A notable Springfield-based manufacturer and a lumber retailer have business development plans across the street from each other at the edge of Partnership Industrial Center. The companies, however, are saying little about just what they’d be building on their facing fields just south of Kearney Street.
At Springfield City Council’s June 22 meeting, applicants SRC Holdings Corp. and Meek’s Lumber Co. introduced two rezoning proposals for neighboring properties, and the city moved to annex the 57 acres owned by Meek’s.
Both properties are on the south side of East Kearney Street, with SRC owning 59 acres just west of Mulroy Road. The Meek’s property is on the other side of Mulroy, aka Farm Road 199. Both applicants seek heavy manufacturing designations, with SRC proposing a move from a planned development and the lumber retailer asking to change its agricultural land in the county to heavy manufacturing in the city.
Spencer Fane Britt & Browne LLP attorney Shawn Whitney represents Kansas City-based developer Jones Development Co. LLC with regard to the Meek’s property. JDC specializes in developing industrial real estate, particularly build-to-suit facilities. He said no set plans for the property were in place with specific manufacturing tenants.
“Right now, there are just general discussions. All of those discussions are contingent upon approval,” Whitney said, declining to comment further after the council meeting.
SRC Holdings Corp. Vice President of Business Development Don Ross said its company’s plans are still in flux and the projects are not related.
“Timing was coincidental. Their development got us to thinking much harder about our own needs as we’ve been unable to find suitable facilities locally. Road and water improvements impacting both sites may likely be done on nearly the same timeline in order to save on costs and mitigate future disruption to the road,” he said via email. “Meek’s property will likely get developed ahead of ours as they are further along in their planning from what we know. We don’t have an immediate need to develop our parcel today, but are trying to get a step ahead of our businesses’ growth.”
SRC Holdings CEO Jack Stack said the company near closing on a contract with an unnamed client that could create a need for 40 to 50 jobs and a 100,000-square-foot manufacturing and warehouse facility. In addition, he said multiple buildings could be constructed on the property in the future because of business growth.
“Most of our facilities are almost at capacity,” Stack said. “We’re wall to wall right now.”
One nearby property owner, Janet Dixon spoke against the plans, saying she heard FedEx was a potential tenant and the added lights, noise and traffic would be disruptive to those living in the area.
Ryan Mooney, Springfield Area Chamber of Commerce senior vice president of economic development, said companies seeking to grow operations in the area appreciate having sites ready to build.
“As we work with these companies, they are always looking to beat their competition to the market with a new product or a new service. The vast majority of the time, they need an existing building or a development-ready site, a shovel-ready site,” Mooney said. “Our community is lacking in both buildings and sites, and this costs us opportunities to create jobs.”
After the meeting, Mooney declined to discuss any potential tenants or project details on either property.
“Obviously a major step in the potential development of both those sites will occur … if and when council approves the annexation and rezonings,” Mooney said via email.
The bills are scheduled to receive a second reading and vote at the July 13 council meeting.
SRC Holdings Corp. requests a zoning change to heavy manufacturing just west of Mulroy Road and applicant Meek’s Lumber Co. seeks the same designation across the street.
Budget approvedAt the June 22 meeting, Springfield City Council unanimously approved its $334 million fiscal 2016 operating budget, which featured a 7 percent increase compared to the current year.
At the June 8 public hearing, Springfield Finance Director Mary Mannix Decker pointed to growing sales tax collections as a reason for the bigger budget.
The city’s sales tax check for the month of June – which represents transactions the state processed in May – brought year-to-date sales tax revenue up 8 percent compared to the same time in 2014.
According to information Decker provided to council, most city employees would receive a 1.5 percent pay increase in the fiscal year beginning July 1.
The budget for special revenue funds, such as the art museum fund and the law enforcement sales tax, is forecasted at $104.8 million, up from $99.7 million, and the general fund budget is $79.1 million, up from just under $77 million in fiscal 2015.
Greek housingSpringfield-based real estate consultant Burning Tree Consulting LLC is looking to develop student-housing for sororities and fraternities at Missouri State University along the east side of Robberson Avenue between East Madison Street and East Grand Street.
At the June 22 meeting, Burning Tree Consulting’s redevelopment plan received a first reading, and Spencer Fane attorney Whitney, who represented the developer, said the company plans to build three, four-story duplex-style buildings with six units altogether for MSU Greeks. Each unit could be built with up to 25 bedrooms, Whitney said.
“There is space for six total fraternities or sororities, with each fraternity or sorority taking a side of their building,” Whitney said following the council meeting.
The potential land sits within a blighted district, so Burning Tree is eligible to receive tax abatements over a period of 10 years should council agree the project is consistent with the city’s comprehensive plan. Based on preliminary estimates, the property would be worth $8 million after construction and would double its current county property assessment, according to Springfield Planning Director Mary Lilly Smith. If the redevelopment plan is approved at the July 13 council meeting, the developer would be in line to receive an estimated $789,000 in property tax abatements over 10 years.
According to Missouri secretary of state records, Phileo Williams of Springfield organized Burning Tree Consulting in 2007. According to his LinkedIn profile, Williams also is the president and CEO of Missouri Valley REIT Management LLC and is a former financial adviser with Waddell & Reed Inc.[[In-content Ad]]
