Downtown Overland Park will get a new four-story office building to add to all the new apartment buildings, following the City Council’s approval of a final financing plan.
The Council voted 10-2 on Monday night in favor of a tax-increment financing plan for Avenue 82, an office building being developed by EPC Real Estate Group at the northeast corner of 82nd Street and Metcalf Avenue.
The $18.6 million project would have $13.9 million in private financing. The TIF would redirect $4.7 million in new taxes to reimburse developer costs for land acquisition, demolition, site work, parking and street and traffic improvements.
EPC said the building should be substantially completed by December 2019. New tenants in 2020 will include BRR Architecture and the REACH Healthcare Foundation, which will move their offices from Merriam to Overland Park. BRR Architecture will relocate more than 160 employees, and the REACH Healthcare group will relocate about 8 employees.
“This is exactly what we need in downtown Overland Park,” Councilman Dave White said, adding that the project will complement EPC’s Avenue 80 and Avenue 81 buildings on Metcalf. Avenue 80 is a multistory apartment building and Avenue 81, currently under construction, will be a senior living facility.
Avenue 82 will go where Gabler’s Nursery operated for decades.
Council members Faris Farassati and Gina Burke opposed the TIF. Farassati said downtown Overland Park has already achieved a lot of economic momentum, and it’s time that developers were self-sufficient and built their projects without taxpayer incentives. But the council majority agreed the benefits of this new project outweighed the public incentive costs.
Avenue 82 will be one of two major office buildings under construction in downtown Overland Park. The Edison OP project, a five-story office space and food hall, has had its groundbreaking and will be under construction at 80th and Marty streets. Completion of that project is also expected in late 2019.