After years of politics and preparation, the Gateway redevelopment project on downtown Salt Lake City's west side finally gets its coming out party Monday when The Boyer Co. unveils plans for a 40-acre, $375 million complex that will create 6,000 new jobs, 2 million square feet of retail, office and residential space, and do it all by fall of 2001, just in time for the 2002 Winter Games.
An official groundbreaking ceremony for 250 invited guests is set for 11 a.m. at the historic Union Pacific train depot, which itself will get a $14 million renovation and become both the centerpiece and main entrance to the complex, touted as the largest commercial development in the city's history.But "groundbreaking" is largely a ceremonial term in this instance, because the three city blocks that will encompass the complex -- North Temple to 200 South and 400 West to 500 West -- have already been cleared, including the network of train tracks, to prepare for fast-track construction of the development.
The Gateway will redefine what it means when people refer to "downtown," said Roger Boyer, partner with Kem Gardner in The Boyer Company, the owner and developer of the project. He said the project will mean the traditional limits of the city's central business district will expand five blocks to the west, tieing together Main Street, Temple Square, the Salt Palace, Abravanel Hall, the Delta Center and the Gateway.
And none too soon if the downtown area's vitality is to be maintained, said Boyer, citing a recent University of Utah study indicating there has been significant movement of business from downtown to the suburbs.
"In 1980, 43 percent of business tax revenue in Salt Lake County came from the downtown area," said Boyer. "By 1997, that figure had dropped to 28 percent. The Gateway will provide a major emphasis toward turning that
around and enhancing the future of all downtown businesses."
When Gateway is at full operation, it is expected to generate some $20 million annually in sales taxes and another $5 million in real estate taxes.
Gardner emphasized that Gateway isn't just another mall or shopping center.
"It will be a regional urban destination for shopping, eating and entertainment, along with housing and office space. It will change the nature of downtown Salt Lake City be extending activity well into the later evening hours. There will be lots of things to do in downtown after 5 or 6 o'clock."
Still, as is usual in such massive undertakings, not everyone believes the Gateway is a good idea. Mayor-elect Rocky Anderson was skeptical during his election campaign, saying the money and effort would be better spent revitalizing downtown Main Street rather than building a complex that he felt would only attract more dollars away from existing businesses.
Anderson is scheduled to be one of the speakers at Monday's groundbreaking ceremony, and it would be odd, indeed, if he used the occasion to criticize the project.
In any case, Boyer and Gardner stress that Gateway isn't going to compete with downtown but expand the perimeters of downtown. "The long-term effect will be to bring more people downtown and that can only help the two downtown malls (Crossroads Plaza and the ZCMI Center)," said Boyer.
Unlike most such projects, Gateway will not be built in phases but rather all at once, an undertaking that will require as many as six general contractors and some 1,500 workers to meet the ultra-ambitious 23-month construction schedule.
Some suggested that the project was "too much too soon" and should be done in phases over time, but Gardner said the project only works as a total entity.
There will be something for everyone at the Gateway. Some 400,000 square feet of office space will rise above the 675,000 square feet of retail and entertainment operations, including a 12-screen movie theater, restaurants, nightclubs and a new 50,000 square foot Children's Museum of Utah that is expected to attract 250,000 kids and parents per year.
Another 40,000 square feet will be dedicated to other cultural attractions.
Some people will like Gateway so much they won't want to leave, say the developers. Thus, 500 residential units -- apartments and condominiums -- will be built on the western side as part of Gateway, and another 300 will be constructed north of North Temple by Prowswood.
For those who want to stay awhile but not take up residence, a 225-room "upscale boutique" hotel (think Hotel Monaco) will go up near the central plaza where it is expected to attract some 60,000 guests annually and another 3,000 for meetings and functions.
All of this will attract a lot of cars, of course, so the plans call for a whopping 4,000 parking spaces in four covered structures and an additional 200 angled spaces on Rio Grande St., which will wind through the complex from north to south.
A TRAX light-rail station in front of the depot will also provide transportation for Gateway visitors.
But despite the vehicle accommodations, The Boyer Co. sees Gateway as primarily pedestrian oriented with the U.P. depot as the entry point through which people will pass into the open plaza on the north end.
While $14 million will be spent on the depot, much of that will go to meeting earthquake and other structural work. Boyer said it will otherwise look much like it does now with the building's grand hall preserved for public access to Gateway and as a site for ceremonial events, art exhibits and other public gatherings. The wings on either side of the depot will be used for restaurant and entertainment space.
U.P. held a competition on who to sell the land to, and Boyer won. The state turned the depot over to the city, and the city turned it over to Boyer with the conditions that the Grand Hall be preserved for public access.
It has been reported that Boyer is getting $30 million in city and redevelopment money for the project, but Boyer spokesman Jake Boyer said it is actually only $16.5 million and it's not up-front money but rather tax-increment funding over a period of 15-20 years intended to partially compensate the developers for building public streets, sewers, sidewalks and other improvements.
Wells Fargo Bank is the lead lender for the project and will syndicate the financing package to other banks.
Architect for the Gateway is The Jerde Partnership International Inc., a Venice, Calif.-based firm that has masterplanned urban entertainment districts all over the world, including the Horton Plaza redevelopment in San Diego. Salt Lake architects MHTN and GSBS have served as local coordinating architects for the project.
Commercial real estate firms Carian Wills & Associates, Beverly Hills, Calif.; The Foy Bradford Co., Park City and Chicago; and Colliers CRG, Salt Lake City, will be in charge of leasing the office, retail and other commercial space in the project.
General contractors lined up so far to to work on the project include Okland, Big D, Layton and Bud Bailey construction firms, with a fourth yet to be named.
Founded in 1972, The Boyer Co. is one of the largest commercial developers in the West, constructing some 13 million square feet of retail, office and professional space, including One Utah Center downtown, the Brickyard and The Commons at Sugar House retail centers.