Overland Park city leaders have OK’ed preliminary plans for Galleria 115, a $350 million mixed-use development, but some are unhappy with the developer’s shift away from the project’s entertainment-focused concept.
Located near 115th Street and Nall Avenue just north of the old Sprint campus in southern Overland Park, the proposed development comprises mostly offices and restaurants, as well as an apartment complex. Original plans from 2017 emphasized entertainment and retail as the primary components, however.
Driving the news: The Overland Park Finance, Administration and Economic Development Committee voted unanimously Wednesday to move forward with an intent to issue $2.8 million in bonds for the second phase of Galleria 115.
Site changes: Developer Block Real Estate Services also asked the committee to amend the project’s development agreement with the city, so that it would be inline with an updated preliminary development approved by the city earlier this year.
- This new plan includes reducing the planned construction of retail from 185,000 square feet to approximately 82,000 square feet, as well as increasing the amount of planned office space from 45,000 square feet to 387,000 square feet.
- An increase from 229 to 356 apartment units for the planned residential complex in the southern portion of the property is also included.
City asks to bring back more entertainment: Instead, the committee directed city staff to try to renegotiate the development agreement to get back on track with the original plan that focuses on entertainment.
- Several members of the committee noted the project was initially meant to be an entertainment destination, but the site is now planned to have more office space than retail amenities.
- Councilmember Paul Lyons said he initially approved this project in 2017 because the plans were to create a destination space for residents in nearby hotels and the Overland Park Convention Center.
- “I would like to get us back to that entertainment destination,” said Councilmember Holly Grummert. “I would like to see something awesome in that middle courtyard, like some outdoor entertainment.”
The project details: If approved by the city council, the bonds would go towards sales tax exemption for the purchase of building materials and labor for site infrastructure in the project’s second phase.
- Items set to be constructed in the second phase of the project include a new coffee shop, an unnamed breakfast restaurant, two other restaurant spaces, and two retail stores.
- The bonds are a part of the development agreement the city entered into in 2017 when a community improvement district was created for the project.
Key quote: “The market has changed since the project was started in 2017,” said Curtis Holland with the Polsinelli law firm, who is representing the Galleria 115 developer. “The changes [the developer] has made to the plan have been a reaction to the market itself.”
Whats next for the Galleria 115 project
The intent to issue the $2.8 million in revenue bonds will come before the Overland Park City Council for final approval at one of its upcoming regular Monday night meetings.
- City staff were directed by the committee to spend time within the next following months with the developer to modify Galleria 115’s development agreement in the next following months.