As the old saying goes, “Rome wasn’t built in a day.” That
applies to commercial developments as well.
Before the end of
every Alexander council meeting the public is offered the opportunity
to speak to the mayor, council members and other city officials
concerning problems or other issues important to the individual. It’s
been several months since anyone has attended a meeting wanting to
address an issue, but the June 17 meeting broke the run of public
silence.
A resident, whom
shall remain nameless, had a list of questions concerning the former
Alexander Human Development Center (AHDC). Claiming to have heard
from residents about the proposed commercial development on that
site, the main issue cited boils down to the lack of visible progress
on the development.
First some
history.
AHDC closes;
The property along
Highway 111 was originally built as a tuberculosis sanitarium for
African-Americans. Eventually it was converted into a home for adults
with special needs that required care and training from
professionals.
A statewide lawsuit
concerning the treatment and facilities provided to the clients was
filed and resulted in the state shutting down all human development
centers. Residents in these centers were moved into apartment-like
settings. The Alexander center was closed in 2010.
Pathfinder, Inc. now
provides the life-skills training and housing to anyone needing those
services. Their state-wide offices, and apartments for local
residents, are in the wooden buildings at the southeast corner of the
property.
Arkansas makes an
offer;
In early 2017 the
State of Arkansas decided it had no further use for the AHCD property
and offered it to the City of Alexander. Nothing moves slower than
government and eventually the State ran out of steps for Alexander
officials to complete. During its February 2018 meeting the council
approved an ordinance accepting the State’s offer to take ownership
of the 65.69-acre property at a cost of $10 paid to the State.
As part of the
agreement the city must “honor” an existing lease with
Pathfinder. While Pathfinder occupies approximately one acre of the
property and five housing units, according to the lease Pathfinder
pays one dollar ($1.00) per year and must maintain the grounds of the
entire property. The lease expires in 2022.
While everyone
thought the State couldn’t find a developer willing to pay the
price Arkansas wanted for the property, it turns out by law the State
isn’t allowed to sell real estate to individuals or businesses.
Properties like AHDC can be transferred from one department to
another but not sold.
“That restriction
doesn’t apply to us,” Mayor Paul Mitchell said after the March,
2019 council meeting.
Finding a
developer;
Since the beginning
it has always been Mitchell’s plan to use the property as a lure to
attract developers. The plan was never to sell it but to deed it to
any developer willing to use it for commercial purposes that will
generate sales tax revenue for the city.
He also had in mind
extending Brookwood Road from where it turns towards West Azalea to
Highway 111. That would not only create a short-cut to and from
Highway 111 for that part of Alexander, but carry traffic through the
new commercial area. Mitchell had already received approval from the
owner of the Meadow’s Edge subdivision to provide access from the
AHDC property to Brookwood Road. How to get it built was the
question.
Originally, Mitchell
thought he would have to find someone who wanted to develop the old
hospital building and then parse out the rest of the property to one
or more developers. With the help of Hope Consulting in Benton they
were able to find one developer to take on the entire project,
including extending Brookwood Road.
At this year’s
March council meeting Mitchell announced a developer was found who
was willing to convert the AHCD property into both a commercial and
residential complex. The estimated 40 million dollar project will
include renovating the property’s iconic former tuberculosis
hospital into medium to high-end apartments and extending Brookwood
Road through the property to Highway 111.
According to a
drawing, provided by Hope consulting, all of the small buildings will
be removed to provide a large commercial area. Mitchell noted the
developers have contacts that could provide businesses such as
McDonald’s, Big Red and possibly a Harps.
Strip malls will
also be part of the mix. Mitchell says strip malls allow small
businesses to set up without the hassle and cost of buying property
and constructing a building.
The developer is Ben
Hanford (DBA 14701 Alexander Road, LLC.), a client of the civil
engineering firm of Hope Consulting in Benton. According to Mitchell
Hanford will put $500,000.00 “in escrow” to guarantee completion
of the Brookwood Road extension.
The property will be
divided into 13 lots (See graphic above). Lot-1 (green) has the
hospital building, which will be renovated into apartments. Next to
Lot-1 is Lot-10 (tan), which will be developed into multi-family
housing (apartments). The remainder of the property will be
commercial.
Mitchell has
revealed the name of the shopping center, Alexander Cross Roads.
Besides the shopping center being accessible by area residents from
all four points on the compass, from both inside and outside
Alexander, Mitchell sees the name as a metaphor for Alexander’s
future.
“We are at a cross
roads,” he said. “Do we stay where we are or move ahead.”
What’s the
hold-up?
The last thing
Mitchell and the council members want is to deed the property over to
someone who either fails to complete the development, or it ends up
being sold to someone else. They want an agreement that returns
ownership of the property to the city if something goes wrong.
Mitchell has found a
real estate attorney to review the written proposal provided by the
developer. The attorney is reviewing the proposed contract to ensure
it will stand legal muster, allow the city to retrieve the property
if certain criteria aren’t met and there are no legal pitfalls that
will come back later to bite the city. Of course both sides must
agree to the terms and ultimately it will be up to council members to
give final approval on the transaction.
As of the June
council meeting the attorney is still working on the contract review.
As is usually the case, the City of Alexander is not his only client
so officials must wait for this to be worked into his schedule.
There has been some
behind-the-scenes grumbling that the mayor should find a different
attorney who can move faster. Everyone will just have to wait and
see.