Correction: This story has been updated to reflect the Downtown Mobility Authority approved a $7 million estimate on cleanup and demolition for the 100 N. Main building.

The 100 N. Main project continues to move forward.

On Wednesday, the Economic Development Growth Engine for Memphis and Shelby County (EDGE) approved a $5 million commercial loan for the redevelopment of Memphis’ tallest building.

"The redevelopment of 100 N. Main is so much more than bringing an old building back to life," Mayor Jim Strickland said during the meeting.

Strickland was in attendance in support of the commercial loan and 100 N. Main Development Partners' plan for the 37-story Downtown landmark. Strickland said the redevelopment and preservation of the building not only helps restore the city's skyline, but sends a message to residents and visitors that Memphis is ready for investment and serious about its future.

The development team, 100 N. Main Development Partners, consists of Jay Lindy, Michael McLaughlin, Billy Orgel, Adam Slovis and Kevin Woods. The partners won the redevelopment bid in January 2022. The 100 N. Main building has been vacant since 2014.

The $5 million loan is being used to help finance internal demolition. Earlier this year, the development team was approved to begin $7 million worth of demolition and cleanup on the project from the Downtown Mobility Authority, an affiliate board of the Downtown Memphis Commission (DMC). The Downtown Mobility Authority secured, and still owns, the property in March 2022 for $10.75 million. The initial cleanup work required the board's attention since the Downtown Mobility Authority still owns the building.

"It brings economy and commerce back to our community," EDGE board chairmen Al Bright Jr. said.

Additionally, on Jan. 25 the Downtown Mobility Authority agreed in principle to a development agreement for the property. The agreement would have 100 N. Main Development Partners purchase the property and corresponding 2 acres for $10 million. The purchasing agreement would be split in two $5 million payments. If the demolition and cleanup began prior to the development agreement, 100 N. Main Development Partners would be reimbursed $3.75 million for expenses.

100 N. Main floor breakdown

• Levels 2 to 3: Corporate apartments/meeting rooms

• Levels 4 to 8: Parking garage

• Level 8: Apartment pool/observation deck atop parking garage

• Levels 9 to 12: Offices

• Levels 13 to 22: Hotel

• Levels 23 to 31: Apartments

• Levels 32 to 35: Condos

• Level 36: Restaurant on top floor in former Tennessee Club site

The cleanup portion of the building’s renovation is expected to take up to 18 months and will be conducted in three phases. The first phase including trash removal and elevator shaft repair was expected to begin in February 2022.

Michael McLaughlin of 100 N. Development Partners cited increases in interest rates and scope of the project for delays and increases in cost. Both he and Woods reassured the board the partners remain committed to the project. Demolition and removal is expected to begin within the next 30 days, Woods said during the meeting.

"This is the end of financing and the beginning of construction," Strickland said.

Vice president of operations for EDGE Joann Massey said EDGE representatives and the development team have discussed possibility of using Commercial Property Assessed Clean Energy and Resiliency Program (C-PACER) funding to help finance the project further, however, no immediate plans or action have been taken.

In September 2022, Shelby County became the first county in Tennessee to adopted the federal C-PACER program to help fund eco-friendly adaptive reuse and new construction projects. EDGE is the administrating body for the incentive program.

The 100 N. Main project is expected to cost more than $260 million. Once completed it will include two restaurants, 336 apartments (196 units in the main tower), condominiums, a 156-room hotel and 93,500 square feet of office space.

"We are proud to stand alongside partner organizations to support this vital project,” Massey said in a statement. “Utilizing public assets to spur economic growth, job creation, and impact for Memphis and Shelby County is a key part of the EDGE strategy.”

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Northside High gets condos

A significant change to the anticipated Northside High School redevelopment was approved by the EDGE board on Wednesday. The former high school site is located at 1212 Vollintine Ave.

The board approved an amendment to the previously approved payment-in-lieu-of-taxes (PILOT) for the project. The change extends the PILOT from 15 to 20 years. With the change, the incentive moves from a new market tax credit to a community builder PILOT. With the changes, there is $24,937,172 worth of capital investment no longer included in the PILOT.

The reason for the change is due to a modification with the overall site plan, which will now include condos inside the 293,075-square-foot building. According to the PILOT application, the condos will take up approximately 33% of the building’s footprint.

"This is such an important and meaningful project to this community," EDGE board member Gerre Currie said. "It will help bring economic stability."

Northside Square floor breakdown

• First floor: event space, athletics, community health clinic, retail and food service, Northsdide High HOF

• Second floor: office space, shared arts space, workforce development organization and performing arts section

• Third floor: 42 affordable housing units

• Basement: vocational training facility including technical training programs

In February 2022, the EDGE board approved a 15-year PILOT for the Northside Renaissance Development’s proposed renovation of the site. The development team includes The Works Inc. and ComCap Partners.

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In May 2021, Northside Renaissance bought the 10.76-acre property for $400,000, according to the Shelby County Register of Deeds.

In July 2022, The Works Inc. announced plans for rebranding the site as Northside Square. The newly named site would include an event space, office space, vocational training facility, 42 affordable housing units and Northside High School Hall of Fame.

The total estimated cost for the project is $72 million. Northside Square is expected to open in 2024.

The 20-year term is still subject to Memphis City Council and Shelby County Commission approval within the next six months. EDGE can only approve 15-year PILOT terms. If City Council nor Shelby County Commission doesn't approve the amendment the incentive would revert back to its original 15-year term and conditions.

Neil Strebig is a journalist with The Commercial Appeal. He can be reached at neil.strebig@commercialappeal.com, 901-426-0679 or via X, @neilStrebig. 

This article originally appeared on Memphis Commercial Appeal: Memphis development: The latest on 100 N. Main, Northside High