Warehouse project planned near Hallmark Cards plant; Eldridge expansion may land on city’s agenda again; city releases more info on candidates for vacant position

A rendering of a planned expansion of the Eldridge Hotel in the 700 block of Massachusetts.

I know I’ve been on family vacations where a hotel next to a set of storage units and a warehouse would come in handy. (A forklift and a hernia belt to unload the trunk also would be nice.) Well, indeed there is a new self-storage and warehouse project slated for land next to a pair of hotels located near the Kansas Turnpike.

Plans have been filed at Lawrence City Hall to develop the vacant corner at McDonald Drive and Princeton Boulevard. In case you are having a hard time picturing the location, it is the lot in front of the relatively new Comfort Inn & Suites. It also is caddy-corner from the Holiday Inn.

A group led by Lawrence businessman Thomas Fritzel has filed plans to construct three buildings that are labeled as climate-controlled storage spaces, and a fourth building that is labeled for use as general industrial, limited manufacturing and production uses.

View Map

If you are confused about why industrial uses are going in that area, remember that the lot also is adjacent to probably the largest industrial enterprise in Lawrence: the Hallmark Cards production plant. The site also is about 30 seconds away from the interchange for the Kansas Turnpike, so it is well-situated for a variety of industrial uses.

At the moment, though, it doesn’t appear that the project is being built to bring in any new companies to the area. Lawrence architect Paul Werner is designing the project. He briefly told me that the project is mainly to accommodate some businesses that are a part of Fritzel’s construction enterprises. Specifically, he said some of the space is planned to house a cabinet shop and a business called the Rock Shoppe. Both of those uses currently are located in downtown Lawrence, and both would benefit from being in a less congested area.

I think one, if not both, of those uses are located in the space that used to house Local Burger at 714 Vermont St. That is prime space that is right behind the Eldridge Hotel, which Fritzel also is an owner of. Werner didn’t provide me any information about that, but it will be interesting to watch whether this project clears the way for something more substantial to happen in the 700 block of Vermont Street. As we reported last week, construction on an expansion of the Eldridge is set to begin soon, so activity is heating up in the area.

As for the project at McDonald and Princeton, plans call for the biggest building on the site to be an approximately 17,000-square-foot warehouse. The plans also call for an approximately 14,000-square-foot climate-controlled storage building, an approximately 11,000-square-foot climate-controlled storage building, and a 3,100-square-foot climate controlled storage unit that will include a “work/live” unit. That suggests the project could have someone living on site to keep an eye on the property and the items being stored. I’m unclear on whether the storage business will be focused on folks like you and me who have old books, clothes, multi-tiered chocolate fountains and other such ordinary household items that need to be stored, or whether the project is focused more on serving the storage needs of other industrial businesses in the area. I’m thinking it may be the latter.

Regardless, the site already has the existing light industrial zoning needed to accommodate the project. It will be interesting to see how that area near the interchange develops in general. Lawrence in the past has struggled to meet the needs of industrial businesses that want to locate along Interstate 70, which is also the Kansas Turnpike. For years, the strategy was to try and develop the area near the Lecompton interchange just northwest of Lawrence as an area to attract distribution centers and other businesses that want to be near the interstate.

Thanks to some deal-making by Fritzel and the county, the community was able to accommodate Berry Plastics and its large new warehouse in the area near the interchange. But efforts to get other property zoned for industrial use near the Lecompton interchange have been met with lawsuits and concerns from neighbors. I’ve heard nothing that makes me think any effort to get more industrial property near that interchange will be successful in the near term.

Prior to the focus on the Lecompton interchange, the focus was on making the area near the East Lawrence interchange — which is actually in North Lawrence near the airport — an industrial area. But it is clear that will be very difficult politically, and could be difficult to feasibly build projects without creating storm water flooding problems for other properties in the area.

That leaves us with just one interchange left, and that is the one at McDonald Drive, next to the Hallmark Plant. There is not a lot of acreage left there to develop, but the vacant site across the street from Hallmark is about 50 acres, and it is zoned for industrial uses. It also is on the market. Hallmark owns the property but has decided it is no longer needed for any future expansions of its Lawrence plant.

For a long time it was kind of assumed the lot wasn’t all that feasible for building because of some topography concerns. But the city proved that wrong by saying it was its No. 1 site for a new police headquarters building. The city had a deal to purchase the site, but it fell through when voters rejected the bond issue for the police headquarters.

Now, the question is: Does the community really view that as a viable industrial site? It is zoned to allow a wide range of industrial uses, and it is very well situated for quick access to the interstate. Lawrence has its new VenturePark industrial park in eastern Lawrence along Kansas Highway 10. That gives the city something to show potential businesses, but those that want direct I-70 access may not put VenturePark on their list for consideration. I’m sure there would be concerns from some neighbors about industrial development on the property near McDonald Drive. But I also know there have been concerns from some community leaders about Lawrence not being able to take full advantage of its position along a major commercial corridor like I-70.

I bring it up not because I know of anything imminent for the McDonald Drive property, but it seems like an interesting and important discussion to have at some point.


In other news and notes from around town:

• As I mentioned, work to expand the Eldridge Hotel really is getting close to starting. My understanding is that city commissioners at their Tuesday evening meeting may receive a plan related to traffic-control issues around the site to accommodate construction. What type of traffic or parking changes that may require, I don’t know yet, but we should find out soon.

I think there also is an issue related to industrial revenue bonds for that project. The bonds would allow the project to get an exemption from paying sales tax on construction materials for the project. The previous City Commission got the ball rolling on that IRB issue, but I don’t believe the commission ever finalized the issuance of the IRBs. According to a city memo, the current commissioners will be asked to finalize that process. I’m still double-checking what that means, but the memo says the commission will need to approve the first reading of the IRB ordinance.

That could be interesting to watch because this new group of commissioners has not been fond of those types of incentives. The previous commission passed a resolution of intent to issue the industrial revenue bonds. That resolution included language that the developer should not construe the resolution as a guarantee that bonds will be issued. But if this commission balks at following through on the IRBs, it will raise questions about whether developers were treated fairly. They were given an expectation by one city commission, planned a project around that expectation, and then had it changed by a new commission. On the other hand, some of the newly elected commissioners railed against incentives for the Eldridge project during the campaign. Like I said, it could be an interesting one to watch.

In case you have forgotten, the Eldridge expansion involves adding 54 guest rooms and additional restaurant and banquet space as part of multistory expansion on the vacant lot just south of the historic hotel. The previous commission approved a 85 percent property tax rebate through the Neighborhood Revitalization Act. As far as I know, that incentive already has been finalized and the current commission won’t have to act on that. But I’m double checking that. UPDATE: I heard back from interim City Manager Diane Stoddard. She confirmed that the NRA tax abatement has been finalized and doesn’t require any more votes. She said the city staff also is still reviewing some issues related to the traffic control plan for the construction project. She said it now appears that the Eldridge items won’t be on next week’s agenda, but will be on later in the month.


• As we reported, the city on Wednesday released the names of the 14 people who have applied for the vacant seat on the City Commission. This morning, the city has posted their complete application packets — including the essays they were asked to write about various Lawrence issues — on the city’s website. We’ll have another article today further detailing who the applicants are, but if you just can’t wait, you can click here to see their application materials.