This latest Land Investment Partners (LIP) development project will be located in the Suncoast Crossings MPUD at SR54 and the Suncoast Parkway. This $37 million project includes building two buildings of approximately 75,000 square feet of Class A office spec space for a total campus of 150,000 square feet of office space.
The public commitment (OEG18-1014) is a $6 million, 10-year loan from Penny for Pasco sales tax revenue that will be forgiven if the company meets its stated goals of building, at minimum, two 75,000 square foot buildings with the temporary Certificate of Occupancy and 75% of at least one of the buildings secured in, at minimum, 5 year tenant leases.
This project is needed due to the lack of Class A Office space in Pasco County.
Board Approved Action: OEG18-1014
Description: This project intends to build 150,000 square feet (Phase I: 75,000 sf) of Class A office speculative space within the Suncoast Crossings MPUD (specifically in the land between Tru Simulation and Mettler Toledo).
Loan Forgiveness Terms (Principle Reduction):
Temporary CO for the first 75,000 square foot building construction and
75% of the square footage tenant leases for at least 5 years (completion March, 2020): $3,000,000
Temporary CO for the total 150,000 square feet of Class A shell space or
75% of the 150,000 square foot secured in tenant leases for at least 5 years: $3,000,000
Interest only payments (at a rate of 0.5%) will be required on an annual basis on the anniversary of the disbursement of the proceeds of the loan based on the outstanding balance under a term of 10 years (within 45 days of meeting a ‘principle reduction goal’ the principle reduction will be retroactive to the date of the met goal and the interest will be recalculated).
Payment of the loan will be made upon property closing with a Promissory Note and 2nd Mortgage (Intercreditor Agreement)