The next phase of Bedrock’s Downtown Cleveland Riverfront development is proposed to feature a large, 17-story entertainment complex topped by a hotel. Dubbed Rock and Roll Land, it is the largest of seven Northeast Ohio projects and is seeking the largest award possible in the fourth and final authorized round of the Ohio Department of Development’s Transformation Mixed Use Development (TMUD) tax credits.
NEOtrans requested and received all 21 TMUD project applications submitted to the Ohio Department of Development after the state announced the opening of applications in August and closed it Oct. 4. No date has been released for announcing the award winners. Previously it has taken about four months after each round opened — potentially putting an announcement at about the end of December. With the holidays, it might be pushed into January.
That’s when officials at Detroit-based Bedrock, which has an office in Cleveland, may learn if its max request for $40 million in TMUD credits are awarded to fund additional new construction at its Downtown Cleveland Riverfront. The full riverfront development carries a $3.5 billion price tag and could take several decades to complete. The city created a $1 billion tax-increment financing (TIF) district this summer for the riverfront development.
“The (TMUD) project will transform 11.65 acres of parking lots between the bluffs of Downtown Cleveland at the Ontario (Street) and Huron (Road) intersection and the Cuyahoga River into three buildings with transformational impacts for Downtown Cleveland the surrounding areas,” wrote Bedrock in its TMUD application.
“Anchoring the project will be (the) Rock and Roll Land mixed-use development, a 560,017-square-foot, 17-story, multi-use structure featuring a (redacted brand) hotel, (redacted brand) live music and theater entertainment venue, restaurants, retail and structured parking,” the application continued.
The brand names of the hotel and entertainment venue were redacted, or blacked out by the Ohio Department of Development before releasing them publicly. Local real estate experts have speculated that the hotel will be a Shinola brand, with whom Bedrock has partnered in downtown Detroit. The redacted word in the application is about seven letters long.
“The hotel, theater and related amenities will deliver a multi-sensory experience purpose-built to immerse guests in the mindset of the music genre,” Bedrock envisioned. “The hotel and theater will share a ‘central lobby’ that will be the vortex where guests and fans will be able to dine, socialize and see performances. From arrival to departure, guests will be treated to a full rock and roll experience.”
Bedrock officials said this $488 million phase of development will create 3,000 new construction jobs and 400 new permanent jobs. Part of the 560,017-square-foot structure includes a 268,452-square-foot parking garage for approximately 800 cars.
“We are also discussing expanding the Cuyahoga Valley National Park’s scenic railroad to Downtown Cleveland with a terminus at our project site with regional partners and the National Park Service,” Bedrock officials wrote in their application. The document was prepared by Cleveland-based Project Management Consultants.
NEOtrans reached out by e-mail to Bedrock Senior Vice President of Business Development Deb Janik for comment and additional information. Although the e-mail was opened, she did not otherwise respond prior to publication of this article.
One reason why tax credits are sought for this project is because of the difficulty in developing this steep hillside, Bedrock noted. A big piece involves a privately owned but publicly accessible plaza and Cleveland Stairs will be constructed. The stairs will connect the 100-foot drop-off from Huron Road to the Cuyahoga Riverfront and a new privately owned, publicly accessible riverwalk and park space, including a future kayak launch.
Since TMUDs can be used for construction projects already underway, Bedrock’s application includes the new $200 million Cleveland Clinic Global Peak Performance Center. Construction on the new center began Oct. 14 at West 3rd Street and Eagle Avenue. Up to $50 million in taxable lease revenue bonds were approved yesterday by the Port of Cleveland.
“The Transformational Mixed-Use Development program is helping to make our communities more interconnected, productive, and sustainable,” said Lydia Mihalik, director of the Ohio Department of Development in a written statement in August.
“Mixed-use developments create jobs, housing opportunities, and communities where Ohioans can thrive in places that have been historically underfunded and underdeveloped,” Mihalik said.
Construction on the Global Peak Performance Center is due to be completed in 2027 and Rock and Roll Land is estimated to be completed by the end of 2028 — if it wins the TMUD. The application also noted the next phases of anticipated riverfront development farther west.
Several new mixed-use facilities comprised of office, residential, restaurant and retail buildings are planned along the riverfront in the next phases, too. A brand of housing is proposed but its identity was blanked out by state officials.
“(Redacted) residential housing is anticipated to be developed along the river — including multifamily affordable and market-rate rent and for-sale units,” the application said. “We can’t wait to break ground on the first new residential building in our development once we are underway with this project.”
The TMUD program offers about $100 million in annual tax credits to fill financing gaps for large, qualifying real estate construction and renovation projects. Up to $80 million in tax credits can be awarded to “Major City” megaprojects costing $50 million-plus and located in or within 10 miles of Ohio’s six largest cities. At least another $20 million in tax credits can go to general developments in smaller cities.
Other Northeast Ohio projects (Major City projects are within 10 miles of a city having 100,000 people) vying for TMUD tax credits are:
Berea Mixed Use Project Phase Two — Front Street at Lou Groza Boulevard, Berea; $2 million TMUD requested — Berea Mixed Use Project LLC, an affiliate of DiGeronimo Companies in partnership with the Haslam Sports Group, plan a $155.8 million, 500,000-square-foot, mixed-use District 46 at the Cleveland Browns existing CrossCountry Mortgage Campus. The existing Browns campus is considered to be phase one.
Cain Park Village — 1908 S. Taylor Rd., Cleveland Heights.; $5.11 million TMUD requested — WXZ CPV II LLC , an affiliate of WXZ Development Inc., is seeking a much smaller TMUD than the $14.6 million credit sought last year. The reason is that other financing has emerged for the Taylor Tudors, the first phase of the $106 million development. A six-story apartment-over-commercial building and a three-level parking deck are planned across Taylor.
NASA Park — 21000 Brookpark Rd., Fairview Park; $4.77 million TMUD requested — NASA Park LLC, an affiliate of LaPine Development LLC, wants to build between two former NASA office buildings that were renovated into the Centaur Apartments and the Orbit Hotel for $50 million. A planned event facility and a data center at the Centaur plus a pavilion connected to the Orbit with a riverwalk above the Rocky River are the subject of the TMUD application.
Van Aken District phase two — 20005 Farnsleigh Rd., Shaker Heights; $1 million TMUD requested — Van Aken F1 LLC, an affiliate of The Max Collaborative, says it lacks the funding to finish the two-towered Raye apartment complex, although the 228-unit building is in pre-leasing. The developer previously tried unsuccessfully for a $1.5 million TMUD credit to fund the 15- and 18-story buildings.
GENERAL PROJECTS
Jefferson Medina Redevelopment — 4261-4271 Pearl Rd., Medina Township; $2.5 million TMUD requested — Jefferson Medina LLC, led by Pride One Construction, proposes a $46.4 million mixed-use development featuring 246,273 square feet of apartments behind 69.590 square feet of restaurants and retail fronting Pearl. The applicant requested a $2 million TMUD last year but didn’t get it.
Mahoning County Bank — 22 Market St., Youngstown; $1.39 million TMUD requested — 22 Market Street Ohio LLC, including Sruly’s Management and Lock 39 Capital LLC, want to renovate the century-old, 15-story, 135,085-square-foot downtown office building into a mixed-use building for $16.5 million. The first four floors will remain as offices while the upper floors will be converted to 71 apartments.
For more updates about Cleveland, sign up for our Cleveland Magazine Daily newsletter, delivered to your inbox six times a week.
Cleveland Magazine is also available in print, publishing 12 times a year with immersive features, helpful guides and beautiful photography and design.
