Sherwin-Williams' HQ on Public Square? Yes. A supertall? Don't count on it.

In May 2008, just as the Great Recession was
knocking, the Jacobs Group and Hines Inc.
proposed a 21-story office building on the
west side of Public Square (Jacobs/Hines).
CLICK IMAGES TO ENLARGE THEM

Public Square is a fascinating mix of old and new, small and tall buildings.

It's oldest building is also the oldest still standing in downtown Cleveland -- the Old Stone Church. It dates from 1855 although its Presbyterian congregation goes back to 1820 when locals still thought of themselves and their land as a part of Connecticut. The church's interior has the appearance of an unpretentious New England town hall.

Back then, the tallest buildings in any East Coast or European city were churches. They spoke to the importance of the church in our communities. The Old Stone Church's steeple stands 250 feet high.

Today, the tallest buildings in our cities are commercial structures. Just across Ontario Street, also on the north side of Public Square, is the tallest building in the state of Ohio and the tallest between Chicago and East Coast -- the 57-story Key Tower. It stands 890 feet tall but the tip of its antenna is 947 feet above Public Square.

On the other side of Public Square are Cleveland's second- and third-tallest towers. Terminal Tower, named for the railroad terminal below it, was the tallest building in the world outside of New York City when it opened in 1928 (Cleveland Union Terminal opened two years later). The ornate 52-story, 708-foot-tall spire makes her the grand dame of Ohio's skyscrapers.

It was challenged for height and certainly for mass when Standard Oil of Ohio (Sohio) opened its headquarters in 1985 at 200 Public Square. That address is the current name of the 46-story, 659-foot-tall building, after BP America swallowed up Sohio in 1986 and steadily reduced its corporate footprint here over 13 years until nothing was left.

The largest building in Cleveland would have been the 1,200-
foot-tall Ameritrust Tower, at left. Two buildings were razed
for it in 1990 on the Jacobs lot on the western side of Public
Square. But Society Bank, for whom Jacobs had just built a
57-story tower on Public Square, merged with Ameritrust
Bank and canceled the project. The other two towers pic-
tured are Terminal Tower and 200 Public Square (Jacobs).

BP's departure continues to fuel a robust cynicism today about Sherwin-Williams' (SHW) future headquarters presence in Cleveland. But there is no indication among many substantive actions taken by SHW during its year-plus-long headquarters-related efforts that it is leaving Cleveland -- aside from a throwaway sentence in a press release that it was considering sites outside Northeast Ohio.

There is every indication that SHW is going to be the next edifice to grace Public Square, by action of adding its HQ to the west side of Cleveland's New England-style commons. Those actions in recent months are numerous.

Consider that SHW has had a purchase contract on the properties, owned by the Jacobs and Weston groups since March. There is no information to suggest that SHW has a purchase agreement with the owners of any other sites, however Bedrock has proposed to build a tower for SHW to lease behind Tower City. But that move would add to SHW's long-term debt rather than to its equity.

Less than a month after SHW and its facilities consultant Welty Building Co. hired construction management firm Gilbane Building Co., geotechnical (soil, water, etc) sampling and surveying work has occurred on the lots every week in November.

A title company on behalf of SHW filed 12 certificates of disclosure with the city for the Weston lot properties, bounded by Superior and St. Clair avenues as well as West 3rd and West 6th streets. The certificates are filed before land is transferred to a potential buyer to get legal use information and to determine if there are any property violations or condemnations.

There's a missing tooth on Public Square, filled only by a
surface parking lot for the last three decades. This is where
SHW proposes to build its new headquarters tower (Google).

SHW won't find any condemnations because the Weston lots have been used as parking lots for decades. And even if SHW did find any property violations during their use as parking lots, the properties would not remain as parking lots anyway. No certificates have been filed as yet for the Jacobs Group-owned lot on Public Square.

However, subcontractors have drilled wells on the Jacobs lot in the past week and removed groundwater samples in coolers for lab analysis. It should be noted that the wells were capped.

That suggests more sampling could be done or, just as likely, the groundwater could be removed over an extended period of time in preparation for excavation work and foundation construction in a little more than a year.

Groundwater removal is less important for the digging of caissons to bedrock 200 feet below the surface than it is for constructing a concrete mat foundation. Caissons are typically dug for towers rising above 400 feet. Mat foundations, or "floating mats," are for shorter towers.

And that sounds like what SHW is doing here. It sounds like they are testing and preparing the 1.17-acre Jacobs lot on Public Square for a mat foundation.

Groundwater survey crews on Nov. 18 retrieved samples
from newly drilled wells in the Jacobs Group-owned lot
on Public Square and placed the samples into coolers for
transport and lab analysis (clevelandskyscrapers.com).

The rest of the site, including the 6.76-acre Weston lots, would feature additional offices, research and development facilities plus parking decks. It could also host some diverse public uses like restaurants, shops (how about a flagship Sherwin-Williams store?), and possibly even a hotel for the thousands of employees visiting for training purposes.

The possibility that SHW won't be constructing a building to challenge the other three skyscrapers on Public Square was revealed by a source close to SHW CEO John Morikis who said that the CEO wasn't interested in an iconic headquarters tower, at least when it comes to height. However, the design could still be quite striking and unique, as one source suggested.

Another source involved in SHW's HQ project indicated that the main tower likely would not exceed 30 stories. There would be lesser, but still large buildings scattered throughout SHW's HQ+R&D setting.

Yet another source said SHW was very excited about the possibility of developing an urban HQ+R&D campus on the Jacobs and Weston lots. An announcement could come next month, city sources said.

Many urbanists lament the 1990 termination of the Ameritrust tower construction project on the Jacobs lot. That project would have put a 60-story tower reaching 1,200 feet above Cleveland.

It seems just as many urbanists cheer that a 21-story office building proposed by Jacobs/Hines tower didn't materialize on the west side of Public Square in the months before the Great Recession began in 2008.

So the work using the newly drilled groundwater wells on the Jacobs lot seems to align with the information from sources that SHW is unlikely to scrape Cleveland's sky. But SHW will offer a substantial physical presence with thousands of new jobs that eradicates the largest single parking crater in downtown crater.

That's a lofty goal that's well within reach of achieving.

END

Report suggests new courthouse tower and jail campus are best options

The 42-year-old Justice Center courthouse and jail has towered
over Lakeside Avenue with a Brutalist shadow. Consultants are
reporting data that shows the center needs 300,000 more square
feet of space, the jail must be replaced to provide humane con-
ditions and that cost savings would result from having new jail
and court facilities (Google). CLICK IMAGES TO ENLARGE

There's a lot more data to be refined and opinions to be weighed, but a preliminary report on Cuyahoga County's Justice Center shows that constructing a new downtown courthouse tower and a multi-acre jail campus outside of downtown might be the most beneficial and, yes, affordable option for the county.

Specific sites were not considered at this early stage, aside from some options that proposed reusing some or all of the existing Justice Center properties and neighboring county-owned land downtown. Detailed cost information also was not yet developed.

The report was presented Nov. 21 by consultants to a steering committee comprised of city and county officials and judges overseeing the Justice Center's possible renovation or replacement. The project's lead consultant is Cleveland-based Project Management Consultants LLC managed by Jeff Appelbaum.

The Justice Center masterplan process is in the programming stage, where program services are matched with their space needs and how best to configure them to meet accepted standards and best practices. The programs are under three general use categories:  courts, detention and sheriff's administration.

Although recommendations could be made next month, no decision involving facility configurations will be made before March. It will be many more months before a site or sites can be considered, Appelbaum said.

Two things became quantifiable in the current stage of planning -- that the Justice Center facility is in very poor condition, it doesn't meet current program standards, and it has a shortage of space for its three general use categories by a total of up to 400,000 square feet. That doesn't include parking, for which the Justice Center is also severely lacking.

The 42-year-old Justice Center's condition can be expressed in the relative value of investment necessary to renovate each building as-is without addressing programmatic needs or shortages. In other words, the higher the percentage, the worse condition that building is in.

• Police administration - 72 percent
• Courts tower - 56 percent 
• Jail I - 47 percent
• Jail II - 23 percent

The police administration building is already the subject of efforts by the city to relocate the Cleveland Police Department headquarters to a large, new facility planned at East 75th Street and the new Opportunity Corridor boulevard.

The 25-story courthouse tower (KJP).

Also falling apart are the 25-story courthouse tower and 10-story Jail I building, both built in 1977. The courthouse, housing the county Common Pleas and Housing courts as well the Cleveland Municipal Court, has a total of 590,419 square feet but needs up to 780,000 square feet including support facilities, Appelbaum said.

If built as a downtown tower, the courthouse would likely reach 30 stories or more -- if parking for about 2,000-2,500 cars adding 700,000 to 900,000 square feet was in a separate structure. If the parking was in the same structure, that tower could be 60 stories tall, assuming average floorplates of at least 25,000 square feet.

Consultants said that a courthouse in the downtown area and in proximity to the legal community is beneficial. A new courthouse tower is presumed to require one to two blocks of downtown land.

Steering committee members and consultants have considered potential downtown sites for the courthouse tower. But there is a lot of a interest among steering committee members in keeping the courthouse at or near its current location, on the south side of Lakeside Avenue and west of Ontario Street.

The most expensive option would be to build and/or rebuild all-new facilities for the courts, detention and sheriff's administration on the existing, tiny, 7-acre site, by shifting uses around. Constructing a new courthouse tower on the current site and a new jail/sheriff campus outside of downtown would be the second-most expensive option.

The least expensive option would be to build a new courthouse tower downtown on land somewhere other than the Justice Center, with a jail/sheriff campus outside of downtown, project planners said.

The new facilities could also be joined by the Eighth District Court of Appeals, Domestic Relations as well as the Probate Court, which are located in the 1912-built county courthouse on the north side of Lakeside at Ontario. But judges and many staff said they prefer to remain in the ornate, historic building.

Mary Eileen Kilbane, administrative judge of the appellate court (she will be succeeded by Judge Eileen T. Gallagher in January) took a vote of the 12 appellate judges said they don't want to move from the historic court building, but they do want to stay involved in the process and have a seat on the Justice Center steering committee.

"Maybe the powers-to-be (say) we will eventually have to join this process of moving" Kilbane said. "Our building is of a historic value and we want to stay there."

The existing courts have offices spread among multiple buildings, some are off-site yet most offices suffer from overcrowding. For example, the Housing Court has no offices at all and is located in cubicles in hallways. It has just one court room.

Design of court spaces invite on-site conflict. Planners noted there is no separation of spaces for opposing parties in the often emotionally charged and contentious domestic relations court where children are assigned custody and property or finances are divvied up.

The significant amount of new space needed virtually
guarantees new construction to at least some extent,
as well as doubling the amount of parking available
for the courthouse tower as well as for the jail and
sheriff's administrative office (PMC).

And then there is the jail. There appears to be unanimous support on the steering committee for replacing the jails with a new facility rather than rebuilding the old structures.

The Jail I building dates from 1977. It is the scene of overcrowding and conflicts between prisoners and staff. The state standard for jails is to have 48-bed housing units. Jail I has 23- to 24-bed housing units. It is operationally inefficient and lacks sufficient space for recreation, health care, program spaces and services. The jail's physical condition is poor, planners report.

Although the 11-story Jail II, built in 1995, is in better condition and meets state standards on inmate housing, it also has many design deficiencies. Between the two jail structures, there is 335,620 square feet of space. It would need to expand by about 265,000 square feet to relieve overcrowding and provide safer, more efficient movement of prisoners.

But that could be reduced by 65,000 square feet or more by implementing countywide central booking and offering mental health diversion programs. Although a location for the mental health diversion program hasn't been determined.

Lastly, the sheriff's administrative offices total 54,198 square feet but need nearly 90,000 square feet to address crowding and provide efficient movement and adequate on-site storage, planners said.

Consultants noted several preferences and issues about renovating or replacing the Justice Center, be it on the existing, tiny 7-acre site or elsewhere downtown or outside of downtown. Reusing the existing site means a far longer time to occupancy for each of the three general use categories than other options, which also means higher expense than new construction off-site.

Reusing the existing site makes more serious the issue of construction inflation, which planners termed as "cost escalation." Construction costs are escalating at 4-6 percent per year, so they also compound. Construction costs rising at 4 percent would therefore rise by 23 percent over five years. Also, reusing the existing site limits design efficiency and construction schedules.

Planners noted that a downtown jail is problematic because a jail discourages nearby development and a mid- to high-rise jail means higher construction costs. Low-rise, modular construction is up to 25 percent less expensive and can easily be expanded, whereas a high-rise building cannot. Most modern jails are set on anywhere from 16.5 acres of land in Philadelphia to 44 acres in Lexington, KY.

Having the jail and courthouse physically connected is considered an advantage but not a significant one. For example, Philadelphia moves about 600 prisoners 20 minutes back and forth between its jail and courthouse per day. Cleveland/Cuyahoga County would move about 200 prisoners per day.

These are the four primary structures at the existing Justice
Center campus, with north to the left (Cuyahoga County).

Operating cost increases involving prisoner moves are small because staff is moving prisoners anyway. It's the cost of vehicles that make the difference, possibly raising jail operating costs by about 2 percent.

In Philadelphia, the cost of moving prisoners was offset by operational savings from having a new building. Video hearings can reduce the needs and costs for some transports as could the locating of an arraignment holding facility inside a new, downtown courthouse, steering committee members said.

The availability of sufficient parking, either new or shared with existing parking facilities, was a major factor in all sites -- especially downtown. Transit accessibility is a major factor as well for all potential sites.

Here are some alternatives being considered (see the illustrations at the end):

New jail & courthouse on urban site (high rise)
Acquire new urban site
2-3 city blocks or more measuring 18-27 acres to construct:
• New courthouse
• New support offices
• New jail
• New parking structure

New jail & courthouse on campus site (low- to mid-rise)
Acquire new campus site of 20-30 acres to construct:
• New courthouse
• New support offices
• New jail
• New surface parking

A new courthouse on an urban site (mid- to high-rise) with a new jail on a campus site (low-rise) could have these features...

Jail - Acquire new campus site of 15-20 acres to construct:
• New jail
• New surface parking
• Disposition of existing site

Courthouse - Acquire new urban site of 1-2 city blocks to construct:
• New courthouse
• New support offices
• New parking structure
• Disposition of existing site

Objective criteria for weighing alternatives:
• Construction cost
• Project cost – soft costs, fees, land acquisition, off-site infrastructure, escalation, financing, contingencies, etc.
• Embodied costs for future expansion (potentially wasted dollars)
• Time to “relief” jail conditions
• Time to critical milestones, including completion
• Annual operational costs
• 30-year operational costs
• 30-year cost of ownership

For more details, see the Cuyahoga County Justice Center project web site. Here are illustrations of the development alternatives (source: PMC; CLICK IMAGES TO ENLARGE THEM):

END

The Outlet Shoppes of Cleveland is back in stock again

Proposed site location of the Outlet Shoppes of Cleveland is
between the Shoreway highway and South Margin Road, just
south of Burke Lakefront Airport in downtown Cleveland.
More infrastructure is needed to support the retail center and
additional development being considered nearby (LoopNet).
CLICK IMAGES TO ENLARGE THEM

With the goal of opening its doors to customers in the spring of 2022, the Outlet Shoppes of Cleveland is the subject of local and national leasing activities now underway. The project, originally proposed several years ago and on the other side of the Shoreway highway, is back and is being pursued aggressively by its national developer.

According to project's backers, they say that "remarkable progress" has been made behind the scenes on developing the 320,000-square-foot retail center. It is proposed to be built on roughly 14 acres of city-owned land between the Shoreway and South Marginal Road, just south of Burke Lakefront Airport.

Developer Horizon Group Properties, based in the Chicago suburb of Rosemont, IL, last week announced that it has retained real estate broker CBRE as the local listing agent for the entertainment as well as the food/beverage leasing at the Outlet Shoppes of Cleveland.

Horizon, which owns and operates eight designer outlet centers across the USA, will handle the national leasing. That includes populating about 60 high-end retail spaces in the shopping center with national names that are identified in its marketing brochure.

Although conceptual site plans and renderings were included in the brochure, more detailed plans for The Outlet Shoppes at Cleveland will be revealed soon, and will feature architectural design from Adams and Associates Architecture.

A conceptual site plan for the Outlet Shoppes of Cleveland,
proposed by Horizon Group Properties and CBRE (Loopnet).

“The Greater Cleveland market is dynamic with over 3.8 million people in a 60-mile radius, and downtown Cleveland is growing both in terms of residents and tourists, which are all critical elements for a successful outlet shopping center” said Gary Skoien, president and CEO of Horizon Group Properties, in a written statement.

“Combining HGP’s leasing team, which has vast experience working with quality national outlet tenants, and CBRE’s expertise in entertainment, food and beverage will result in highly appealing stores, restaurants, bars and family gaming venues in a unique setting," Skoien added.

For CBRE, Joseph Khouri will lead the entertainment leasing along with Vince Mingo, while industry veteran Stephen Taylor will lead the food/beverage leasing. Nearly 90,000 square feet in the two-level structure is proposed to be for restaurants and entertainment, including a rooftop bar and
recreation area.

Horizon’s efforts haves focused on the outlet industry, comprised primarily of national retailers. Much of Horizon's leasing activities have been behind the scenes. However, they reportedly have presented the Outlet Shoppes of Cleveland project at multiple International Council of  Shopping Centers events and have had numerous site visits in Cleveland, Khouri said in a Nov. 19 e-mail.

How the Outlet Shoppes of Cleveland could look from the
Shoreway. Among the entertainment options considered for
the retail center are a cinema, sports-themed restaurant or a
gamer-themed cafe (LoopNet).

"Because there is limited outlet presence in the metropolitan area, there is limited brand name retail in downtown and the distance to competing retail is so great, the response from outlet tenants has been extremely positive," Khouri wrote.

The nearest outlet retailers to the geographic center of Cleveland are the Aurora Farms Premium Outlets (a 39-minute, 31.6-mile direct drive east of Public Square in light traffic) and the Ohio Station Outlets in Lodi (a 48-minute, 46.7-mile direct drive south from Public Square).

"We are currently negotiating lease terms with prospective tenants but we never release tenant names at this stage in the process," Khouri added. "Names being used currently are representative of some of the brands we typically expect in our centers but are for illustrative purposes only."

Construction costs are not yet available, however typical per-square-foot costs for building indoor retail centers suggest the Outlet Shoppes at Cleveland could be at least a $100 million investment.

That doesn't include infrastructure. A Cleveland city official who spoke off the record said the cost of adding or adjusting infrastructure to support the retail center would be in the "millions of dollars -- which is why nothing has happened there."

The western end of the Outlet Shoppes of Cleveland, facing
toward downtown and North Coast Harbor, may offer indoor
and outdoor food and entertainment venues (LoopNet).

Those costs include adding sanitary sewers, constructing sidewalks to the nearby South Harbor terminal station of the light-rail Blue/Green Lines from Shaker Heights, and possibly realigning South Marginal Road.

Also, site control has apparently yet to be resolved. The lakefront land is owned by the city. Neither Horizon or CBRE representatives were prepared to discuss the site control situation. According to municipal law, the City of Cleveland cannot sell lakefront land without a public vote.

"Horizon continues to work with the City of Cleveland on land entitlements, utilities and other infrastructure for the site and additional capacity to stimulate development of the lake shore for other uses," Khouri said.

END

Sherwin-Williams' new HQ+R&D = 6,000 jobs for downtown Cleveland

City Planning Commission approved this banner for the side
of the current Sherwin-Williams headquarters in 2016. Soon,
SHW's land will be along the north side of Superior Avenue
and will accommodate its new headquarters, research facili-
ties and 6,000 jobs from throughout the world (CPC).
CLICK IMAGES TO ENLARGE THEM

Sherwin-Williams' (SHW) top executives are urging department heads to consolidate as many activities and jobs as possible from around the world into its new headquarters and research facilities.

The end result of that directive is that SHW's global headquarters plus research and development (HQ+R&D) center could add 2,500 jobs, bringing the total for the entire campus to 6,000 employees, according to sources who spoke off the record and provided internal company data.

As reported here at NEOtrans in recent days and weeks, SHW plans to build its HQ+R&D on the west side of Public Square in downtown Cleveland. SHW has begun the process of buying land currently owned by the Jacobs and Weston groups. Barring a startling change of direction, it means downtown Cleveland will be the beneficiary of thousands of new and relocated jobs.

SHW already has about 3,500 jobs downtown, spread among SHW's HQ at 101 W. Prospect Ave., the neighboring Skylight Office Tower, and the John G. Breen Technology Center, 601 Canal Rd.

The job projections are coming into focus as SHW's facility programming rapidly progresses. Programming is an early phase of the building planning process. For office buildings, departmental managers are queried about their current and projected staffing, space needs and patterns of use for the coming years.

From those numbers, architects begin to assemble blocks of space to be shaped and molded according to a variety of factors, ranging from the available land to the personal preferences of C-suite executives.

That process is well underway for SHW and its architect Vocon Partners LLC which is designing the interiors of the coatings giant's new global HQ+R&D facilities. It is likely another architect will be brought in to design the exteriors of those facilities, sources said.

The additional jobs for downtown Cleveland are based on the departmental feedback SHW executives and Vocon architects received by their deadline last week.

This is what 3.5 million square feet of new development in
Weston's Superblock would look like, based on a discontinued
Weston plan. Sherwin-Williams is planning 1.8 million square
feet of offices and research facilities plus perhaps 500,000 to 1
million square feet of structured parking. The street in the mid-
dle of this east-looking massing is Frankfort Avenue (Weston).

Five years ago, SHW outgrew its HQ of the last 89 years. So SHW has spread its Cuyahoga County workforce among a half-dozen facilities. Plus there are hundreds of jobs in other cities that SHW reportedly would like to have at its HQ but can't due to lack of space.

In Cuyahoga County, in addition to the SHW jobs downtown, the Fortune 500 company also has more than 250 employees at a 151,830-square-foot office/flex space located at 4770-4780 Hinckley Industrial Parkway in Cleveland.

It also has several hundred employees at its 388,766-square-foot Automotive Finishes Corp. global headquarters, research and development facility and training center, located at 4440 Warrensville Center Rd., Warrensville Hts. About 100 employees are office workers and might move downtown.

The office employment doesn't tell the full story either, because part of the spatial needs involves employees visiting from offices, laboratories and stores located around the world for training.

SHW's HQ will have a lot more of those visitors, especially as training of vice presidents, salespeople, information technology, human resources and other on-the-job development will all be consolidated downtown, sources said.

There is a lot to consolidate. SHW rents offices and classroom spaces at Baldwin-Wallace University in Berea and Case Western Reserve University in Cleveland's University Circle area for training activities.

SHW's new training center will also be downtown, likely resulting in the reduction of activities at its 24,150-square-foot Strongsville Training Center, 11350 Alameda Dr. where as many as 300 employees are based. A model store and small training staff will likely remain.

According to data acquired by NEOtrans, the number of people visiting SHW's seminars and three-day-long training classes would fill more than 100 hotel rooms every weeknight for an entire year. And that number will grow as SHW grows.

Looking west from Public Square along Superior Avenue in
2014, the Jacobs lot in the right-foreground and the Weston
Superblock beyond is nearly 8 acres of parking lots in the
heart of downtown Cleveland. Purchase contracts, geo-
technical surveys and Certificates of Disclosure for
SHW's HQ+R&D have finally put those desolate
parking lots in serious danger (Google).

Currently, most visitors stay in hotels off Interstate 71 in Middleburg Heights. Those hotel occupants will follow the training center downtown. By staying at downtown hotels, more trainees might be encouraged to stay an extra night to attend a sporting event, enjoy a Playhouse Square show or visit a museum or two.

Another activity to be consolidated downtown is research. The 140,293-square-foot Breen Center is so cramped that it could not accept any of Valspar's R&D workers from Minneapolis after SHW acquired its northern rival in 2017.

Valspar's 170,000-square-foot facility is equally cramped. It has roughly 400 workers, meaning that both facilities have 425 square feet of space per research worker. According to sources, the new R&D facility in downtown Cleveland will measure 350,000 square feet, or about 500 square feet per research worker.

The office component for SHW's HQ is estimated at 1.45 million square feet, sources say. The projected total cost of SHW's HQ+R&D facilities could be upwards of $1 billion.

SHW's efforts took a substantive step forward on Oct. 8 when it and Welty Building Co., SHW's facilities consultant, chose Gilbane Building Co. as its construction management firm for the new HQ+R&D.

Those HQ+R&D facilities are slated to be built on 7.93 acres of land owned by the Jacobs Group and the Weston Group to the west of downtown Cleveland's Public Square. SHW continues to advance its due diligence on those properties. They have been used as parking lots for decades.

The due diligence includes contracting out for geotechnical surveying of soil samples in recent weeks. Surveying work began in the 6.76 acres of Weston lots Nov. 2 and continued for several days.

Survey wells were drilled into the Jacobs
lot on Public Square in the past week and
then capped so that crews could return on
a recurring basis to check groundwater
levels and possibly remove water from
the ground over many months prior to
excavation and construction (KJP).

During the week of Nov. 11, survey crews moved over to the Jacobs lot where they drilled wells to monitor groundwater for an extended period of time and/or possibly to remove it prior to excavation for the foundations of a headquarters tower.

Five years ago, SHW hired AECOM to conduct geotechnical surveys of the Jacobs lot when it considered building a 1-million-square-foot headquarters here. SHW already knows a lot about the soil conditions far below the Jacobs lot.

Plans for the HQ tower were shelved in 2016 when SHW turned its resources toward acquiring Valspar. SHW's growth accelerated after acquiring Valspar, making the new HQ+R&D an even more critical need.

SHW's due diligence advanced further last week. NEOtrans was advised days in advance by a source that SHW would begin filing Certificates of Disclosure with the city of Cleveland. Such certificates are submitted by persons or corporations seeking to buy land. The filings serve as requests to the city for disclosures about the properties' histories.

Sure enough, starting on Nov. 15, a title company began filing Certificates of Disclosure with the city for parcels in the Weston lots. The filings provided a public corroboration of high-level sources who said SHW came to the conclusion that the Jacobs and Weston lots were the best location for its HQ+R&D after considering a dozen alternatives in Greater Cleveland.

No sites outside of Greater Cleveland were pursued by SHW and Welty, the sources said. In fact, SHW/Welty approached only one property owner outside of downtown Cleveland -- the DiGeronimo Co. which owns the former VA Hospital site in Brecksville. Even then, SHW considered it only for the R&D facility, not the HQ.

NEOtrans began reporting on SHW's pursuit of a new HQ+R&D facility on Oct. 31, 2018, more than ten months before SHW finally acknowledged it publicly. SHW announced it was pursuing a new HQ+R&D on Sept. 12.

Two city sources said SHW may announce the site for its new HQ+R&D facilities as early as next month.

END

Sherwin-Williams files permits with Cleveland prior to acquiring downtown land

Sherwin-Williams continued to take steps this week in the
direction of selecting the Jacobs and Weston lots west of
downtown Cleveland's Public Square for its new global
headquarters and research facilities (Geowizical).
CLICK IMAGES TO ENLARGE THEM

Twelve certificates of disclosure were filed Nov. 15 with the City of Cleveland's Building Department by an unidentified buyer that is ultimately seeking to acquire all 5.65 acres of Weston Group-owned properties in the "Superblock" west of downtown Cleveland's Public Square.

Although the buyer wasn't identified, a source earlier this week notified NEOtrans in advance that Sherwin-Williams (SHW) would be filing the certificates as part of its efforts to secure the downtown properties.

The Superblock, so-called because of its large size, is bounded by Superior and St. Clair avenues, plus West 3rd and West 6th streets. It is located in downtown's Warehouse District.

A certificate of disclosure provides violation/condemnation and legal use information from the city so that the potential property buyer can make a well-informed decision about the property it is seeking.

Building department records show that the certificates were filed by First American Commercial Due Diligence Services which is headquartered in Norman, Oklahoma. It also has an office in Cleveland.

The Jacobs and Weston lots are outlined in red (Google).

Ironically, commercial firms don't have to file certificates of disclosure before buying a property, a Cleveland city official said. Plus, there won't be much information for the buyer to get since there are no buildings on the properties and the parking lots won't remain as parking. Lastly, the buyer could have just sent a zoning letter to the city for free rather than pay $60 per certificate filed and gotten more information from the city.

Filing certificates of disclosure with the city doesn't guarantee that a property transfer will occur. For example, last January a real estate developer filed a certificate of disclosure with the city regarding the old Westinghouse plant near Edgewater Park.

But the developer, Sustainable Community Associates, couldn't make the numbers work for its proposed mixed-use redevelopment and dropped its plans in August.

A source closely involved with SHW's efforts to develop a new headquarters plus research and development (HQ+R&D) facilities said that SHW had secured a purchase contract with Weston "months ago" to buy its Superblock properties.

Until a purchase is finalized, however, SHW can walk away from the contract if it gets a better deal for another site or if it finds fault with the Superblock.

No similar certificates were filed as of Nov. 15 for the 1.17-acre Jacobs Group-owned parking lot on Public Square, which two other sources close to the SHW HQ+R&D project confirmed is part of the project site.

Survey crews were working in the Weston lots two weeks ago
and in the Jacobs lot this week, taking soil samples prior to
acquiring property and beginning detail design work (KJP).

Sometime this week, someone drilled what appeared to be fresh geotechnical survey holes in the Jacobs lot. They were likely drilled during the overnight hours so as not to disrupt daytime parking -- or possibly to avoid attracting the same kind of attention that similar drilling in the Weston lots two weeks ago attracted.

Similarly, no certificate was filed for the former Stark Enterprises headquarters at the southwest corner of West 3rd and St. Clair. It is the only building left standing within the Superblock. Stark sold the building last December to Realife Real Estate Group for $2.65 million before moving its offices to 629 Euclid Ave.

According to two Cleveland city officials who spoke off the record, Sherwin-Williams (SHW) will announce the site for its new global headquarters and research (HQ+R&D) facilities next month.

A source says that Bedrock Cleveland hasn't given up in its efforts to win SHW support for building its HQ on a parking lot between the Cuyahoga River and Bedrock-owned Tower City Center. The Bedrock site has been identified by several sources as SHW's second-favorite location for its new HQ+R&D.

But all indications from insider sources continue to point to the Fortune 500 firm announcing a 1.8-million-square-foot HQ+R&D complex, plus hundreds of thousands of square feet worth of structured parking, to rise on the 6.77 acres of land owned by the Jacobs and Weston groups west of Cleveland's Public Square.

The public filings of Nov. 15 show that SHW continues to move in that direction.

END

Cleveland remembers, jump-starts the Forgotten Triangle

The area around East 75th-79th and the Opportunity Corri-
dor is shown in this northeastward looking view. East 75th
is left with East 79th cutting diagonally to the lower left.
The Red Line, Opportunity Corridor boulevard and Blue/
Green Line Rapid cuts left-right across the image. The
proposed police headquarters would be located at the
left edge of this conceptual land use vision (BBC).
CLICK IMAGES TO ENLARGE THEM

The 1970s weren't kind to America's older cities. The white middle class fled from them, taking their homes and jobs to the suburbs. Left behind were low-income minorities, shuttered factories and stores, hopelessness, drugs and crime.

Cleveland suffered greatly, losing more residents in the 1970s than any other decade. But Cleveland was far from alone.

America's greatest city, New York, was a media darling for urban decline in the 1970s. Some considered New York City beyond saving, even suggesting Manhattan be turned into a prison island, inspiring the 1981 movie "Escape From New York."

Another movie came out that same year which is relevant to recent real estate news here in Cleveland. That movie was "Fort Apache, The Bronx" starring Shaker Heights native Paul Newman.

The movie is set at a real location, the New York Police Department's 41st Precinct building in the South Bronx. Through the 1960s and into the 1970s, the precinct offices stood as the neighborhood around it fell. It became a safe haven from a neighborhood that police considered hostile.

The 41st Precinct earned the nickname "Fort Apache" from the 19th-century U.S. cavalry outpost on Native American lands depicted in the 1948 movie starring John Wayne and Henry Fonda. In the film, the Army and the Apaches battled but the Army could always retreat to their lonely but safe outpost on America's western prairie.

Shaker Heights native Paul Newman starred in the 1981 movie
"Fort Apache, The Bronx" -- about a police station outpost
among the burnt-out shells of buildings in this New York
City neighborhood after decades of abandonment (NPR).

In the 1970s, one-third of the Bronx's population had moved out. Desperate landlords hired mobsters to burn down their apartment buildings and influence the investigations so that they could collect insurance money. Looking out the windows of the 41st Precinct revealed the crumbling shells of apartment buildings and businesses.

The rubble of abandoned cities and the sometimes violent desperation among those left behind is how many neighborhoods in Midwest and Northeast cities earned the tag "War Zones."

Few places in Cleveland earned that tag so well as its Kinsman neighborhood. East of East 55th and going uphill toward Mount Pleasant, this was a district of worker housing for newly arrived European immigrants to work in factories and on the railroads.

It was a smoky, polluted area, sandwiched between the Nickel Plate Road's East 55th railyard and the Pennsylvania Railroad's Kinsman Yard. Those railyards attracted hobos during the Great Depression.

And the area became the dumping ground for many of the Torso Murderer's dismembered victims in the 1930s. Kinsman was where city Safety Director Eliot Ness burned down shanty towns, hoping to scare off the Torso Murderer.

The proposed site of the Cleveland Police Department head-
quarters, at the intersection of East 75th Street and Grand
Avenue, seen in May 2019. Construction of the Opportunity
Corridor boulevard has since begun through here (Google).

Among the least desirable Cleveland neighborhoods to flee during the post-war era of "White Flight," Kinsman was near the top of the list. Of course, poor minorities left behind tend to flee as well, often to the nearest intact neighborhood. The cycle of decline, blight and abandonment was set into motion, chasing hope and the feeling middle class farther and farther out from the city's older geographic center.

With urban sprawl, the metropolitan area grows outward without a corresponding increase in metro area population. The Greater Cleveland-Akron metro population has been stuck at about 2.8 million since 1960.

Sprawl ripped open a gaping hole near the metropolitan area's geographic center, commonly called the "Urban Doughnut Hole." Cleveland's doughnut hole today includes more than a dozen square miles of the near-east side, creating urban prairies. Those prairies, although much smaller, are as desolate as the prairies portrayed in "Fort Apache" and the rubble of buildings near "Fort Apache, The Bronx."

The southeast-angled alignment of Kinsman Avenue and the urban prairie around it helped the area earn the name "The Forgotten Triangle."

Through it run two high-capacity rapid transit lines, each featuring stations at East 79th Street although several blocks apart. They are among the least-used rail stations in the Greater Cleveland Regional Transit Authority (GCRTA) system. Alongside are fields and overgrowth where 19th-century factories stood but closed 40 years ago.

A rendering of what the Opportunity Corridor could look like
through Cleveland's Forgotten Triangle (ODOT).

And it is where the Ohio Department of Transportation (ODOT) is building its $350 million Opportunity Corridor boulevard to link Interstate 490 with booming University Circle -- Ohio's fourth-largest employment district.

Just up the tracks of GCRTA's Red Line in both directions, developers are squeezing luxury apartments and condo buildings within a short walk of stations in Little Italy, Downtown and Ohio City. Those areas avoided the decline of the Forgotten Triangle. They retained a community, a foundation on which to build. We began to rediscover why humanity had liked cities for 5,000 years.

This area is an empty slate. It's a chance to go SIM City here.

So while developers are encountering increasing resistance from NIMBY's in hot areas like Little Italy and Ohio City, the Forgotten Triangle remains the ultimate doughnut hole that needs be filled to counter sprawl. But there's no momentum here. No private developer wants to build a Fort Apache in this urban prairie.

So the city decided to do it. Ironically, it is doing so with a police presence -- much like the Bronx's 41st Precinct. Except this police presence its much larger and includes a large amount of "civilian" employment -- database managers, accountants, human resources staff, purchasing managers, secretaries, etc.

Conceptual rendering of the new Red Line rail station at
East 79th Street, for which construction is scheduled to
start in 2020 and be completed a year later (GCRTA).

On Nov. 14, city officials announced it would build a new Cleveland Police Department (CPD) headquarters at East 75th Street and Grand Avenue. The location is next to where ODOT contractors are now building the Opportunity Corridor boulevard. And it is a short walk from where GCRTA will start building in 2020 a new Red Line rail station at East 79th.

City governments are responsible for determining how the land in their jurisdictions are to be used for the betterment of the community as a whole. Usually that is done through zoning. But when a city has an opportunity to help change the fortunes of a neighborhood by the location of civic facilities, it should do so.

And that's what the city finally did with its CPD HQ after several failed attempts at locating at two other locations downtown. In the Forgotten Triangle, the city will plop down amid new transportation facilities nearly 700 jobs, relocated from the corner of Ontario Street and St. Clair Avenue.

There will also be many visitors to the CPD HQ including those researching and requesting copies of police records, suppliers doing business with the CPD, as well as witnesses, lawyers and accused criminals meeting with police.

There will also likely be lots of travel between the CPD HQ and the Cuyahoga County Jail. The latter is also the subject of a site location analysis by the county. With the city choosing the intersection of East 75th and the Opportunity Corridor as the site for its CPD HQ, it may also influence the county of where it might eventually put its new Consolidated Jail Facility.

The Box Spot Open Air Market was under construction on
Kinsman Avenue at East 80th Street in this May 2019 scene.
The Cuyahoga Metropolitan Housing Authority headquarters
is at right, but not accessible from the sidewalk (Google).

On April Fools Day of this year, I joked that the county would build its new jail as glassy high-rises on the Opportunity Corridor. But that attempt at humor might prove to be true, and that's possibly not a bad thing.

If the new roadway was called anything else, it's doubtful that anyone would raise their eyebrows at putting a jail on the cheap, vast open lands along the Opportunity Corridor. There already is a jail along this new boulevard -- the Cuyahoga County Juvenile Detention Center between Quincy Avenue and the Red Line tracks.

The key to whether or how the new CPD HQ might spark some development momentum depends on the design of the new facilities, possibly totaling nearly 500,000 square feet when parking is included.

For example, in 2010, the Cuyahoga Metropolitan Housing Authority (CMHA) built its new headquarters and storage/garage totaling 92,158 square feet at Kinsman and East 80th. The building is a bunker. It is dead at street level because it has no pedestrian permeability along the sidewalks.

General location of the new Cleveland Police Department
headquarters is identified with the orange oval. It is located
where the new Opportunity Corridor boulevard will intersect
East 75th Street, between two rapid transit stations (Google).

Nor are there any ancillary public uses like a sidewalk cafe or a bank or a job training center offering pedestrian access from the sidewalk -- just the ubiquitous Cleveland grassy moat encircling this modern, public building.

Pedestrians, with their eyes on the street scene, make an area feel safer and more vibrant. The lack of them is no surprise why the CMHA had little spin-off benefit for the immediately surrounding neighborhood, despite placing several hundred jobs on Kinsman.

Nine years later, it took the stewardship of the Burten Bell Carr (BBC) community development corporation to spur construction of a supportive development across Kinsman from CMHA. Construction began earlier this year on the Box Spot Open Air Market where visitors can shop at small businesses and eat foods grown by the neighborhood's many urban farms and gardens.

But the CPD HQ will have more workers and more people coming and going 24 hours a day than CMHA. If it isn't built like a bunker, it offers the opportunity for more cafes, restaurants and shops in the surrounding area -- preferably placed as ground-floor uses in new residential or commercial buildings. Those ground-floor public uses can also serve employees at the nearby Orlando Baking Co., Federal Equipment Co., Techceuticals and the Miceli Dairy Products Co.

The New York Police Department's former 41st Precinct
building (aka "Fort Apache, The Bronx"), now an office
building for detectives, is the red brick building at left.
Since the dark days of the 1970s and 80s, this South
Bronx neighborhood has been be redeveloped and
repopulated into a vibrant community (Google).

And they can also provide a foundation for more housing planned by BBC as well as by private developers. With few restaurants or retail for miles, developers would be hard-pressed to justify taking a risk by building in the Forgotten Triangle. The CPD HQ can change that desolation.

Indeed, in New York's South Bronx, the 41st Precinct building was renovated in the 1990s by the city as an office building for detectives. That commitment by the city supported a revival of its neighborhood, replacing burnt-out shells of apartment buildings with new housing, cafes and shops to support a diverse, working-class neighborhood.

Hopefully that will be the long-term outcome of Cleveland's new police headquarters as well.

END

New CPD HQ to rise on Opportunity Corridor; is new county jail far behind?

General location of the new Cleveland Police Department

headquarters is identified with the orange oval. It is located

where the new Opportunity Corridor boulevard will intersect

East 75th Street, between two rapid transit stations (Google).

CLICK IMAGES TO ENLARGE THEM

Starting in 2021, as many as 700 workers and hundreds of visitors will come each day to a newly built Cleveland Police Department (CPD) headquarters. Its location? Near to where the new $350 million Opportunity Corridor boulevard will soon be intersecting East 75th Street.

That location was announced publicly today at a hearing of Cleveland City Council's Safety Committee. Specifically the site will be at East 75th and Grand Avenue, just west of the Orlando Baking Co.

The site will also be in between two Greater Cleveland Regional Transit Authority rail stations on East 79th -- one for the Airport-Windermere Red Line and the other for the Shaker Heights-Waterfront Blue/Green lines.

Proposed is a multi-story office campus with 180,000 square feet of office space for HQ operations and another 115,000 square feet of space for storage, garage and supportive offices, according to the city's request for proposals.

The existing Cleveland Police Department headquarters is
located in this eight-story building that is part of the Justice
Center, at Ontario Street and St. Clair Avenue (Ideastream).

The site will also have secure parking for 400 passenger cars separate from public parking. Total area for the parking needs is estimated at roughly 160,000 square feet. So much parking may require a multi-level parking garage to be provided.

Cost of the project isn't known, but it could exceed $100 million. Fortunately, the city may already have most of the money it needs to afford this facility.

Consider that the city received $9.25 million from the sale of its old police HQ at the Justice Center on Ontario Street downtown. It will also save $5.1 million per year by closing the downtown municipal jail and paying the county to house its prisoners.

That $9.25 million can be part of the down payment for financing a CPD HQ, with annual payments of $5 million over 20 years, which is what the city appeared willing to do, per its RFP.

The city's RFP, originally issued in early 2017,  also requested that any proposed CPD HQ sites be west of East 55th and north of Interstate 490. The chosen site is east of East 55th and located on the Opportunity Corridor that is now under construction to link I-490 with University Circle.

This is the specific location for the Cleveland Police Depart-
ment headquarters, located just west of East 75th Street and
along Grand Avenue. The site is north of the Opportunity
Corridor, now under construction (City of Cleveland).

The city issued its RFP in the hopes that owners of downtown buildings would jump at the chance to land a huge tenant like the CPD. But none could meet the city's large space or security requirements.

In 2017, the city had attempted to lease 55 Public Square, but too many structural and security changes were needed. The city also had a $60 million deal in place to buy the Plain Dealer Plaza at 1801 Superior Ave. but the Department of Homeland Security reportedly nixed it for undisclosed reasons. At one point, it appeared the city would move to its old CPD HQ on Payne Ave.

In locating the CPD HQ along the Opportunity Corridor, it suggests that other developments may also be in the cards. The most significant is whether Cuyahoga County's proposed new consolidated jail facility, representing hundreds of thousands of square feet of new construction and hundreds more employees, may soon follow.

The county is considering whether to rebuild or replace its aging, inadequate jail facilities and consolidate them with suburban jails to save money. This will also coincide with jail reform that could reduce the county's jail population and thus its space requirements.

This one of many land use vision documents issued for the

Opportunity Corridor in recent years. This is from 2015, by

the Burten Bell Carr Community Development Corp. (BBC).

The current county jail is located in the 42-year-old Justice Center complex downtown. The courthouse tower may also be renovated or replaced as part of the county's comprehensive facility analysis. In its RFP, the city wanted the CPD HQ located near the county's emergency operations center, jails and courthouse.

There also are few cafes, restaurants or shops in the vicinity of the proposed new CPD HQ site on East 79th. There would have to be a number of new supportive businesses for the nearly 700 workers and hundreds more daily visitors to the CPD campus.

Access to the site should not be difficult. Construction of the third and final phase of the Opportunity Corridor, between I-490 at East 55th Street and East 93rd Street is due to conclude in mid-2021, according to the Ohio Department of Transportation. Cost of the roadway's final phase is $150 million.

GCRTA's Red Line's East 79th aging rail station is scheduled for replacement starting in 2020 at a cost of $10 million. It is due to be completed sometime in 2021. The Green/Blue lines station at East 79th is also in disrepair but with no major construction planned.

END