City of Carmel expected to renew utilities, CRC lease at Lurie building
Sep 4, 2017Main St. (Photo by Ann Marie Shambaugh)By Ann Marie ShambaughWhen Carmel Utilities moved into the second floor of the Lurie building at 30 W. Main St. in 2013, city officials lauded the fact that the new lease would save the city thousands of dollars in rent each month.But now, as the first term of the lease nears an end, some are wondering if the cost savings went far enough.Carmel Utilities leases 6,372 square feet of space for $11,000 per month, and it subleases 1,654 square feet of that space to the Carmel Redevelopment Commission for $2,885 per month. That equates to $20.71 annually per square foot, a price that Carmel Mayor Jim Brainard said is within market rates.Drew Pattyn, president of Northern Commercial, said that because of the variety of buildings in the Arts & Design District, it’s difficult to pinpoint an average price to lease office space in the area. Fair prices could range from $18 to $28 per square foot, he said, but it depends on the specifics of each building and lease structure.He said, however, that cheaper leases are available elsewhere in town, such as in a building he represents near the intersection of Gradle Drive and 3rd Avenue SW. He said simple office space for entities that don’t need associated retail uses or elaborate signage can be found for $12 to $13 per square foot, with build-out included, although tenants are responsible for maintaining the interior of the space. The building and others like it are .2 miles from City Hall, .4 miles from City Center and approximately 1 mile from the intersection of Range Line Road and Main Street, the heart of the Arts & Design District.“Why is the CRC in a downtown Carmel building? There’s no need for them to be there. They should be closer to City Hall if they’re connected to the city,” Pattyn said. “There’s space that’s $12 per square foot, and you don’t have to make any improvements. You can rent this (cheaper space) unless you just want to impress people. Is that what it is?”Pattyn said he’s been involved in many real estate tr... (Current in Carmel)