One of Columbus’ most successful historic developers sights another part of downtown Columbus.
Brad DeHays and Connect Realty want to redevelop the historic four-story office building at 250 E. Town St. in downtown Columbus, converting the vacant commercial structure to a mixed-use space with six new apartments on the first floor and office space above it, according to an application filed to the state and obtained via a Freedom of Information Act request.
“We like the location, it’s obviously so close to the core and the fact that it’s not a significantly massive project because of the adaptive reuse angle is attractive for our pipeline,” DeHays said in an interview.
The 23,000-square-foot building has a committed end user. Law firm Kooperman Mentel Ferguson Yaross Ltd., which is based on 4th Street a block away, plans to become the first tenant in the building. The law firm has about 20 employees, according to Columbus Business First research. Overall, the office space will have room for about 75, DeHays said in the application.
A mid-century modern building, the Market-Mohawk Center was built in 1969 during the wave of urban renewal that brought many of the central business district’s modern skyscrapers to the skyline. This building sits on what was formerly the complex around the Central Market and the Mohawk neighborhood, and was redeveloped as part of modernizing languishing parts of the core.
The building has been used as office space since its completion but occupancy has declined as it has aged and newer buildings rose around it. DeHays said the building needs “substantial reinvestment to make it competitive in the current market,” including masonry work, interior finishings, HVAC and plumbing improvements.
Downstairs apartments and upstairs office is atypical for many mixed-use developments today, which often feature ground-floor commercial space and living area above. But this setup means the developer doesn’t have to punch mechanicals to the upstairs floors which would significantly boost the cost. Each apartment will be 750 to 800 square feet.
“There’s a lot of distance between the street and the building so we can accommodate the residential use,” DeHays said. “It’s an attractive building, the brick at the windows and the limestone caps, the Art Deco in the front are all historic elements so it won’t see a significant change to the exterior.”
DeHays is seeking $842,000 in Historic Rehabilitation Tax Credits for the project, which DeHays estimated to cost $8.5 million, according to paperwork filed with the state, and the developer would finance with $5 million in equity and $1.2 million in bank loans. He bought the building for $1.4 million in May 2018 from Franklin University, according to the Franklin County Auditor.
If the project lands tax credits this round, the developer expects to start the project in November with a completion date before the end of 2021.
Sandvick Architects is listed as the project’s architect.