Raleigh agrees to revised timeline on downtown tower
Posted November 4, 2008 3:16 p.m. EST
Raleigh, N.C. — The City Council voted unanimously Tuesday to amend the city's agreement with a developer on a planned tower downtown.
Raleigh lawyer Ted Reynolds, the lead partner in Hillsborough Street Partners, plans to build a 23-story mix of retail shops, a hotel and condominiums at the corner of Dawson and Hillsborough streets.
Under the new agreement, Reynolds' Hillsborough Street Partners will purchase city-owned property at 301 Hillsborough St. for $4.5 million by Dec. 31. The city sold adjacent property to the developer in 2001.
Reynolds has until Dec. 1 to line up financing for the $65 million project. He also must meet other deadlines under the new agreement, such as having a foundation in place by Feb. 3 and a completed project by March 2011.
City Manager Russell Allen suggested the city terminate its agreement with Reynolds after he missed an Aug. 1 deadline to have his financing in place, but the City Council decided to give him more time in light of the nationwide credit crunch.
The tower is expected to include 17,500 square feet of retail space, a 136-room hotel and 26 condos on the top floors.