Crescent Growth Capital, LLC
Structuring project financing to incorporate tax credit equity.
New Orleans-based Ryan Gootee General Contractors received the Alliant Build America Award from the Associated General Contractors of America for their redevelopment of the former Myrtle Banks Elementary School building.
Follow this link to read the more about the award and Ryan Gootee’s work at Myrtle Banks.
On Wednesday, a groundbreaking ceremony marked the beginning of the 12-month construction of the new NOCCA Forum.
New Orleans CityBusiness, September 23, 2011
The Port of New Orleans has entered into a 15-year lease agreement with Transportation Consultants Inc. for a lease at the Governor Nicholls Street Wharf. The new deal will lead to a $20.5 million investment from the locally based shipping logistics company to expand along the Industrial Canal.
TCI has already built a new headquarters and packaging facility on France Road Parkway. Founder and CEO Jack Jensen said the agreement with the port is the culmination of a plan started four years ago to expand the value-added industry along the Industrial Canal. Its initial investment will have created 60 jobs by the end of the year, Jensen said, and the planned expansion will add 20 more positions for freight-forwarders, stevedores, rail operators and vessel crews.
The TCI expansion is also expected to triple the volume of 20-foot equivalent units (TEUs) handled along the Industrial Canal. According to a release from the company, the container count along the canal is expected to increase more than 30,000 by 2013 once France Road Parkway Properties builds a 150,000-square-foot warehouse that TCI plans to lease.
In addition to the new warehouse, Jensen said TCI plans to lease and develop the Governor Nicholls Wharf as an overflow export facility to handle resin packaging, expand an imported granite distribution facility and explore additional port property on Alvar Street.
The Times-Picayune, July 15, 2011
The Joy Theatre, one of four historic theaters in downtown New Orleans, will reopen as a live music and entertainment venue early next year after a $5 million renovation by NOLA Theatre District LLC, the development company announced Friday.
NOLA Theatre District purchased the Canal Street theater, closed since 2003, from ESE Enterprises, a family trust with more than a dozen members, for $1.5 million after negotiating for more than two years, said Neal Hixon, a developer and partner in the development company.
“We’ve spent a long time working on this project,” said Hixon, who was a lead developer in the effort to transform the Arabella Bus Barn on Magazine Street into a Whole Foods Market. “We think it’s going to be a great addition to Canal Street.”
The Joy Theatre closed more than eight years ago, finally succumbing to the competition from megaplexes with stadium-style seating and a dozen or more screens.
When it reopens next year, it will no longer be competing with those theaters, Hixon said. The Joy will be reborn as a live music venue. The theater also will host comedy tours and be available for private functions and corporate events, Hixon said.
Current renovation plans call for keeping the theater’s exterior intact, restoring it to the way it looked on opening day in 1947, Hixon said. But the inside of the theater will be completely remodeled.
“It’s a complete gut and redo. It’s been neglected,” Hixon said. “We’re going to take it down to its bare walls.”
NOLA Theatre District LLC, a team comprising developers, Hixon and Joe Jaeger, and business owners, Allan McDonnel and Todd Trosclair, plan to use a variety of tax incentives, including state and federal historic tax credits and the Louisiana Live Performance tax credit, to complete the renovation.
McDonnel’s company, The McDonnel Group, will act as general contractor on the project. AllStar Electric, which Trosclair owns, will oversee electrical repairs. Jaeger’s The MCC Group will oversee the design and installation of the mechanical systems.
The Joy Theatre opened in 1947 at the corner of Elk Place and Canal Street and was hailed then as “New Orleans’ newest and most modern film temple.” The 1,250-seat, three-screen theater at one time contained a soundproof, glass-enclosed “crying room” for parents with babies. The theater showed first-run movies every decade since it opened, culminating with “Drumline” in 2003.
The redevelopment of the Joy will continue a recent spate of improvements to that section of Canal Street, which has spent years in decline, said Kurt Weigle, president and chief executive officer of the Downtown Development District. Weigle pointed to the 1201 Canal condominiums, directly across the street from the Joy, the recently opened New Orleans BioInnovation Center, about two blocks away and the in-repair Saenger Theatre, positioned diagonally from the Joy, as signs of improvement.
“This is part of a clear trend of revitalization,” Weigle said.
The purchase of the Joy, along with construction at the Saenger, also means two of the four historic theaters in downtown New Orleans are on the road to restoration. Efforts to renovate and reopen the other two, the Orpheum Theater and the Loews State Palace Theater, have stalled.
“We don’t expect that all four of the historic theaters along Canal Street will be brought back just as they were in their heyday,” Weigle said. “But the important thing is that they will be brought back in a way that’s going to contribute to Canal Street.”
Weigle said the Downtown Development District is working to have all four theaters reopen, each with a distinct and different purpose so they don’t cannibalize one another.
The Times-Picayune, June 6, 2011
A historic and dilapidated former Algiers school is getting new life with plans to convert the long vacant building into apartments for senior citizens and the disabled.
The former Belleville School, portions of which have been in disrepair for decades, is set to undergo a $13 million renovation to create 52 assisted-living apartments. Construction could be complete by February, said Sean Arrillaga, a vice president for St. Luke’s Living Center in Algiers, one of the partners in the renovation deal.
Most apartments will be about 550 square feet, which Arrillaga said is larger than the current market average.
The group closed on the school site at 813 Pelican Ave in May, and demolition of the interior has begun, he said. Arrillaga declined to identify the other investors in the project, but said the project will qualify for state and federal historic tax credits, along with new markets tax credits.
The group decided to renovate the Belleville School because of the surrounding neighborhood, Arrillaga said. He called Algiers Point a “quaint, historic neighborhood.”
Cecelia Hemelt, who will be the administrator of the 56,000-square-foot property, said the neighborhood is a good fit.
“We really liked the location and the community of Algiers Point,” she said.
Hemelt said the apartments will be geared toward residents 55 and older or high-functioning disabled people. There will be a director of nursing on duty during the day and several aides there around the clock. All rooms will have handrails and other amenities to provide easier access.
Belleville School’s current makeover as an assisted-living facility is just the latest twist in its saga, which includes several failed redevelopments in the past two decades. The school has been vacant since 1987, and through the years developers have envisioned it as condominiums, a hotel and spa, and, in 1989, apartments for senior citizens and the disabled. The main structure of the school — a three-story, red-brick building — was completed in 1898, and wooden annexes were built in 1907 and 1925.
Skip Gallagher, the president of the Algiers Point Association, said the group is excited to finally see some action occurring at the school site after years of watching the building deteriorate. He said an assisted-living facility is one of the best uses for the building, and he doubts it will be a large drain on parking in the surrounding neighborhood, which was a concern of some residents. Gallagher said it would have been far worse if the abandoned building continued to be a blight on the Point.
“For the most part, we’re encouraged by it,” said Gallagher, adding that it’s great to see a historic building salvaged instead of demolished by neglect. “The biggest concern we had was that it wouldn’t happen. That would be criminal.”
The Times-Picayune, April 11, 2011
What a long, strange trip it’s been for the former home of the Universal Furniture store in Faubourg Marigny.
The run-down building, which flooded after the levee failures in 2005, had a brief but head-scratching post-Hurricane Katrina life as a temporary home for both the New Orleans Police Department’s 5th District station and the avant-garde Prospect.1 art exhibit.
Now, the one-time retail space is morphing into the New Orleans Healing Center, an eclectic, new-age development.
Spearheaded by Voodoo priestess, artist and writer Sallie Ann Glassman and her high-profile longtime companion, developer Pres Kabacoff, the site is about to become a community center where neighborhood residents can buy food from a cooperative grocery, get a micro-loan, find worship space or take a yoga class.
The $13.2 million project grew out of a series of meetings organized by Glassman and her friends after the storm. The group identified a need for a center where wellness services and amenities would be offered to those struggling to rebuild both physically and spiritually.
“We didn’t want it to be a spa or a resort in the country,” Glassman said. “We wanted it to be integrated into the community.”
‘It just felt right’
The group chose a complex of two-story buildings that formerly housed Universal Furniture. The complex included an 1840s cornerstore and residence, a large 1926 commercial structure and a smaller commercial building, all united behind a 1960s-era metal screen that obscured the buildings’ architectural features. Situated at the corner of St. Claude and St. Roch avenues, the complex sits across from the iconic St. Roch market building.
“When we first visited the Universal building, it was dark and labyrinthine,” Glassman said. “Three buildings had been joined together and divided up. But when we went up onto the roof, all of a sudden there was this beautiful view of the city and the skyline. It just felt right.”
Kabacoff undertook the rehabilitation of the 55,000-square-foot complex independently of HRI Properties, where he is chief executive officer.
Renovation work began last May, financed by a blend of state and federal New Markets Tax Credits and historic tax credits, as well as allocations from city and state redevelopment agencies.
The exterior, where metal screens once hung, is painted in a Caribbean-inspired color palette, with bright purples, oranges and teals. Infrastructure work, including new Sheetrock, has been installed and primed, and tenants are in the process of customizing their stores.
Free barbecue, open house
To celebrate this milestone and further acquaint the public with the project, the Healing Center plans a free community barbecue and open house on Sunday, April 17, from 2 to 6 p.m.
“The Building Block should be open by then,” said Glassman, referring to a consortium of green and sustainable businesses. “Others will still be in the process of their build-outs when we have the barbecue, but will be fully open by May 1. A few others will take a little longer. So May is our soft opening and we’ll have a grand opening in July.”
In addition to Glassman’s business, Island of Salvation Botanica, which specializes in Voodoo religious supplies, medicinal herbs and Haitian artwork, the complex will house up to 20 more enterprises.
They include Fatoush Restaurant and Juice Bar; ASI Federal Credit Union; Crossroads Arts Bazaar, a place where local artists can sell their work; Wild Lotus Yoga Studio; Café Istanbul Performance Hall, a combination meeting space and performance venue; and the New Orleans Food Co-op, a 4,000-square-foot full-service grocery store. Currently, about 85 percent of the center is leased.
A long-needed grocery
Lori Burge, general manager the food co-op, said the grocery is one of the businesses that requires a longer build-out period than others because of the need to install refrigeration equipment and shelving. The store will sell fresh food to the Marigny and St. Roch neighborhoods, areas that have been without a grocery since the Robert’s market on St. Claude Avenue closed. To secure the final piece of its financing, the co-op is trying to recruit an additional 200 member-owners.
Crossroads Arts Bazaar director Lorien Bales said her gallery is timing its opening to coincide with that of the co-op.
“Foot traffic will be key,” Bales said.
Glassman believes that the Healing Center will bridge the Marigny and St. Roch neighborhoods, catalyze revitalization of the St. Claude Main Street corridor and help encourage other projects, like the resurrection of the St. Roch Market and the installation of a streetcar line.
“It’s interesting to me that the physical work on the buildings turned out to be a healing process in a way,” she said. “We took these totally neglected and sad buildings and restored the facades and opened them up and healed what had been done to them. Now everyone who visits … just feels uplifted by the open spaces and all the light.”