Lloyd Companies Selected to Develop Uptown Property: $43.5 Million Project to Begin Construction This Year
Today, the City of Sioux Falls announced its intent to award the proposal for a mixed-use development in the Uptown area of downtown Sioux Falls. The City has selected Lloyd Companies to redevelop the 1.75-acre site at Second Street and Phillips Avenue that is now City-owned property. Plans include two buildings with a mix of office and retail space, apartments, a common courtyard, underground parking, and more.
“This great investment will create exciting opportunities to live, work, and play in our thriving downtown,” says Daren Ketcham, Director of Community Development, City of Sioux Falls. “The quality and density of this development will transform this underutilized and blighted property into a downtown destination.”
The City-owned parcels are located at 701 and 721 North Phillips Avenue. The project will also include the properties immediately to the west, for a total project site of 2.5 acres. The end result will include more than 200 residential units, 20,000 square feet of commercial/office space, and more than 250 underground parking spaces. Additionally, Main Avenue, Phillips Avenue, and Second Street will be modified to increase the number of on-street parking spaces from approximately 15 to more than 150, which will support the project, surrounding properties, and the activities at Falls Park West, including the future Levitt Shell.
“We are honored to have an opportunity to partner with the City of Sioux Falls and fulfill a vision that has been part of the City’s downtown revitalization plan for decades,” said Chris Thorkelson, President and CEO, Lloyd Companies. “We are committed to Sioux Falls and are passionate about our investment into downtown. We believe that our modern, mixed-use lifestyle development will generate excitement and the residential density needed to support new commercial growth on the north end of downtown.”
Since the completion of Phillips to the Falls in 2004, significant investment of public and private dollars has occurred in the Uptown area. In recent years the City has made land available, resulting in several million dollars of private investment. This development will be constructed for an estimated cost of $43.5 million and will provide further economic benefits for our community including $400,000 to $500,000 in new property taxes paid each year. The City administration is supporting a Tax Increment Financing District for the project.
The selection was made after a competitive request for proposals process was initiated in March 2017. The City received five proposals, which were reviewed by an evaluation committee. The City will finalize a purchase agreement and project terms throughout August, with City Council consideration slated for September. Site work is anticipated to start in October, with major construction occurring throughout 2018. The majority of the project would be complete by spring 2019.