to the township in part to help build the new public road to Hosbrook Road, which will also provide a permanent wooded buffer for the neighbors," said Jeff Chamot, senior development project manager for Neyer Properties. "One hundred-foot setbacks from residential property lines, efficient traffic flow along Hosbrook Road and green facets of the projects were all factors that swayed the residents to support the FBI project and zone change a year ago."

Engineering for the new road and the four-story, 110,000-square-foot, Class A and LEED-certified FBI building will begin this fall, with completion by November 2011. U.S. General Services Administration standards require a minimum of LEED Silver.

Three years ago, Neyer Properties made a commitment to build all future office projects to LEED standards.

The site has been vacant since the demolition of the Harley Hotel in 2007.

The developments represent nearly $150 million in investment.

Previous reading on BC:
Sycamore to consider FBI proposal on Monday (8/6/09)
Kenwood Towers seeks Thursday approval (5/5/09)
Kenwood Towers would include offices, hotel (3/17/09)