In some projects, the challenge isn’t a physical one. Sometimes it’s bureaucratic or financial. That was the case with a project in Kansas City, Kansas for the EPA. The city had already acquired the property. It was located in a decaying downtown area with one of the highest property tax rates in the United States. The planned building, a 250,000-square-foot office facility, was over-improved for the neighborhood and the US Government Services Administration had executed a 10-year lease on behalf of the EPA. Additionally, the design for the building came from a design contest so the facility was extremely expensive.
It was important for KDC to shift the significant property tax burden and risk to the GSA. KDC was able to convince the GSA to modify the initial agreement to an NNN lease. With the backing of the government and the NNN lease, KDC was able to pre-sell the building to an entity that specializes in owning and operating U.S. government facilities nationwide.
Architect: Langdon Wilson
Contractor: Koll Construction
Lender: Bank of America
Kansas City, KS