Star Tribune Tue, 15 Apr 2008 04:36:14 GMT
Bad economy spells trouble for St. Paul riverfront project
A developer has decided to cancel a deal for riverfront property in downtown St. Paul because it hasn't found a tenant to anchor the office space. But stay tuned. The developer set to take prime downtown St. Paul riverfront property off Ramsey County's hands and turn it into a $200 million office, hotel and condo project has walked away from the contract, but wants to keep working on the project. Opus Northwest, based in Minnetonka, notified the county Monday that it is terminating the $10 million purchase agreement for the former West Publishing complex and adjacent vacant county jail. By doing so, Opus will keep its initial $250,000 in earnest money. The developer would have had to deposit another $750,000 today if it decided to pursue the project. The problem? A sluggish economy. So far, Opus hasn't found a tenant to anchor the 504,000 square feet of office space -- a critical component, Opus has said, to starting the project.
[[keywords: LandUse;PropertyTax;Ramsey;]]
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