Anatomy of a site assemblage
By: Bert Belanger//Guest Columnist//March 28, 2019
One of the biggest challenges in urban infill development is to cobble together enough land to develop a viable project. Sometimes the end results can be much different than imagined when the assemblage effort first began.
A case in point is the 4-acre site at NE 11th Street and Broadway in Oklahoma City, from which the new Oklahoma Contemporary Arts Center is rising. Back in 2007, I was able to convince my friend and former law partner that we could assemble the (mostly) rectangular site for redevelopment as new urban apartments. Over the next four years, we had to make deals with multiple owners, including a former nursing home operator, commercial laundry operation, junky auto shop and, most notoriously, a well-intentioned but dilapidated set of flophouses.
With the acquisitions complete, we then had to deal with environmental concerns that we knew we were inheriting, ranging from oily auto parts to popcorn (asbestos) ceilings, to worries about dry-cleaning solvents. Some technical help was provided through the city’s brownfields program, but virtually all of these risks were managed by my group of patient and capable investors.
Early in 2010, we thought this patience was paying off. We were able to contract with the Bomasada Group, which planned an ambitious complex of urban apartments over structured parking. Our group was responsible for vacating one “stub” street and four separate sections of platted alleyways. Despite our success, our buyer had to cancel our deal, citing delays in getting a whistle-free quiet zone. John Gilbert and his capable colleagues departed for a project in Tulsa, but, as most know, came back to OKC in 2014 and ultimately built The Metropolitan Apartments, five blocks south, which opened about the same time as the whistles finally stopped.
After our apartment site contract was lost, Chris Keesee, who had previously coveted this ground near his grandfather’s old headquarters, quickly stepped forward and acquired the fully assembled site. His group patiently raised millions in donated funds to craft what will no doubt be a spectacular addition to Oklahoma City’s skyline and arts community. Sadly, my two main partners will not be able to attend the opening of the Oklahoma Contemporary; however, I personally choose to believe that old Heritage Hall buddies and prolific business partners Shannon Self and Aubrey McClendon will be enjoying it from their own vantage point.
Bert Belanger is a broker with Adept Commercial Real Estate and a real estate attorney with Riggs Abney (bbelanger@riggsabney.com).