Constructed in 1928-29 by J.C. Penney, the Edison Brothers Warehouse had become an obsolete, vacant facility by the turn of the century. Its location, adjacent to the Scottrade Center (an arena for hockey and other major sports and entertainment events), Busch Stadium (home to the St. Louis Cardinals baseball team), historic Kiel Opera House (proposed for a major renovation), and a major downtown MetroLink station (St. Louis’ light rail system), is well positioned to capitalize on the St. Louis tourism market. This 13-story, 860,000 square foot historic warehouse in downtown St. Louis (each floor approximately the size of a football field) has been redeveloped as an adaptive re-use, mixed-use project consisting of a Sheraton Hotel with suites, restaurants, health club and indoor pool, for-sale condominiums, and a banquet facility.
A combination of several Missouri redevelopment programs were utilized for this project, including tax abatement, tax increment financing, Brownfields redevelopment tax credits, and both Federal and State Historic Preservation tax credits. PGAV prepared the TIF redevelopment plan, cost-benefit study, and portions of the tax abatement redevelopment plan, while providing ongoing consulting advice to the developer.
The building’s exterior walls are covered by a prominent mural, making it a St. Louis icon. The bottom floors are reserved for the parking structure, above that is the hotel, and the top floors are occupied by condominiums. PGAV was able to utilize different redevelopment financing tools for different levels of the structure, the first time this had been accomplished in Missouri. Tax Increment Financing was used for the parking structure and the hotel, and tax abatement was used (in a unique “floating” district designation) for the condominium portion of the building in order to make the sales price of the condominiums competitive in the marketplace.