Business

Kane changes plans for proposed Warehouse District tower near Raleigh’s Union Station

This article was updated at 6:37 p.m. Tuesday, Oct. 15, 2019.

Plans submitted last October from John Kane’s real estate company for a 20-story tower and two seven-story towers near Union Station in the Warehouse District have been replaced by plans for a smaller development on the same property.

The company withdrew its original rezoning request for the six-acre site after meeting resistance from the Central district of the Citizens Advisory Council and other neighborhood organizations.

Current owner Clancey & Theys Construction Co. has filed an application with the city to build three six-story buildings of office, retail, and residential space with a parking deck. The proposed development would be close to 265,000 square feet, nearly 20,000 more than the existing property at 400 W. Cabarrus St., where the Clancey & Theys office is located. The property has remained under contract with Kane Realty Corp. since last year.

Bonner Gaylord, managing director of operations for Kane Realty, said they decided to move ahead with the current zoning of the area, which permits building up to seven stories after resistance to the original plan.

“They [neighborhood] weren’t supportive of our zoning request, so we’re going to move ahead with the by-right zoning of seven stories,” Gaylord said.

According to Gaylord, the Central CAC wanted the past project’s story heights to be lowered. The application filings detail that the proposed residential space would potentially have 330 units with prices ranging from $150,000 to $250,000. There would be 270 one-bedroom, 55 two-bedroom, and five three-bedroom apartments with a minimum of 600 and maximum of 1,500 square feet.

Gaylord said those residential unit figures are “definitely in the ballpark.” A parking garage would have 750 to 1,100 parking spaces to go with 250 to 400,000 square feet of total office space.

“We’re probably at least two and a half years out from opening any buildings there,” he said.

This development will follow others in the Warehouse District like the 40-story GoTriangle tower on 200 S. West Street, which successfully cleared a rezoning request this month.

RENDING OF CLANCY & THEYS.JPG
An early rendering of a potential project on Cabarrus Street in downtown Raleigh near Union Station. The rendering was submitted by Kane Realty Corp. as part of a rezoning application. Kane Realty

Kane told the N&O in 2018 that his company in the Warehouse District was “very bullish on the area.”

Clancy & Theys, who worked with Kane on The Dillon and Park Central in North Hills, also said last year that it made sense for them to sell their property to Kane and move elsewhere since downtown was getting more dense.

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Aaron Sánchez-Guerra is the Growth and Business reporter for The News & Observer and The Herald-Sun. He covers real estate, business, and development in the Triangle area. He previously worked at WLRN Public Media in Miami and as a freelance journalist in Raleigh and Charlotte covering the Latino population and related topics. He is a graduate of North Carolina State University, a native Spanish speaker, and was born in Mexico.
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