Demolition of Fields Downs Randolph in Downtown

[PonderInc]

To add to #5 of DowntownNow's suggestions, downtown tulsa needs to be on the National Historic Register.  Once approved, any building built before 1939 (?) quailifies for a 20% tax credit for construction costs assuming it is performed per the standards of the National Register.  This is a significant incentive.  There are individual downtown buildings on the Register but all of downtown can be placed on the register as Riverview and Ranch Acres, etc have been placed.  I heard a while back that someone was working on this nomination but have not heard anything lately.

The property does NOT have to be on the historic register to qualify for tax credits.  (Although you will get MORE if it is, you will also have more requirements to meet.)  As long as your building was built before 1936, you will qualify for a 10% tax credit, regardless of whether your building has been declared "historic."

From the Oklahoma State Historic Preservation Office:
There are two tiers of both the Federal and the State tax credits. The first tier provides a 20% tax credit for the certified rehabilitation of a certified historic structure. The second tier provides a 10% tax credit for renovation of an older building that is not currently listed in the National Register of Historic Places either individually or as a contributing resource to a district. The value of the credit is either 20% or 10% of a project's qualified expenditures.

What is a tax credit?
A tax credit reduces the taxpayers tax liability. That is, the amount of the credit is subtracted from the amount the taxpayer owes the IRS and the OTC. A credit differs from a deduction as the latter reduces taxable income rather than tax liability.

http://www.okhistory.org/shpo/factsheet14.htm#A3
http://www.okhistory.org/shpo/factsheet3.htm

By the way, the historical survey of downtown buildings is well under way.  I hope it will help downtown property owners understand the history that they hold in their hands, as well as making it easier for them to get the tax credits for renovation.  Most importantly, I hope it will enable us to finally declare downtown a registered historic district.

[pmcalk]

Just one clarification, Ponder, the 10% tax credit is not available for residential buildings.

[Townsend]

Just one clarification, Ponder, the 10% tax credit is not available for residential buildings.

Why not?

[pmcalk]

Why not?

I don't know why congress excluded residential buildings.

Also, the tax credit is also available at the state level.  So, if you meet the standards, you could actually get up to a 40% tax credit, depending upon your state & federal tax amount.

[PonderInc]

Just one clarification, Ponder, the 10% tax credit is not available for residential buildings.

I thought there were tax credits available as long as it was not your primary residence.  For instance, if you RENTED apartments or lofts in a building, it would count. 

[Red Arrow]

Waterboy, Red:

I am not against fire safety.  We need to have a fire code that ensures residential rentals are safe....

Actually you don't have to convince me.  NOBODY caught my attempt at sarcasm in my post of July 8, 7:01:35 PM. I guess I need to go back to the drawing board.

[pmcalk]

I thought there were tax credits available as long as it was not your primary residence.  For instance, if you RENTED apartments or lofts in a building, it would count. 

I am sure that there are those on the forum that know better than me, but according to what I have read, any residential property (including rentals) cannot qualify for the 10% tax.  That is different from the 20% credit, which can be used for rental properties.

According to the National Park Service:

The 10% credit applies only to buildings rehabilitated for non-residential uses. Rental housing would thus not qualify. Hotels, however, would qualify. They are considered to be in commercial use, not residential.

http://www.nps.gov/history/hps/tps/tax/brochure1.htm#10

[cannon_fodder]

NOBODY caught my attempt at sarcasm in my post of July 8, 7:01:35 PM.

I caught it!  As denoted by the smiley face.  But then you responded 2 posts later on a more serious note.

[Townsend]

Just drove by.  The building is over half gone now.

[waterboy]

I agree with you CF. Compromise is the answer.

[Conan71]

Just drove by.  The building is over half gone now.

What?  The building started drinking at 9am?

[Townsend]

What?  The building started drinking at 9am?

Yes, it's wrecked

[Red Arrow]

I caught it!  As denoted by the smiley face.  But then you responded 2 posts later on a more serious note.

OK, only half way back to the drawing board.

Since my position was not intuitively obvious to the most casual observer, I thought it would be a good idea to explain my actual position.  Therefore, I posted the more serious replies.

[carltonplace]

One of the things that let me down about Dr Crowley's downtown master plan was the half hearted stab at what to do with the East end. Heck, some of his concepts still had a ball field in them. In order for this part of down town to work, someone has to have a full fleged vision and those speculators that want to make money on the deal are going to take a good look at what their property is really worth as it stands.

Tearing this building down was a shame, there were lots of potential uses and lots of excuses by the land owners. I know DTN sides with them as long term downtown land owners, but sitting on empty property and waiting for the check to come in is a lot different from actively devloping or marketing that property.

Maybe TulsaNow can map out a plan for the East end?

[DowntownNow]

Carltonplace....I would have loved to have seen that building renovated into something useful.  But one property in a sea of nothingness makes not a castle.  If the ballpark had stayed in the East End, it could have spurred all kinds of growth for that area and quite possibly saved that building.  But it moved and it didn't.

Crowley's plans centered on the George Kaiser Family Foundation's plans as he was brought in by them in the first place.  His conceptuals all focused on properties owned by or associated with the GKFF.  Even his ones from the East End when the ballpark was visioned to be there.  They tied plans for the 18th & Boston channel area, the Crow Creek and Riverparks ties by the apartments they purchased off riverside drive.  And all were done prior to his involvement and push through Planitulsa.  I saw those conceptuals in his office at the Hartford building back in June of last year, before any info came in from Planitulsa.  They didnt change. 

Aside from that...the building has been marketed for quite sometime according to various real estate brokers in the area.  Much like most other empty downtown properties.  The impetus simply isnt there to renovate outlying areas away from other surrounding major developments or 'demand generators.'

I will not fault them for removing a structure that was in a questionable state of repair when there was no interest in it at any price and especially when they were faced with paying an incredible amount for an assessment on a vacant building that will see no direct benefit from the assessment levied against it.  What were they to do?  Leave the building as is, fail to pay the assessment and lose the building eventually until demand generators move into the area and encourage its redevelopment?  From a business standpoint, they did the only thing they could and it was their building to do with as they pleased.  I hated to lose it but I understand the decision behind it.

Perhaps they didnt have the $10+ Million to renovate the building and market it, did you?  No bank would lend them the money given the economy and with the surrounding lack of redevelopment either.

Those so quick to condemn the actions of these property owners in here arent the ones lining up to buy and save the building either.  Until that happens, why question the motivations of those doing the demo? 

Just hope and pray that with this assessment, more property owners dont start doing the same thing.