Redevelopment of an important building in downtown Homewood is beginning again after the village board approved an updated agreement with owners Tuesday.
The property at the intersection of Ridge Road and Martin Avenue known as the Triumph Building will be demolished with a new structure put in its place by developer HCF Homewood. The property has been vacant for years.
The project will cost approximately $10 million, according to the village. Homewood will pay the developer $7 million through the area’s TIF district over 19 years. In current value, the incentive is approximately $3.5 million.
Homewood will also reimburse the developer for the cost of demolishing the building and asbestos removal. If the investment out earns expectations, the agreement stipulates that the excess earnings will be split with the village.
In 2016, Third Coast Developers wanted to purchase the building but a deal couldn't be reached with then-owner Josephine Triumph. After the deal fell through, Homewood purchased the Triumph Building in 2018 for $660,000 hoping to find a developer for the property, which has been vacant for years.
The village sold it to the current owners, HCF Homewood, in 2019 for $1. In November of that year, Homewood approved a redevelopment agreement and work was set to begin in early 2020. Construction was delayed due to the pandemic.
Work began this week in preparation for demolition of the existing structure to make room for a four-story building with a restaurant on the first floor and 36 apartments on the three floors above.
The second story was originally planned to be hotel rooms. The developer has since changed the plan to apartments, like the floors above.