Wichita to take ‘tremendous step forward’ with first major developments near ballpark

Wichita is about to take “a tremendous step forward” with two substantial new developments adjacent to Riverfront Stadium at Maple and McLean, said Assistant City Manager Scot Rigby.

The $65 million project includes an eight-story hotel, a six-story office building with an adjoining 200-spot parking structure and riverfront improvements.

It’s the Wind Surge baseball team’s first step toward developing four acres around the ballpark — the same four acres the city was heavily criticized for selling for a $1 each to the team.

In March 2019, the city made an agreement with the team that stipulated timeline and performance requirements the team had to meet over its first three phases of developing land adjacent to the ballpark in order to continue to have options to develop the rest of the land.

Rigby said the original first two phases were supposed to include about 50,000 square feet of retail and were projected to bring a benefit to the city of $18.6 million in tax revenue.

With what he’s calling “the new first phase,” Rigby said the immensity of the development will bring not only that projected $18.6 million but another projected $19.5 million.

“So to see a full-service hotel of this size and scope, to see an office building of this size and scope is really great.”

He said the city is agreeable to up to $5 million in tax increment financing, which will be used for the parking structure and other site improvements. A TIF district is a special tax district that captures increases in property taxes and applies it to eligible costs.

The trade-off for the TIF, he said, is that the public can use the parking for free except for during the day on weekdays.

Rigby said the more-intense-than-planned new development stems from “seeing the response from the business community about the investment the city (made) for this stadium.”

“We were hopeful, but in typical city fashion we were very conservative on our original projections because we didn’t want to overstate what we thought we could achieve.”

The Wichita City Council will consider a memorandum of understanding on Tuesday and an amendment to the original development agreement that sets new terms and expectations.

Former team owner Lou Schwechheimer, who died of COVID-19 in 2020, and CEO Jordan Kobritz, who also is a partner in the team, initially told the city that they had to have the option to develop around the stadium before they would commit to moving the team from New Orleans, where it was known as the Baby Cakes.

“That was a requirement of Minor League Baseball in the Pacific Coast League given the checkered past of affiliated baseball in Wichita,” Kobritz said.

The pandemic slowed development somewhat, but the team started talking to potential development partners last fall.

The team selected Overland Park-based EPC Real Estate Group, which developed the nearby 225 Sycamore apartments at the city’s Delano catalyst site.

“It’s actually where I live,” Kobritz said.

EPC is the lead developer and is still putting together a development partnership under the name Wichita Riverfront LP. The group has been working with the city and potential tenants for a year, Kobritz said.

“So here we are at the cusp of being able to unveil this to the public.”

A high level of interest

The new developments, which are on the first two lots of five the team has an option to develop at the ballpark, will be north of Maple on either side of McLean.

The full-service hotel will have about 150 rooms, a restaurant and a bar along the river on the east side of McLean.

Just west across McLean, at what Rigby called “right field alignment,” will be a 55,000-square-foot class A office building with 5,000 square feet of ground-floor retail and a parking structure that the public can use for free on evenings and weekends. During weekdays, anyone using the building for work or shopping can park there.

“The goal is that they would start construction summer of next year,” Rigby said.

Construction will take two years.

EPC vice president of development Austin Bradley said his team is talking to a hotel operator that would be new to Wichita and fits the vision for Delano.

“We’re excited to make that announcement here very soon,” he said.

Bradley said the group is in “LOI-level discussions” with a number of tenants. LOI stands for letter of intent and is usually the step before a contract is signed.

“The interest level is high,” Bradley said.

He said there’s excitement and energy around the ballpark and called it “a pretty unique and dynamic environment.”

Bradley said Kobritz and the Wind Surge have been a catalyst for the entire area.

“There’s a lot of good things happening in Delano.”

The development team is going to seek funds from the state for up to $4 million in riverfront improvements.

“They’ll be making those improvements on behalf of the city,” Rigby said.

If the state denies those funds, he said the “city is willing to provide collateral allocation of $3 million for riverfront development.”

“We’re still working through design,” Rigby said.

He said it will be similar to what’s around the River Vista Apartments just north along the river.

Rigby said this new first phase “would significantly increase the amount of development that occurs initially.”

He said he still hopes there will be two more phases following this one.

Rigby said the impact won’t be solely on Delano or the stadium.

“To start to bring development back along the river would be tremendous.”