KCRag Forum

Mission Gateway. What the hell is going on with this thing?

yes, it's taking longer than Aretha Franklin's funeral.

New developments in the project, vote on the project approval I guess is now being pushed to early next year. Will it happen then? Who knows anymore. Updated rending attached as well, not sure if anything’s changed in it or not.



https://shawneemissionpost.com/2022/11/ ... 23-187506/

This project is insane with how long it has been gong on. I worked on the original project which seems was like 20 years ago. I guess walmart is no longer involved? It really does not seem like it should be that difficult to build. I don't see why this project even needs incentives.

Wild that this thread/project goes back to 03/04

Anthony_Hugo98 wrote: ↑Tue Nov 22, 2022 12:38 pm New developments in the project, vote on the project approval I guess is now being pushed to early next year. Will it happen then? Who knows anymore. Updated rending attached as well, not sure if anything’s changed in it or not.



https://shawneemissionpost.com/2022/11/ ... 23-187506/

That's correct, we approved the Preliminary Development Plan and the IRBs, as the Planning Commission and city staff have found the development itself (what would be built, not financing & incentives) to be legal and reasonable. However the TIF Project Plan, CID, and Redevelopment Agreement decisions have been deferred as the developer has not yet secured the full amount of capital necessary to complete the first phase. This council appears unwilling to proceed with those incentive votes until all the capital has been put on the table.

As for the rendering, the major change is the leftmost building shown in the image above. Previously there was a large food hall proposed in that area, but now lenders have apparently required more emphasis on residential and less on certain dining & retail elements. That shift is likely due to perceptions of the financial soundness of dining & retail in light of changing consumer behavior since the COVID-19 pandemic.

Happy to answer any more questions you have.

Ben Chociej, Councilmember for Mission KS Ward 4

Thanks Ben and appreciate you on this forum.

I think everybody wants this dirt lot developed, but this dev has been fly by night for 20 years and no need to shove an incomplete project through just because.

I hope the city requires an independent engineer to verify that the existing rebar/concrete (at the apartments & garage) is sound. It has sat exposed and untreated for far too long at this point. I imagine this developer will try to get away with using what's there, which could lead to longer-term issues for the city.

It's also amazing that the former Whole Foods store (and I think it started out as a Safeway back in the day), has sat empty this whole time across the street. The negative energy given off the Gateway site no doubt has affected any development there.

But that property also has plans.

bchociej wrote: ↑Fri Dec 02, 2022 2:32 pm

Anthony_Hugo98 wrote: ↑Tue Nov 22, 2022 12:38 pm New developments in the project, vote on the project approval I guess is now being pushed to early next year. Will it happen then? Who knows anymore. Updated rending attached as well, not sure if anything’s changed in it or not.



https://shawneemissionpost.com/2022/11/ ... 23-187506/

That's correct, we approved the Preliminary Development Plan and the IRBs, as the Planning Commission and city staff have found the development itself (what would be built, not financing & incentives) to be legal and reasonable. However the TIF Project Plan, CID, and Redevelopment Agreement decisions have been deferred as the developer has not yet secured the full amount of capital necessary to complete the first phase. This council appears unwilling to proceed with those incentive votes until all the capital has been put on the table.

As for the rendering, the major change is the leftmost building shown in the image above. Previously there was a large food hall proposed in that area, but now lenders have apparently required more emphasis on residential and less on certain dining & retail elements. That shift is likely due to perceptions of the financial soundness of dining & retail in light of changing consumer behavior since the COVID-19 pandemic.

Happy to answer any more questions you have.

Ben Chociej, Councilmember for Mission KS Ward 4

Thanks for the Info Ben! At least it is getting closer to something that it has through much of recent history, we greatly appreciate the updates.

https://shawneemissionpost.com/2023/01/ ... nt-191895/

Approval for another version of Mission Gateway has been granted.

City Administrator Laura Smith told the Post the redevelopment agreement also shows the city will commit to issuing $18 to $22.5 million worth of special obligation TIF bonds for the project.

For work to start, Smith said the city must begin issuing special obligation bonds to help fund the project and developers, the New York-based Cameron Group, must secure the rest of the financing. Smith said that it could be another three to six months before bonds are issued. After that, the redevelopment agreement approved Wednesday requires the developer to resume construction within four months of the bond’s being issued.

The new agreement includes $3 million in escrow, $2 million to ensure taxes are paid and $1 million to ensure all timelines and milestones are met, Heaven said. Mayor Sollie Flora noted there is also a “drop dead date” included in the new agreement that says all of phase one of the project needs to be complete within 46 months after bonds are issued. Phase one includes the Cinergy entertainment center, apartments, retail spaces, a food hall and parking garage, some of which have already started to be built.

So if I'm reading that right it could be 52 months or over 4 years before phase one is completed?
Is this phase 1?



Oh well. It's a good project and at least it seems to be moving. Hopefully there's follow through this time

Cratedigger wrote: ↑Thu Jan 19, 2023 8:16 pm https://shawneemissionpost.com/2023/01/ ... nt-191895/

So if I'm reading that right it could be 52 months or over 4 years before phase one is completed?
Is this phase 1?



Oh well. It's a good project and at least it seems to be moving. Hopefully there's follow through this time

Some more detail on the phases from KCBJ

Once the bonds are issued, the developer must start phase one, which includes 49,752 square feet of “small shop” commercial or restaurant spaces; 90,000 square feet of retail, restaurant and entertainment in the Cinergy area; 373 apartments; a hotel; related site work; and surface parking and a garage.

The first phase is expected to finish by the fourth quarter of 2025. The second phase would include building a roughly 202-room hotel and a 100,000-square-foot office or medical facility.

https://www.bizjournals.com/kansascity ... -gfi.html

They should put the new Royals Stadium there &

What's three more years? Anyone else worried the next stumble will be that the half built parking structure will need to be torn down and rebuilt due to exposure to the elements or some structural integrity issues?

Hi again all. Glad to see you're already up to speed on this past week's votes. The key points have been well reported so I'll just leave my two cents: in short, the current deal is the best option available to us, though we are well aware nothing is certain.

I'm always happy to answer questions; please let me know if you have any. Here are some salient ones I've already seen:

kcjak wrote: ↑Fri Jan 20, 2023 9:19 am Anyone else worried the next stumble will be that the half built parking structure will need to be torn down and rebuilt due to exposure to the elements or some structural integrity issues?

Here's my understanding. The parking structure is prefabricated and is pretty unlikely to encounter problems based on exposure or the like. The Cinergy building is similar on that front, and it also has the advantage of being much more complete already. Other structures have been evaluated to some degree, but it will be incumbent on the developers to show evidence that existing work is suitable before proceeding.

Cratedigger wrote: ↑Thu Jan 19, 2023 8:16 pmSo if I'm reading that right it could be 52 months or over 4 years before phase one is completed?
Is this phase 1?

Yes, phase 1 is everything but the hotel and office building. And yes, the schedule allows up to 46 months after bond issuance for phase 1 to be totally completed, after which the developer would be in default. Inside of that, the major project components have their own deadlines at 24/39/42 months.

- Ben Chociej, Councilmember for Mission, KS, Ward 4

Thank you Ben for the insight on this one. Looking forward to seeing movement/it being complete.

has anyone heard or know of any news on this project? I'm curious if the city is moving forward to bond purchase?

https://www.kansascity.com/news/busines ... 66856.html

New York-based Metropolitan Commercial Bank sued Aryeh Realty LLC, a subsidiary of the firm that owns the property, alleging it is delinquent on more than $1 million in mortgage payments.

Court records indicate that Mission Gateway’s developers have struggled with mortgage payments for months.
Metropolitan Commercial Bank in 2019 issued a $20 million mortgage loan to Aryeh Realty on the property. The principal amount was increased to $26 million in a January 2020 modification of the loan agreement.
The original mortgage has been amended several times and the bank entered into a forbearance agreement, which can allow a reduction or pause in payments for struggling borrowers, with Aryeh in September 2020.

In a lawsuit filed last week in Johnson County Court, the bank alleged that Aryeh owed $1.189 million in delinquent principal and interest payments dating back to November 2022. The bank demanded immediate repayment of the entire loan or foreclosure and sale of the property.

bchociej wrote: ↑Sat Jun 11, 2022 10:34 pm

Goonies wrote: ↑Sun May 01, 2022 3:50 pmAny updates?

Construction on the apartment project at 5399 Martway (Mission Bowl site) has begun in earnest. Latest details are usually posted to the city's project page at https://www.missionks.org/city-governme ... -projects/

A few pics. Side note: a little farmers market/pop up shopping festival was down the street and there were so many people walking around. Since I moved back I’ve only been here to go to Sullys at night and I’d forgotten how nice this stretch of Johnson drive is.