Developer eyes new life for the 100 Center, but many hurdles remain to be cleared

MISHAWAKA — A project to transform the 100 Center from a dilapidated historic site to a financially feasible multi-use center is being floated by a developer who has put together a plan.

At the Monday, July 22 Mishawaka Redevelopment Commission meeting, Joseph Grabill, managing partner with The 100 Center Opportunity Fund, answered questions about the proposed $41.5 million project that is in its early stages of planning. Grabill said there are many steps in seeking funding, working on historic rehabilitation issues and other matters before the project becomes a reality.

"This is far from a done deal," Grabill said.

History of site: Mishawaka's historic, but blighted, 100 Center attracts interest of developer, agent says

Originally the site of the Kamm & Schellinger Brewery dating back to 1853 , many of the 100 Center's buildings have deteriorated since it reopened in 1968 as a retail, restaurant and residential center following the brewery's closing in 1951.

Recently, businesses such as Smokestack Brew and Morgan's and Little Black Dog restaurant have come and gone. Before that, Dorothy's 100 Center Cinema operated at the complex from 1972 to 1999, The Funny Bone Comedy Club moved to the 100 Center in 2004 until closing in 2008, and Truman's Nightclub had a 21-year run from 1991 to 2012.

At the moment, only a handful of businesses remain, including Fanellos Authentic Italian Restaurant , a Hacienda Mexican Restaurant , Jackson's Cigars and Spirits and the Mishawaka office of the state's Family and Social Services Administration .

Ken Prince, director of planning and community development with the city, outlined the steps in a document he provided to the Redevelopment Commission. Developers and the city departments have tried to come up with a way to save the 100 Center from further blight while setting up a long-term financial feasibility plan.

Under the developers' proposal, the main building of the Kamm & Schellinger Brewery building, which is west of the former Pier 1 Imports business, would remain, along with the smokestack, the boiler house and the stables building.

Prince said buildings to the west of the main building "would be removed to allow for a new apartment building to be constructed with podium parking underneath it. The plan includes a significant amount of plaza and walking areas reflecting the original conversion of the brewery into a shopping destination," he wrote in his remarks to the Redevelopment Commission.

Grabill and partners tried to configure a 100 Center plan, but Prince said they could not come up with one using existing buildings in a configuration that would make sense and generate income to sustain the project.

City planning and engineering officials suggested that developers consider "selective demolition," taking down structures that were unusable while making efforts to save what was historically significance to the 100 Center.

Funding through a TIF

The project would include a host of construction loans, grants and other sources. But Prince suggested that to have a funding stream to support it, a potential tax incremental financing (TIF) district would have to be considered. A TIF district would capture any new tax revenues generated in the district and would be used in that area for things such as infrastructure work and repayment of bonds for such projects.

The TIF envisioned by the developers would encompass The Avalon apartments , the proposed Smith and Earl apartment property and the 100 Center, Prince said. No such proposals or decisions have been submitted.

The 100 Center project was submitted for consideration and was accepted by the South Bend-Elkhart Regional Development Authority , as one of four projects sent in for consideration of an $8 million Lilly-LEI-READI II grant toward the $41.5 million project.

The grant request through the Regional Development Authority would try to tap into the Lily Endowment grant announced in January as a complement to the READI grant program in the state.

The Indiana Economic Development Commission is expected to dole out $185 million as part of the Blight Reduction & Redevelopment Initiative that is designed to help communities with "property rehabilitation projects, including historic structures, remediation, rehabilitation or demolition with new construction and single-family home rehabilitation to assist a targeted community," according to an explanation on the South Bend-Elkhart Regional Partnership website.

Mishawaka had already submitted a $2.25 million grant proposal for a project to turn the former Dodge/RMG Foundry site at 500 S. Union St. into a neighborhood with a 6th-7th Street connector .

Prince said the city threw its support behind Grabill's 100 Center project, saying that it was one that needed attention because of the conditions of the complex.

He also outlined the steps the redevelopment and council members would need to take to make the 100 Center proposal a reality.

"We wanted to provide an update at this time because the 100 Center redevelopment, and the financing thereof, requires the quick action of multiple entities," Prince said in his remarks. "We would also like to include the Historic Preservation Commission in these discussions. The properties are not currently locally designated, but the site is on the National Register of Historic Places ."

Prince also said the developers would need to explore historic tax credits for the main building.

Grabill calls the project "The 100 Center Historic Revitalization Project," and it would preserve one of the 10 most endangered landmarks in the state, as rated by Indiana Landmarks in 2021 and 2022 . He also said the project would vitalize the use of Kamm Island while bringing back retail and entertainment activity to the 100 Center.

Grabill said the apartment building would likely be the least complicated part of the project. A building of more than 100 apartments would be planned, and market forces at the time of planning would dictate the sizes and price points of units.

Grabill told commission members the 9,000-square-foot former Pier 1 space is planned to be a catering-neutral event facility. It could be rented for events with people having the option to bring in their own catering services.

The boiler house and stables buildings also would be renovated under the proposal. Also staying is the tall smokestack, a fixture Grabill said was repaired several years ago and is a feature he believes needs to be part of the complex.

Grabill said should the project get a grant from the Lilly-LEI grant, the move would set the next steps in motion in securing funding.

Email Tribune staff writer Greg Swiercz at gswiercz@sbtinfo.com

This article originally appeared on South Bend Tribune: Developer eyes new life for the 100 Center, but many hurdles remain to be cleared