Des Moines Register looking for new location

[Mototail]

http://blogs.desmoinesregister.com/dmr/ ... -new-home/

Word is starting to spread that the Des Moines Register is, or is about to, start looking for new office space.

It was inevitable. The news industry has changed a lot in the past two decades and the speed of change is ever increasing.

[DMRyan]

Sweet news if a developer can be found to take on the project. I could see the 1960's looking cladding torn off and restoring it back to its original grandeur. There's no hope for the ugly, blank-walled 4-story annex next door. It just needs the wrecking ball.

Can anyone think of any great visions for the building aside from converting it to apartments with first floor commercial space?

[Keepgrowingdsm]

Two ideas:

-A downtown college could locate here (University of Iowa or ISU satellite) with general ed courses.

-Or a college that could join forces with start up city to educate people (Adults) with courses aimed in the computer industry. Anything from programming to sales training for these start up companies. Maybe it could be geared towards both young adults and those unemployed or making a career change? It would be really neat IMO to utilize a building that used to deal with yesterday's technology (newspaper) and now have it prepare people for tomorrows technology (Internet).

[dogbo]

Good to hear they plan to stay downtown. I wonder if they'd consider building a new headquarters?

On their current building - I wonder what could possibly be left of the old highrise's exterior features underneath the current facade? It might not be pretty...or maybe it has been well-preserved seeing it has been covered up for so long?

[dsmspence]

This news absolutely breaks my heart, in fact I nearly equate this with Downtown Younkers closing. If any piece of the Register moves out to the suburbs, I think I'll puke. I know the article says they'll stay in the city, but it still makes me nervous. I think a good suggestion would be for them to sell off however many floors on the top they don't need to be developed and then keep operations on the lower floors. They should definitely rip off the horrible 60's cladding and let the 1918 facade shine, it's a beautiful building under the nasty, mid-century metal. They could do more (or something at all) with street level retail, and even have a cool museum in the basement on the history of the DMR... Whatever happens though, a developer needs to be ready to go once the Register is gone because the saddest thing of all would be for this building to sit empty.

[Mototail]

Remember this comes at a time when the mark for the "Design Hub" is coming due as of July 2012 with Gannett which was/is supposed to bring 35-60 jobs to the DM area. I know there's another story around this site that talks about it. However, here's an article I found that talks about it a bit. Things happen for a reason.

It was not immediately clear how the reorganizations would affect employment. The Des Moines Register report said its design center would bring 35 to 60 jobs to that city. The project is expected to take at least two years to implement, the report said.



Read more: http://www.portfolio.com/views/blogs/th ... z1mxXDgY3M

More here;
http://www.bizjournals.com/louisville/s ... ily24.html

[casbern]

This news absolutely breaks my heart, in fact I nearly equate this with Downtown Younkers closing. If any piece of the Register moves out to the suburbs, I think I'll puke. I know the article says they'll stay in the city, but it still makes me nervous. I think a good suggestion would be for them to sell off however many floors on the top they don't need to be developed and then keep operations on the lower floors. They should definitely rip off the horrible 60's cladding and let the 1918 facade shine, it's a beautiful building under the nasty, mid-century metal. They could do more (or something at all) with street level retail, and even have a cool museum in the basement on the history of the DMR... Whatever happens though, a developer needs to be ready to go once the Register is gone because the saddest thing of all would be for this building to sit empty.

From the sounds of it, the Register and Gannett sound like they are committed to keeping their regional hub downtown. Due to the recent history of the newspaper industry, I highly doubt that they'll want to have more than one location, as it'd probably be cheaper and more logistically sound to have one office space.

[hawk61401]

Is it still there? When I was a pimpled face, 13 year old, I visited the R & T Building for the first time. I was awed by the gigantic globe rotating in the lobby. You woulda thought I was standing in Rockefeller Center in New York City.

I don't know if it's kinky for a human to bond with a building, but I do have an emotional connection to the building. I hope it's always the Des Moines Register Building.

[Young DSM Social Club]

Being how cheap Gannett is, I am sure they will put some people in the cheapest space possible (suburbs). Unless, of course, they ask for City subsidies, which I am sure is the "game plan".

I have been told that they did look at rehabbing the building, but it is just too expensive. I also heard that most of the ornamental, etc., is actually completely gone --- that there really isn't anything left (sorta like the Flynn Wright building). Others are posting different ideas on this, but that is what I was told.

[DMRyan]

I may wax sympathetic about the DM Register leaving their historic home, but Gannett has been deferring the proper upkeep of this space since the printing press moved away and the exterior looks tired and embarassing. Not that I can blame them when their staff's heads are still unfortunately rolling with twice-annual layoffs.

I don't doubt the original cornice is gone from this building, but I would like to think it's more intact than the building Flynn-Wright moved into. That was an extreme case of the historic integrity of the building being shelled. I don't know if I've seen an example of a building looking that bad once the modernist cladding has been removed from any building. Cornices can be easily replaced, although it may be with metal instead of stone.

[DMRyan]

There was a blurb in this past week's Cityview that said the DM Register is looking hard at Capitol Square right now, instead of Ruan II.

[DMRyan]

Another intresting article in this week's Cityview about the Register and Tribune Building. Sounds like a complicated ownership structure, with the entire block having six different parties involved in various trusts and ownerships, some dating back from before the building was built. The article goes on talk about a consortium of downtown developers that are interested in the block long term for redevelopment prospects. It also talks about the property's redevelopment potential consisting of tearing down the entire block (not very possible), to saving the tower and possibly the Art Moderne addition for another use. At any rate, the article alluded to the building being good hands if this potential purchase goes foward, and that it's looking eminent that the Register's offices going to the Capitol Square complex.

[dsmspence]

I'd really like to see the R&T building saved. In perfect world the cladding would all be removed, the original structure would be in perfect shape and a whole bunch of retailers and companies and people would want to work and live inside it. There could even be something like a cool live music or even movie theatre put in the moderne addition... Like I said, in a perfect world. I at least hope the tower doesn't get razed, we have so little history left in the Core.

[DMRyan]

The Register has the official story about leaving their digs for Capitol Square (although the lease isn't signed yet), and the potential plans for the sale of their existing building. The story is linked below if you haven't exceeded your monthly quota of free news stories, or have discovered a way around their paywall.

The article basically states that the controlling land interest for the Register is working on accumlating the majority of the property of their current operations so that they may sell the property for redevelopment. A proposed contigent of developers are kicking around the idea of forming an "acquisition group" to assist in getting control of the land from multiple property owners to assist in the next wave of large-scale downtown redevelopment projects. Of particular concern was the following quote from Bill Knapp, one of the members of the proposed acquisition group:

The Register’s landmark current home, once elegant with its granite lower-level exterior, is showing its age.

But it’s too early to say whether the wrecking ball is headed for the hallowed halls that once echoed with the voices of so many journalism notables...

Developers, landowners and city officials say someone might want to save the historic structure, which featured a stone facade until precast panels were installed on the tower decades ago.

“We’ve seen this really interesting and positive trend in our downtown to convert old office buildings into other uses,” Des Moines City Manager Rick Clark said. “I would think someone would want to pursue that.”

Knapp is betting the building gets torn down, due to asbestos issues and other rehab challenges.

Des Moines owes a lot to it's pioneers of modern day downtown redevelopment, but this is not the 1970's or 1980's any more. We need a modern-day approach in looking at downtown development, rather than leveling anything historic because there may be a challenge or two to overcome. If the "old guard" developers in DSM can't understand this, perhaps they need to look at turning things over to the Jake Christensen's, Sherman and Associate's, or Nelson Development's of the world. Historic presevation is a huge trend and this one is worth saving. Imagine calling for the demolition the Equitable Building because it had asbestos in the walls...




Story:
http://www.desmoinesregister.com/articl ... e?Business

[urbanlawyer]

^^^ AMEN Ryan. ^^^ I thought the same thing reading that article. I'm hopeful the building will get a look from others interested in preserving it. Especially since one of the current owners wants to see it preserved.

Look at what we have going right now: Fleming building being rehabbed; Des Moines Building within months of starting; Equitable Building next year; 2% (TWO PERCENT) apartment vacancy downtown. I can't help but think that the developers you mentioned wouldn't be interested in this. Of course, the sellers need to be realistic with the sales price -- it is a fixer-upper.

I've always thought the former press room could make an amazing two level restaurant --- think Chino Latino in MPLS with its bar in the basement. This is the type of unique space that gives Des Moines a competitive advantage over the suburbs.

The legislature's increasing of the the state historic tax credit deserves a lot of credit (pun intended) with this dramatic increase in adaptive reuse of historic buildings.

[WaterlooDave]

Knapp is betting the building gets torn down, due to asbestos issues and other rehab challenges.

Asbestos is a red herring that anyone who doesn't see value in historic structures will throw out as an excuse. Most of the public (that even notices) will buy it. The fact is that whether this building (or any building) is torn down or rehabilitated the asbestos issue has to be resolved.

[WaterlooDave]

The legislature's increasing of the the state historic tax credit deserves a lot of credit (pun intended) with this dramatic increase in adaptive reuse of historic buildings.

You are right on point with this comment. Without the robust state historic tax credit program that Iowa has none of our city centers would be seeing the redevelopment that has been going on since the increase to the program.

[econboy]

The legislature's increasing of the the state historic tax credit deserves a lot of credit (pun intended) with this dramatic increase in adaptive reuse of historic buildings.

You are right on point with this comment. Without the robust state historic tax credit program that Iowa has none of our city centers would be seeing the redevelopment that has been going on since the increase to the program.

Hate throw cold water but it also underscores a glaring, ugly detail. If for not for the tax credits alot of these things wouldn't happen. Meaning, there is no economical market for them outside of the artificial carrot. I'd be curious if there is a market for these types of things in other areas of the country but Iowa is just otherwise adverse without a financial incentive? Or is it this way all over? And either way how long do we need tax credits for them?

[WaterlooDave]

The legislature's increasing of the the state historic tax credit deserves a lot of credit (pun intended) with this dramatic increase in adaptive reuse of historic buildings.

You are right on point with this comment. Without the robust state historic tax credit program that Iowa has none of our city centers would be seeing the redevelopment that has been going on since the increase to the program.

Hate throw cold water but it also underscores a glaring, ugly detail. If for not for the tax credits alot of these things wouldn't happen. Meaning, there is no economical market for them outside of the artificial carrot. I'd be curious if there is a market for these types of things in other areas of the country but Iowa is just otherwise adverse without a financial incentive? Or is it this way all over? And either way how long do we need tax credits for them?

I don't take it as cold water. I understand the reason these are necessary is to fill an economic gap. However I would say welcome to modern economic development. It is replete with incentives of one sort or another. For example, small towns that build spec buildings in their "industrial park" and then give it to someone (often for $1) to anyone who will put some jobs in it. Or say Coralville who will pay for a new building for a department store to move from Iowa City.

Historic tax credits actually leverage a municipalities existing investment in infrastructure. Have we seen a new road, sewer, water mains,etc being built for an historic rehab?. At least in most of Iowa, these new infrastructure costs are borne other by tax- or rate- payers for "greenfield" developments.

Historic rehab raises surrounding unrehabbed property values (and therefore increases tax revenue) as well as starts to close the economic gap. I know of one owner portfolio in Waterloo that experienced a 40% increase in assessed value because of the rehab of only a few buildings.

Historic rehab also uses more specialized labor jobs that are often local as opposed to spending more on materials which often generates fewer, non-Iowa jobs.

And finally, Iowa is far from the only state that sees the value here. This is a link to a map showing which states have historic tax credit programs:

http://www.novoco.com/historic/htc/state_programs.php

[DMRyan]

I wouldn't say that there is no economical market for projects like this. I just think that the issues developers face in rehabbing most old buildings to historic standards is not on a level cost playing field with new greenfield construction, therefore the financial gap is needed to get these projects moving.

[econboy]

I wouldn't say that there is no economical market for projects like this. I just think that the issues developers face in rehabbing most old buildings to historic standards is not on a level cost playing field with new greenfield construction, therefore the financial gap is needed to get these projects moving.

DMRyan-

The business record had a quick article today regarding your post above in reference to companies pooling their money to invest in downtown properties.

http://www.businessrecord.com/main.asp? ... tionID=100

Sounds like they already have a verbal commitment of 10 Million from 20 different companies. And they are continuing to bring more on board. A good start.

I guess in terms of tax credits, I would love to see the day the demand in the market naturally outpaces the need for credits, regardless of greenfields.

[casbern]

I wouldn't say that there is no economical market for projects like this. I just think that the issues developers face in rehabbing most old buildings to historic standards is not on a level cost playing field with new greenfield construction, therefore the financial gap is needed to get these projects moving.

I guess in terms of tax credits, I would love to see the day the demand in the market naturally outpaces the need for credits, regardless of greenfields.

I couldn't agree with your sentiment any more than I already do... but the fact of the matter is, greenfield development is almost always going to be cheaper to develop. It's just easier to build a new building to specifications that fit your requirements rather than to retrofit an existing building.

[DMRyan]

Very impressive that this amount of money has been collected so quickly, and it speaks volumes about the direction that downtown is taking if business owners are wanting to make this investment so freely. While there is an underlying motive in the eventual profiting off of any development spurred, this is assisting the city's efforts to try to redevelop downtown since their public dollars for economic development/site acquisition are so hamstrung anymore.

Once again, our stellar business community steps up to the plate to make things happen. If it weren't for the organization of the business community, Des Moines wouldn't be where it's at today and it's been one of our strongest attributes.

[richc80]

Lease for space in Capital Square has been signed.

http://blogs.desmoinesregister.com/dmr/index.php/2012/09/17/des-moines-register-signs-lease-for-new-space-in-capital-square/

I don't know if this was mentioned in prior articles, but thought this concept was interesting...

The Register also plans to have about 3,000 square feet of retail space on Capital Square’s first floor.

Hollingsworth imagines a “digital, interactive” space where journalists’ and readers’ paths could cross with space for forums and events in the building’s public atrium.

The Register’s first-floor space could create an additional attraction in the redeveloping area, said Glenn Lyons, chief executive of the Downtown Community Alliance, a group affiliated with the Greater Des Moines Partnership, a private economic development group.

[dogbo]

The article doesn't mention how many employees will be moving. Does anyone have any how many people the Register employs downtown?

[hawk61401]

It still pains me that Sean Keeler won't be moving to Capital Square. http://twitter.com/SeanKeeler

Miss ya, baby!

[Mastermind]

Keller was awful...

[hawk61401]

Can't imagine that, mastermind

He reached out to readers on social media ( he's one of my followers ). He blogged on the DMR website, held live chats with readers every week, hosted webcasts. I thought he was great talent and a great asset for the Register.

I shouldn't go there. Oh, what the hell. I will anyway ...

Thanks to Sean and 699 others being shown the door, CEO, Craig Dubow, doubled his 2009 salary to about 9.5 million in 2011. Whaaaaat a county.

[casbern]

Thanks to Sean and 699 others being shown the door, CEO, Craig Dubow, doubled his 2009 salary to about 9.5 million in 2011. Whaaaaat a county.

What's your issue with Polk County? I assume that is the county you are referring to, since that is the county that the DMR is based out of.

[hawk61401]

Thanks to Sean and 699 others being shown the door, CEO, Craig Dubow, doubled his 2009 salary to about 9.5 million in 2011. Whaaaaat a county.

What's your issue with Polk County? I assume that is the county you are referring to, since that is the county that the DMR is based out of.

I didn't get in the "r". LOL, you never heard of Yakov Smirnoff? What a country! That's who I was paraphrasing.