11 August 2023
WICHITA, Kan. (KSNW) — The big development of a hotel, parking garage and offices around Riverfront Stadium has not happened. Instead, the developer wants to sell some of the land back to the City of Wichita, so the City can sell it to a company that will make it happen.
On Tuesday, the Wichita City Council will discuss the purchase. It involves buying some of the undeveloped land for $1 an acre. That’s the same price the City sold five tracts of the land for in 2019.
Previous plan
The City entered a development agreement with Wichita Riverfront LP in 2019. WRLP would develop some of the land into hospitality, commercial, retail, office and residential space. WRLP also had an option to buy a sixth tract just north of the Drury Hotel for $1 million.
WRLP negotiated with EPC Real Estate Group of Overland Park. And in 2022, they presented the City with a plan for a hotel, office buildings, a parking garage, and more.
The City Council approved the plan with the understanding that construction would begin by July 7, 2022, and be completed in July 2024.
The City says a building permit was filed by July 7, 2022, but was withdrawn a few months later.
The new plan
On Friday, City staff reviewed part of the new plan with City Council members. It is an agreement the staff reached with WRLP and EPC Real Estate Group.
“The City is going to buy back the three tracts of land from WRLP and subsequently convey those to EPC for the ongoing development of those three tracts,” Assistant City Manager Troy Anderson said.
The Wichita City Council agenda lays out the specifics for the new agreement:
WRLP will convey three tracts of land to the City for $1 an acre.
The City will convey the three tracts to EPC for $1 an acre.
EPC will commit itself to the 2022 development agreement that is being amended.
WRLP will be released from the 2022 agreement.
WRLP will keep parcels D and E without development requirements. The properties are within and subject to the limitations imposed by the Delano Neighborhood Plan, the Ballpark Village Master Plan, and those land-use restrictions outlined in the 2019 agreement.
The 2019 agreement between WRLP and the City will be terminated.
WRLP will still have the option to buy the lot north of the Drury for $1 million, but it will no longer have to pay a $25,000 annual option fee.
What to expect
The City says EPC’s development plan is similar to the original plan, but there would be an apartment complex instead of office space.
EPC proposes:
A 155-key hotel
A 150-unit apartment complex
10,000 square feet of retail space
A 260-stall parking garage
Some council members were concerned about a previous commitment to Delano District businesses to provide parking north of the stadium. They asked if that is included in the new agreement.
City Manager Bob Layton said it is not included in the development agreement.
“We are aware of the commitment that was made by the team owner originally and have told the Delano businesses we’ll do everything we can to see that that’s honored,” City Manager Bob Layton said. “If, for some reason, additional parking can’t be accommodated adjacent to the businesses, then we can accommodate them and or work with the developer to accommodate parking needs in the multi-modal facility.”
“I want to make sure I understand — the 2019 development agreement that we had with WRLP does not have any parking requirements or availability as part of parcels D and E,” City Council Member Bryan Frye said.
“That’s correct. It’s not,” Layton said. “It’s my understanding it’s not in the 2019 agreement. It was a commitment made by the team owner at the time that Council was considering the agreement.”
The City’s commitment
For its part, the City will offer EPC money generated by the tax increment financing district, including up to $11.37 million in TIF pay-as-you-go proceeds.
The City commits to the issuance of industrial revenue bonds for the purpose of sales tax exemption for the project.
It will also design and build any necessary infrastructure and riverfront improvements.
And when the parking garage is ready, the City will buy it from EPC and let EPC’s tenants, patrons, and clients use part of it at market rates.
City staff told council members that the project is expected to bring significant new tax revenue.
KSN News has been following the Ballpark District developments for several years. Look for our continuing coverage after Tuesday’s Council meeting.