The three-story building will be built next to the under-construction Vatterott College national headquarters, which is the first building for the $500-million NorthPark development. NorthPark is being developed by a joint venture of McEagle Properties of O'Fallon and St. Louis-based Clayco Inc. The office project is valued at $28 million to $30 million, says Larry Chapman, a principal with Clayco.
The joint venture hopes to start construction on the office building by July, but Chapman tells GlobeSt.com "that may be a little bit wishful." It will take about 10 months to complete the core and shell, with the first tenants to move in possibly in June 2008. The quoted rate will be $14 per sf net or $22.50 per sf to $23.50, full-service. The building could accommodate one to five tenants.
A hotel with a conference center and restaurant are planned for the development, but Chapman says he can't provide details just yet. The hotel announcement could be made within 60 days.
Vatterott College's building will have 90,000 sf of office and classrooms. The school is leasing the building, which should be completed by fall.
The NorthPark plan calls for up to 40,000 sf of retail, primarily service retail for the development, Chapman says. The joint venture also is building a 320,000-sf building for Express Scripts in a small annex to the NorthPark site. The venture will lease the building, which will be located on the university's campus property.
NorthPark is replacing a former residential subdivision that was originally purchased for the airport more than 20 years ago. When NorthPark is fully developed it is expected to have up to six million sf of light industrial, office and retail space. The developers originally expected to construct about 5.6 million sf of light industrial space, but Chapman says "there was a lot more interest from office users than light industrial."
The completed development is expected to create about 12,000 additional jobs for the region. Economic experts estimate the property will generate a $7-billion impact on the surrounding cities and county.
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