AM&As paperwork filed in City Hall; $50M project planned

[WNYresident]

AM&As paperwork filed in City Hall; $50M project planned

The redevelopment of the long-vacant former Adam Meldrum & Anderson Co. flagship department store has reached another milestone as key pieces of paperwork have been filed in Buffalo City Hall.

The paperwork offers a clearer picture of what the future of the 10-story, 310,000-square-foot building holds.

http://www.bizjournals.com/buffalo/n...oject.html?ana


This is good news

[grump]

It's funny...I was just commenting to my wife the other day that this area has become a hotbed of Chinese tourism. They never go to NYC or Toronto and they obviously prefer Buffalo as a destination.

[300miles]

This project seems ... odd.

[WNYresident]

Engineer submits plans for renovation of AM&A building to Buffalo Planning Board

The long-vacant Adam Meldrum & Anderson Co. department store building in downtown Buffalo will see eight floors of hotel rooms, two restaurants and a lobby, all geared primarily toward Chinese tour groups from New York City, under plans submitted Wednesday to the Buffalo Planning Board for approval.

http://www.buffalonews.com/business/...board-20150311

[nickelcityhomes]

An upscale Chinese restaurant and spa are proposed for the first floor and basement levels.

Maybe there is a happy ending for this building after all.

[leftWNYbecauseofBS]

This project seems ... odd.

Agree. $50M does not seem nearly enough to redo this complex of structures....correctly.

That said, if they can drain the basements and clear the asbestos....I really don't care if this project pans out or not. Those two items would add so much value and potential to the complex.

Been reading this is all about green cards.

[4248]

Maybe there is a happy ending for this building after all.

[FMD]

wonder how many tax breaks theyre gonna get

[grump]

wonder how many tax breaks theyre gonna get

They shouldn't get any! People have been lining up to redevelop this site without them for years! Oh, wait...never mind.

[leftWNYbecauseofBS]

wonder how many tax breaks theyre gonna get

You need glasses because you're one of the most shortsighted posters on here.

First off, the property is not paying what it should in taxes because of it's current condition. If breaks can allow for improvements, which in turn, allows for a higher evaluation and eventual tax bill...it all works out on the positive on the end.

Why is it so hard for idiots to see that tax breaks are not taking in LESS money from what is currently being collected. It's taking LESS money on a larger amount of taxes for a specific period of time. It is still an increase in taxes.

Secondly, the condition of this building sets the tone for the neighborhood. Just like your home is evaluated not just on the quality of it's exterior and interior but the condition of your neighbors...so does commercial real estate. Having this MASSIVE complex of buildings come back to life is going to improve the surrounding areas. It will make the store fronts near this complex more valuable...which in turn encourages improvements...which in turn expands the tax base.

I swear to god some of you are either complete idiots or so stubborn in your envy that people who can make things happen are provided with tools to make more things happen that you make yourself look like ignorant fools with your temper tantrums.

[300miles]

Been reading this is all about green cards.

Any details on that? This project isn't very transparent. I think most investors/developers would have more to share, and would have more conventional plans. With this new owner, I would not be surprised to hear that there are other agendas involved.

[WNYresident]

You need glasses because you're one of the most shortsighted posters on here.

First off, the property is not paying what it should in taxes because of it's current condition. If breaks can allow for improvements, which in turn, allows for a higher evaluation and eventual tax bill...it all works out on the positive on the end.

Why is it so hard for idiots to see that tax breaks are not taking in LESS money from what is currently being collected. It's taking LESS money on a larger amount of taxes for a specific period of time. It is still an increase in taxes.

Secondly, the condition of this building sets the tone for the neighborhood. Just like your home is evaluated not just on the quality of it's exterior and interior but the condition of your neighbors...so does commercial real estate. Having this MASSIVE complex of buildings come back to life is going to improve the surrounding areas. It will make the store fronts near this complex more valuable...which in turn encourages improvements...which in turn expands the tax base.

I swear to god some of you are either complete idiots or so stubborn in your envy that people who can make things happen are provided with tools to make more things happen that you make yourself look like ignorant fools with your temper tantrums.

I can see IDA breaks on a building like this because of the cleanup.

[leftWNYbecauseofBS]

Any details on that? This project isn't very transparent. I think most investors/developers would have more to share, and would have more conventional plans. With this new owner, I would not be surprised to hear that there are other agendas involved.

It's called the EB-5 program.

Here is a write up from the LA Times. And one from the Washington Post. More from IMMIHelp.

EB-5 awards visas to immigrants who invest $500,000 to $1 million in a U.S. business. Applicants who can prove that their investment has created at least 10 jobs get permanent green cards.

For the AM&As project, Robert Biniszkiewicz who I know you know from BRO and a guy who knows his stuff posted on the Buffalo News Comments to this post:

Driving this is investment money from Chinese seeking green cards in exchange for jobs created and investments committed here. So in part the economic solvency of this development may be secondary to the individual investors' goals of getting through an open immigration door into the USA. Yes, I'm sure the investors would like a positive return on their cash, but maybe the rate of return isn't the biggest draw for them.

As to the pool of Chinese (specifically) and Asian tourists (generally): Their populations dwarf ours. As they industrialize their economies and become relatively wealthy, they will travel the world, just like us. And for them, we are an exotic location (the Falls) not far from NYC (a world class draw). We should be planning for many more Asians and especially Chinese to come to America sight seeing. And we should get on that bandwagon now, because in the future that tourist segment will only snowball (to coin a phrase).

BRO also mentions it in this post.

From the Post:

The program requires foreigners to invest $1 million, unless a project is in a rural area or a place with a particularly high unemployment rate, where the required investment is $500,000. The vast majority of visas issued are for the lower amount.

Someone also commented (so weight it as such but it makes sense) that Chinese nationals are looking to invest in the US simply as a way to protect their money. $50M invested in this project is $50M that can not be seized by the Chinese government.

While Buffalo has a small Chinese population, Toronto is like 11% and NYC is pretty close as well. My assumption is that is close enough for comfort for people settling in the area. Especially when you can cross the border without issue due to the program.

[300miles]

Interesting. Thanks. That actually gives some assurance that it's probably a 'real' project and that, at a minimum, we'll end up with a rehabbed building like you posted earlier.

[leftWNYbecauseofBS]

I can see IDA breaks on a building like this because of the cleanup.

Breaks for cleanup are valid. Breaks for restoration are valid.

Heck, I would go as far as to suggest there should be breaks for signature buildings. Consider how much pride and prestige comes from the quality of City Hall or the Guaranty Building. Look at how many people anguish over the demolition of the Larkin Administration Building. All of these have something in common. They are buildings that last the test of time (even for some by memory) and they simply are not made today.

What if there was a program where developers could get breaks to equal the cost of making a building amazing on the exterior? Instead of a box of glass or manufactured concrete panels, developers could invest in their buildings to the point where people who thought of Buffalo thought of those structures.

This happens right now to publicly financed projects to some extent, see. the new federal courthouses that are being built around the US, but not nearly enough in the private sector. At least in places like Buffalo. In Buffalo it's all about the square feet inside.

Just consider what HarborCenter could have been if Pegula was given the chance to make something special? What is being built is a quality box. Now compare that to major cities where hotels have to impress both on the inside AND the outside. Imagine if THIS was on top of HarborCenter.....





At the end of the day, you would be looking at a massive increase in the cost of the building but in return you would see an increase in the value of the property. Beyond that, it takes much more labor and skill and materials to make something as pretty as this. That money goes to people working in the area.

Even if you don't go so grand.....

Just take the Village of Williamsville. There is some amazing charm on Main St. but over the last 20 years there has been some crap built. Here is an example at the corner of Main and Garrison.




Now on the opposite side of this is am empty parcel where the old Kenyon's gas station and motel were located. This 'corner' to me is the end of the Village. It's also a signature parcel that many people travel by. What if that parcel was developed with brick, stone and all of the details. Something that defined the proud village for this century.

Instead of cheap stucco and a strip mall look....something like this was built: