TOLEDO, Ohio — Two of the oldest buildings in downtown Toledo are one step closer to being reimagined.
The Lucas County Land Bank announced Wednesday it has chosen Cincinnati-based The Model Group and Toledo-based ARK Development to redevelop the Spitzer and Nicholas buildings. The developers are proposing a mix of residential and commercial space for both structures at an estimated cost of $179 million.
"The Spitzer and the Nicholas buildings are the key to unlock a huge opportunity in this part of the downtown," President and CEO of the Lucas County Land Bank David Mann said.
The structures are located at the intersection of Madison Avenue and Huron Street. It is the last corner in downtown Toledo where all four original buildings remain standing.
The project was once estimated by the Land Bank to cost $100 million dollars.
“The Model Group and ARK Development have a vision for these historic downtown assets and a successful record in getting the job done,” Mann said. “Achieving this nine-figure project will not be easy, but we are excited to begin the next phase with such capable partners.”
Properties like the Spitzer and Nicholas buildings need this kind of investment or else they'll continue to sit vacant due to lower demand for offices for people to work in, Mann said.
The wide-open office space floor plans will be turned into individual apartments, which will prove difficult.
"When you talk about taking a building that was built in the late 1800s that was used for office and converting it into a residential use, it is extremely complicated because we're talking about wide open floor plans going into individual units with individual plumbing, it is extremely expensive," Toledo Director of Economic Development Brandon Sehlhorst said.
The redevelopment would create 398 new residential units to help meet the increased demand for downtown living. The developers envision "dynamic commercial tenants" in the restored ground level of the Spitzer Arcade and Nicholas Atrium, and a "people-oriented" Huron Street.
A request for proposals was issued in July for the long-vacant buildings. The Land Bank worked closely with the City of Toledo, Lucas County and ConnecToledo to identify a capable developer.
ARK Development also redeveloped the Wonder Bread Building in north Toledo and is working to do the same for the former Masonic Temple in east Toledo.
If the Land Bank is unable to reach an agreement with The Model Group and ARK, it will work to reach a deal with Lansing, Michigan and Toledo-based RKP Group, which placed second in the review process.
In October 2021, the Lank Bank spent $585,000 to repair the Spitzer's roof and skylights to prevent additional water damage. In April 2022, the Ohio Department of Development awarded the properties $1.39 million for asbestos, lead paint and hazardous materials abatement through the Brownfield Remediation Program.
Last May, Sandvick Architects conducted a feasibility study on the buildings.
The 11-story Spitzer Building was built in the 1890s and closed in 2014 due to safety concerns. It was home to Toledo's legal community for many years.
The 17-story Nicholas Building was closed in 2010 after its largest tenant relocated to another downtown location.
"This part of downtown has seen better days but so much has happened in the warehouse district, so much as happened on Summit street, this is now the best opportunity our community has to bring this corner back to life," Mann said.
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