Wednesday, April 30, 1997
Dodge Jones, NationsBank offer deals for new
facility
By ANTHONY WILSON Staff Writer
The Dodge Jones Foundation offered Tuesday to give One City
Center for a main library, but the NationsBank Tower's owner insists
he's pitching an even cheaper deal.
A team of library designers hired by tower owner Kenneth Musgrave
calculated that renovating One City Center would cost $17.5 million,
about $7 million more than other experts had estimated.
Speaking to the Citizens Library Review Panel, Musgrave quoted
a $10.5 million price tag for acquiring the first three levels
of the tower, building an 18,000-square-foot addition and renovating
the interior for a library.
"Apples to apples, I beat the heck out of them - by about
$7 million - even with them giving away the building," Musgrave
claimed afterward.
The owners of both buildings unveiled their proposals for acquiring
their sites for the panel, which looks to be nearing a recommendation
for the City Council.
Acquisition costs figure to be a determining factor in the
decision. Though consultants have given the tower a slight nod
as the better potential library, they concede the bottom line
could sway the results.
With Musgrave vowing to best any proposal, One City Center's
owners agreed to deed their site to the city for free. The building
would be accepted "as is" with the contingency that
it be used for a library.
Though the Dodge Jones Foundation, the benevolent and usually
anonymous backer of many downtown renewal projects, holds the
center's mortgage, its 30 owners must agree to forgive their debts
and interests in the property.
"I don't have any doubt in my mind it can be done - and
done rapidly," said Mel Richards, who built the center 37
years ago. "The bottom line is it will be given to the city
as a gift."
"This is a win-win," attorney Paul Cannon added.
"Everybody stands to gain from this transaction."
Musgrave was unimpressed.
"If I was in their position, it's what I'd do," he
said. "(The building) is a liability. But it's an admirable
thing on their part."
Musgrave drafted five options for the panel to mull, some of
which included up to three variations.
Only two options were for an outright purchase, which the panel
seems to favor. The others involved combinations of leases with
options to buy and property exchanges with the city.
Musgrave proposed selling the 20-story tower's basement and
first two levels for $3 million or $2.4 million, depending on
the square footage.
He believes the "turn-key approach" is the best deal
because it includes the services of F&S Partners, a library
design firm from Dallas. Musgrave wouldn't have a say-so in the
design or construction.
Neither would he cover expenses that exceed his quoted $10.5
million cost, though the city would benefit from savings if construction
bids were lower than anticipated.
"I just want to do the deal," he said. "The
panel must make sure whatever decision it makes the voters will
approve. That's the $64,000 question. If we don't get it approved,
a library is dead for years."
F&S backed Musgrave's claims that the tower could be a
"five-star library" at a reasonable cost.
"You get what you pay for," library designer Ron
Shaw said in a shot at the free building. "The most cost-effective
site is what will be of the most benefit to the users over the
longest period of time. This will make you a great library."
The owners of both buildings took time to note their property's
strengths, which happened to coincide with their competitor's
weaknesses.
One City Center, for instance, is in the "heart of downtown"
and would be occupied only by the city. NationsBank Tower is newer,
with handsome finishes and more ample parking.
Library panel members were reluctant to react to the proposals
until they could study the offers.
"With the history of Dodge Jones, their proposal wasn't
surprising," chairman Ed Patton said. "It's a wonderful
thing for the city. I had a feeling that might happen.
"And Kenneth didn't disappoint me in his options. There
are a lot of them. I'm just going to have to look at them."
He said Musgrave's "turn-key" approach will require
much analysis.
"We've compared apples to apples," Patton said. "Now
we can look at this tangerine. I'd like to know how (One City
Center's estimates) go from $10 million to $17 million."
The panel will conduct a town hall meeting at 7 p.m. in the
Civic Center Monday to gather input from the public. It expects
to issue its recommendation May 13.
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Copyright ©1997,
Abilene Reporter-News / Texnews / E.W. Scripps Publications
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