ST. LOUIS, MO: (STLRealEstate.News) Downtown St. Louis could become home to a new office development in a few years. Talks for the construction of the first office complex development in downtown St. Louis in over 3-decades are officially underway for the Koman Group, a national investment and real estate development firm with an eye for up-and-coming investments. The group is asking for $8.7 million in tax increment financing (TIF) for a $43.5 million, five-story mixed-use development across the street from the one and only Busch Stadium. The group submitted a TIF application early last week, and showed off their negotiations with an anchor tenant that would move close to 310 jobs to the new development. These current jobs are variously dispersed around the city.
The city stated that the office complex project could be done as early as December 2018. Koman did not return requests for comment at this time.
If the city moves forward with this proposal, the complex would be located near the intersection of Spruce and Ninth streets, and would be downtown St. Louis’ first new office development in over 30 years. Koman tapped Forum Studio to function as the chief architect on the project, and Clayco as the contractor. Argos Partners will function as the accountant.
Also according to the disclosed TIF, Koman is likely to seek additional financial assistance through the community improvement district, or transportation development district.
This new building will surely be among downtown St. Louis, most upscale office spaces. It’s development and construction would give the region a more respectable and highly developed professional look to interested investors and business developers. According to Newmark Grubb Zimmer research, Class A office space in downtown currently leases for around $18.57 per square foot. This new building proposal would certainly come in at a higher square foot asking price.
Contributing Editor: Alexandra R. Fasulo