Developer proposes office tower near Lake Eola

[spenser1058]

Eola Capital is just the current company. The people behind Eola Capital have been in commercial property in Orlando since early 80's. They buy commercial buildings, renovate them and resell. Each development starts a new company for the duration of the project.

Jim Heistand is a local guy from Apopka that got his start here in Orlando in the early 80's. He is now a billionaire and is the largest owner of commercial property in Florida.

Some of his companies:

Dasco Medical Properties Trust

DASCO Cos LLC

Highwoods Properties Inc

ML Capital Partners

Associated Capital Properties Inc

Eola Capital LLC

Major Development Corp

ACP

Landmark Capital.

Capital Plaza (yes, the first building had been a bank), Eola Center (across from the Vue), and Landmark were all Jim Heistand projects that are directly on Lake Eola.

There are developers who have greatly improved the fabric of downtown and whom, while we may disagree with some of their projects, have done others or participated in the community to such an extent that the community will remember them fondly. Some of those include Jim Pugh (if I remember correctly, he's also a small town central FL lad), Jim Kersey, Jim Seneff and Cameron Kuhn.

If I were making the list, Jim Heistand thus far would not be included (if he respects community sentiment on Eola, I will be happy to recant.) In 25 years of being involved with what we could do to make downtown a place that would be something really unique and desirable as a place to live, work, play and yes, make money, his has not been a particularly notable name. If Capital Plaza III gets done, again, maybe it will be time to rethink that. Mr. Heistand is also assisting on DPAC and that is a definite plus (if he is indeed a billionaire, I hope to see his name continue to rise among the list of donors )

But for now, a couple of thoughts. Eola Park Center was originally The Hartford insurance building and built circa early 70's. The redo on it was OK, but nothing to write home about. If Landmark Center is his, that is exactly what we don't want. Landmark Center I became the poster child for everything downtown was not supposed to be. In Maitland Center, perhaps. Having worked there briefly in the 80's, I was never much impressed with the quality of construction. And, if the first building wasn't mundane enough, then they dropped an identical one next door with almost no variation to break up the tedium of the "architecture." Even a mirror image of the original would have helped but it all seemed to be done on the cheap.

Given the portfolio of Eola Capital, that makes perfect sense. One of the exceptions, Independent Square, was not developed by Eola Capital. It came about as a crowning monument of the Bryan family that, at that time, controlled Independent Life.

Mr. Heistand may choose to be a businessman first and choose to make money as his first priority. Those of us in the community can choose to encourage those who have other, more amenable desires on their agenda. As mrh pointed out, it works out well for everyone in the long run by creating memorable downtowns that people flock to. As Richard Florida notes, the cities that thrive in the information age are the ones that are interesting. After many starts and stops, Orlando's is getting there (as we have seen, quite to the shock of folks in places like Jacksonville). For whatever reason, and I've been involved with this for most of my adult life, Mr. Heistand has thus far not stood out as one of the folks who were most actively involved in making that happen. If this signals a change on his part, he and Eola Capital will be most welcome. If not, we will continue to challenge suburban mediocrity in the central city.

[spenser1058]

I understand where you are coming from RedStar, but if you think about economically in terms of scarcity and utility the land and tower would have a higher and better use as parkland. Office buildings are commodities and can be constructed on any vacant parcel in the CBD. The number of people that can use the space occupied by the tower is significantly greater when held as parkland rather than a privately held office building giving it a greater utility. Parkland in the central business district is in much shorter supply than land available for office use there by making it a much more scarce resource.

Trust me I know the importance of property ownership rights as a commercial real estate professional, but I really think that this is an instance in which the City of Orlando can step up to the plate an make the right choice. I just did an analysis on a tax abatement for a property in Philadelphia that saved the developers $20MM. Orlando/Orange County could come up with an incentive package to buy Eola Capital out. It would be a win/win situation.

Futhermore, as an extreme example, the land in San Francisco Bay could be filled in to sell to developers for more condos and office towers and the land that makes up Central Park could be reduced for a few extra streets and avenues. What prevents that from occurring is that the citizens value both the bay and the park enough to view them as scarce resources that should be protected.

Thank you for summing that up so effectively - great post!

[jack]

The City would have to buy out the property owners to expand the park. That is a potential option except for the lack of funds. Debt could be issued so it does not come out of the operating fund. The CRA and the City seemd to be tapped out. The City does not own a good piece of land to do a swap with except for the lot at the intersection of Pine, Church, Central and Garland. They are roughly the same size but it is owned by the Parking Bureau. But it still could be done. For anyone against this project, that could be a win win for everyone.

[spenser1058]

The City would have to buy out the property owners to expand the park. That is a potential option except for the lack of funds. Debt could be issued so it does not come out of the operating fund. The CRA and the City seemd to be tapped out. The City does not own a good piece of land to do a swap with except for the lot at the intersection of Pine, Church, Central and Garland. They are roughly the same size but it is owned by the Parking Bureau. But it still could be done. For anyone against this project, that could be a win win for everyone.

Great idea - I'd support as big and as tall a building as they could possibly want over there!

[lala67]

Eola Capital is just the current company. The people behind Eola Capital have been in commercial property in Orlando since early 80's. They buy commercial buildings, renovate them and resell. Each development starts a new company for the duration of the project.

Jim Heistand is a local guy from Apopka that got his start here in Orlando in the early 80's. He is now a billionaire and is the largest owner of commercial property in Florida.

Some of his companies:

Dasco Medical Properties Trust

DASCO Cos LLC

Highwoods Properties Inc

ML Capital Partners

Associated Capital Properties Inc

Eola Capital LLC

Major Development Corp

ACP

Landmark Capital.

Capital Plaza (yes, the first building had been a bank), Eola Center (across from the Vue), and Landmark were all Jim Heistand projects that are directly on Lake Eola.

with the exception of Eola Center, those other properties are not directly on Lake Eola, they front the streets that border the park. Maybe slightly splitting hairs but I think a large attraction to parkland is the ability to keep it as part of the public realm by surrounding it with public space (sidewalks/roads/playgrounds/plazas, etc. There's a reason why the Chicago lakefront is not developed with a ton of high rise office and residential towers.

[FLheat]

I received an email:

Commissioner Sheehan wanted to make you aware of the applications that will be considered by the Municipal Planning Board (MPB) at their regularly scheduled meeting next Tuesday. At 8:30am, the Municipal Planning Board will consider applications for landmark designation of the homes currently owned by Eola Capital and those on which they have purchase options. Below is the link to the MPB agenda and the five applications are under Item 10. If you have any questions, please feel free to contact Richard Forbes at (407) 246-3350 or [email protected].

LANDMARK DESIGNATIONS Applicant: Sue Macnamara, 1623 E. Washington St., Orlando, FL 32803 Location: 528 E. Washington St., 538 E. Washington St., 512 East Washington St., 522 E. Washington St., 20 N. Eola Dr. District: 4

Project Planner: Richard Forbes (Contact at 407-246-3350 or ([email protected]) A. HPB2008-00084** Request to designate 528 E. Washington St. as an Orlando Historic Landmark. B. HPB2008-00085** Request to designate 538 E. Washington St. as an Orlando Historic Landmark. C. HPB2008-00101** Request to designate 512 E. Washington St. as an Orlando Historic Landmark. D. HPB2008-00102** Request to designate 522 E. Washington St. as an Orlando Historic Landmark. E. HPB2008-00103** Request to designate 20 N. Eola Dr. as an Orlando Historic Landmark. Staff Recommendation to Historic Preservation Board (HPB): Approval of A, B, and C. Denial of D and E. HPB Recommendation to MPB: Denial of A, B, C, D and E.

Municipal Board Planning Agenda

[FLheat]

Updated email from Comissioner Sheehan:

Many months ago you contacted my office regarding the proposed Eola Capital highrise along Washington Street contiguous to Lake Eola Park. Most of the sentiment expressed was in opposition to the project. That posed a significant challenge, how to stop a privately held parcel from development in the worst budget year the City of Orlando has ever known.

I am proud to report that a proposal will come before the Orlando City Council on Monday that will be a first step in the City of Orlando purchasing the property. The Trust for Public Land has offered to purchase the property and allow the City of Orlando to buy it back over four years. The Trust for Public Land is a not-for-profit organization that helps governments purchase park and recreation space. The Trust also assists local governments identify State and Federal funding to assist them in this effort. While this funding is scarce as well, the Trust for Public Land has finalized a deal that gives Orlando an opportunity to add the five parcels to Lake Eola Park. Eola Capital was also instrumental in making this happen. Eola Capital is willing to sell the property at less than market value to the Trust.

While this has been a controversial project, I appreciate the way that all parties involved have come together to provide a positive outcome. City staff also worked diligently to make this possible, especially Frank Billingsley and Laurie Botts. I hope you find this news as exciting as I do, and I hope that this added land can be enjoyed by Orlando families and visitors for many years to come.

----

Many thanks to Patty Sheehan and Eola Capital for doing what was right.

[spenser1058]

Updated email from Comissioner Sheehan:

Many months ago you contacted my office regarding the proposed Eola Capital highrise along Washington Street contiguous to Lake Eola Park. Most of the sentiment expressed was in opposition to the project. That posed a significant challenge, how to stop a privately held parcel from development in the worst budget year the City of Orlando has ever known.

I am proud to report that a proposal will come before the Orlando City Council on Monday that will be a first step in the City of Orlando purchasing the property. The Trust for Public Land has offered to purchase the property and allow the City of Orlando to buy it back over four years. The Trust for Public Land is a not-for-profit organization that helps governments purchase park and recreation space. The Trust also assists local governments identify State and Federal funding to assist them in this effort. While this funding is scarce as well, the Trust for Public Land has finalized a deal that gives Orlando an opportunity to add the five parcels to Lake Eola Park. Eola Capital was also instrumental in making this happen. Eola Capital is willing to sell the property at less than market value to the Trust.

While this has been a controversial project, I appreciate the way that all parties involved have come together to provide a positive outcome. City staff also worked diligently to make this possible, especially Frank Billingsley and Laurie Botts. I hope you find this news as exciting as I do, and I hope that this added land can be enjoyed by Orlando families and visitors for many years to come.

----

Many thanks to Patty Sheehan and Eola Capital for doing what was right.

Thanks for posting this - I had heard it was in the works and have been waiting for all the shoes to drop. Assuming everything goes as planned, this is a win/win for everyone and in addition to the "can-do" spirit the City showed here, I am also grateful to Jim Heistand, Rudy Touzet and the folks at Eola Capital for being great corporate citizens here.

[prahaboheme]

Fantastic news, I wonder if the City has plans to upgrade the park space in a significant way?

[spenser1058]

Purchase of downtown houses could mean bigger Lake Eola Park

http://articles.orla...s-heather-hagan

I'm glad to see this about to be completed. I still haven't decided what i think about what to do with the houses. Sadly, the ones that are historic (for example, one was the birthplace of a Nobel winner) are also the most forgettable architecturally. About the only one I'd really like to save is the one farthest west which was once the Mexican consulate but I know several folks with opinions all over the map. Whatever the decision, this is a big win for the city, the neighborhood, Buddy and the City Council. Kudos to everyone involved!

[jack]

It would be nice if they could donate them to whomever would pay to have them moved. It is better and cheaper than demolition.

[spenser1058]

It would be nice if they could donate them to whomever would pay to have them moved. It is better and cheaper than demolition.

Excellent idea! Here's hoping...

[orulz]

From my only time visiting Orlando (back in early October 2011) the experience that stands out most in my mind (more than Universal Studios - which was pretty cool itself) was a visit to Lake Eola park. What a fantastic asset your city has. I am very glad to see that it is going to get even bigger/better.

While I was there I was struck that the 5/3 bank parking lot seemed like a pretty stupid waste of space. If they could build a parking deck across the street and turn the parking lot into more park space, or put the parking underground and cap it with a park, that would be much nicer.

[spenser1058]

From my only time visiting Orlando (back in early October 2011) the experience that stands out most in my mind (more than Universal Studios - which was pretty cool itself) was a visit to Lake Eola park. What a fantastic asset your city has. I am very glad to see that it is going to get even bigger/better.

While I was there I was struck that the 5/3 bank parking lot seemed like a pretty stupid waste of space. If they could build a parking deck across the street and turn the parking lot into more park space, or put the parking underground and cap it with a park, that would be much nicer.

Oruiz, thanks, Eola Park is indeed the "jewel in the crown" for Orlando - I've been going to the park since I was a kid and it's been fascinating to watch its evolution over the years. Eola Park Centre where Fifth Third is located actually has a parking garage across the street - the surface parking for 5/3 customers is actually where the drive-in tellers were back when those were more popular back in the 70's and 80's. I think the lot is more a convenience than anything else and it's well-used at night by park visitors. Before the tower went up, the space where the lot is was a small motel/apt complex (I remember having a booth in front of it at the first Fiesta In the Park in 1972). The city has put out feelers over the years about attempting to buy the space but the cost has always been prohbitive. Unless a sugar daddy comes along, I suspect it will be hard to ever get it out of private hands.

[smileguy]

Assuming the buildings are moved/demolished, what would be a good use of the "new" park land? I think I would like to see Washington reclaimed as park land and a larger playground, maybe with an interactive fountain. I'd also like to see a dog run, but don't think there's enough space for the demand that there'd be.

What are some other possibilities? Extend the lawn to the south of the area? Maybe a permanant structure for the Sunday market?

[prahaboheme]

I'd really just like it opened up for parkland. Lake Eola Park already has plenty of diversions and points of interest. What it lacks is actual park space to move around, lay down a blanket, throw a ball, etc. If it absolutely must be built upon, I'd like to see moveable tables and chair, like Bryant Park:

[jack]

I don't know. It seems the existing parkland space on the NE corner is not used that often. Maybe a mixture of the two.

[sunshine]

Eola Park need pressure washing. The pathway is rather disguting with the amount of duck poops on it.

[Pete C]

Eola Park need pressure washing. The pathway is rather disguting with the amount of duck poops on it.

They already clean it off every day. It is impossible for them to keep up with the swan and duck poop, so any time you walk there you are going to come across some amount of it.

[gibby]

I think the homes should be preserved and sold with some deed restrictions regarding preservation and type of use. We could probably get 60% of our current investment back. It would be nice to have them become lived-in homes that are kept in better condition. If these homes were not so historic, I would want them to be torn down tomorrow for more park space.

[spenser1058]

Must Lake Eola's longtime neighbors vanish into history?

Joy's a longtime resident of our pleasant little 'hood here at the corner of E. Washington and N. Eola Drive, and makes a great case for keeping the houses the city ias about to purchase, or at least some of them.

http://www.orlandosentinel.com/os-joy-wallace-dickinson-0805-20120805,0,1102470.column

[jack]

I think the homes should be preserved and sold with some deed restrictions regarding preservation and type of use. We could probably get 60% of our current investment back. It would be nice to have them become lived-in homes that are kept in better condition. If these homes were not so historic, I would want them to be torn down tomorrow for more park space.

60% investment is $4.8 million for four houses.

[gibby]

For some reason, I thought that the City paid less but I was wrong. Maybe 40-45% would be more realistic.

[Jernigan]

Why can't they be incorporated into the park?

Parks & Rec could move their offices from Primrose to there. One office could be specific for markeing Lake Eola, weddings and events, etc.

[prahaboheme]

The med revival house at 512 E Washington Street on the park would make for a great restaurant with outdoor seating on the back patio. I'm thinking Orlando's version of Tavern on the Green.