Leaders of Dayton Arcade redevelopment excited by Dayton's decision to enter agreement
DAYTON, Ohio (WKEF/WRGT) -- Leaders in the development project of the Dayton Arcade are excited about the City of Dayton's decision to enter the agreement.
City Commission approved the agreement Wednesday morning. It allows a $10 million loan by the City of Dayton at the time the developer group closes its financing arrangements.
"It's a visible proof that this community is changing," Scott Koorndyk, President of The Entrepreneurs Center, said.
"It's a great step forward in this effort to bring new life to this amazing, magnificent piece of Dayton history at the Arcade," Bill Struever of Cross Street Partners said.
Struever was in Dayton for the announcement of the agreement. Cross Street Partners, based in Baltimore, is one of three private partners in the development agreement joining Model Group and McCormack Baron Salazar.
"Dayton is one of the few cities we're working in where people are still leaving to go to work in the suburbs," Struever said.
He said Wednesday's approval and the city's entrance into the agreement means the basic financing structure is together. With the City of Dayton now in the agreement, he believes this project could reverse that trend and get businesses and entrepreneurs back in the city.
The project will consist of two phases. The south Arcade will be the first to be developed, followed by the north Arcade.
"This kind of space, this iconic space, the energy in this space brings money," Koorndyk said. "It brings capital. It brings investors to the table."
The Entrepreneurs Center has a joint venture with the University of Dayton. Together they're managing the $95 million phase one. They're creating a 90,000 square foot Innovation Hub to tie higher education directly to the community.
"It's to help people start companies, to help people solve social innovation challenges and community challenges, to tie back to the communities around the city," Vincent C. Lewis, Director of the L. William Crotty Center for Entrepreneurial Leadership at the University of Dayton, said. "I think the Dayton Arcade is a linchpin because this really brings a lot of what's gone on on the peripheral, with what's gone on in downtown Dayton."
"If you look at innovative, progressive communities, there's always a sense of place," Koorndyk said. "That's what this is. So 3, 4, 5 years from now I believe fervently this will be the place."
Just like the Arcade was decades ago.