Krog Corp., which is planning a mixed-use redevelopment of the long-vacant former Trico building on Ellicott Street, on Friday was named the designated developer of the Buffalo Niagara Medical Campus property.
The vote by the board of the Buffalo Brownfield Restoration Corp., which owns the Trico property, gives Krog a 90-day window to firm up its plans for the site, which has extensive environmental issues and for which Krog is expected to apply for historic preservation tax credits.
“It’s an agreement to move forward,” said Dennis M. Penman, a corporation board member who headed Friday’s meeting.
The restoration corporation has directed the Hurwitz & Fine law firm to arrange for an appraisal of the property and to negotiate a sale contract with Krog.
Krog has not released detailed plans for the site but is expected to convert the structure into a hotel, apartments and office and research space, and the project has the backing of the organization that oversees the Medical Campus.
“This is a great thing from our perspective,” said Matthew K. Enstice, president of the Medical Campus.
Enstice and Medical Campus officials have spent eight months working with Krog Corp. on a plan to resurrect the Trico complex that would gain the backing of local preservationists, state agencies and city officials.
The Medical Campus previously served as designated developer for the site and had an agreement with Peter Krog to sell the Trico property to his Orchard Park development company for $1, but the campus’ designation expired this week, and Krog now is dealing directly with the restoration corporation.
Penman said a price for the Trico Plant No. 1 was not discussed at Friday’s meeting and will be the subject of negotiations once an appraisal is completed, but Enstice said the complex essentially has no value given how much it would cost anyone to redevelop it.
“I can tell you right now, anybody who appraises it for more than $1 is crazy,” Enstice said.
The Trico complex, which fills the block between Ellicott and Washington streets at Goodell Street, includes five industrial buildings, which were constructed from 1890 to 1954, with a total of 617,627 square feet.
The former windshield-wiper factory requires an extensive cleanup as a brownfield site, and Krog Corp. must get approval for a cleanup plan from the state Department of Environmental Conservation.
Krog is seeking brownfield tax credits and also is expected to seek historic tax credits as part of the financing for the project.
Krog has the exclusive right to develop an extended-stay hotel on the Medical Campus.
The company initially planned to build one in the old SmartPill building, 847 Main St., but the Medical Campus agreed to buy and convert it into office and lab space while giving Krog the right to build a hotel elsewhere on the campus.
email: swatson@buffnews.com
The vote by the board of the Buffalo Brownfield Restoration Corp., which owns the Trico property, gives Krog a 90-day window to firm up its plans for the site, which has extensive environmental issues and for which Krog is expected to apply for historic preservation tax credits.
“It’s an agreement to move forward,” said Dennis M. Penman, a corporation board member who headed Friday’s meeting.
The restoration corporation has directed the Hurwitz & Fine law firm to arrange for an appraisal of the property and to negotiate a sale contract with Krog.
Krog has not released detailed plans for the site but is expected to convert the structure into a hotel, apartments and office and research space, and the project has the backing of the organization that oversees the Medical Campus.
“This is a great thing from our perspective,” said Matthew K. Enstice, president of the Medical Campus.
Enstice and Medical Campus officials have spent eight months working with Krog Corp. on a plan to resurrect the Trico complex that would gain the backing of local preservationists, state agencies and city officials.
The Medical Campus previously served as designated developer for the site and had an agreement with Peter Krog to sell the Trico property to his Orchard Park development company for $1, but the campus’ designation expired this week, and Krog now is dealing directly with the restoration corporation.
Penman said a price for the Trico Plant No. 1 was not discussed at Friday’s meeting and will be the subject of negotiations once an appraisal is completed, but Enstice said the complex essentially has no value given how much it would cost anyone to redevelop it.
“I can tell you right now, anybody who appraises it for more than $1 is crazy,” Enstice said.
The Trico complex, which fills the block between Ellicott and Washington streets at Goodell Street, includes five industrial buildings, which were constructed from 1890 to 1954, with a total of 617,627 square feet.
The former windshield-wiper factory requires an extensive cleanup as a brownfield site, and Krog Corp. must get approval for a cleanup plan from the state Department of Environmental Conservation.
Krog is seeking brownfield tax credits and also is expected to seek historic tax credits as part of the financing for the project.
Krog has the exclusive right to develop an extended-stay hotel on the Medical Campus.
The company initially planned to build one in the old SmartPill building, 847 Main St., but the Medical Campus agreed to buy and convert it into office and lab space while giving Krog the right to build a hotel elsewhere on the campus.
email: swatson@buffnews.com