Metro looks to sell energy system, property

District Energy System building

Also: Council OKs Midtown mixed-use project

Metro is looking to sell for $60 million its Rolling Mill Hill-based District Energy System — the facility that produces steam and chilled water to heat and cool various downtown Nashville buildings.

The Tennessean reports the city is finalizing negotiations with French multinational utility company ENGIE to sell the facility, which has an address of 90 Peabody St.

City officials say the DES is no longer financially viable, the morning daily reports.

The Metro Council and DES customers — which include the State of Tennessee — will need to approve the sale.

Andre Cangucu, chief development officer for ENGIE North America, emailed the Post the following statement:

“Once we complete the contractual process and if we are approved by Council, we have a plan to invest nearly $250 million dollars to upgrade and grow the system, with two key objectives of creating cost-savings for customers and expanding capacity to meet the needs of downtown Nashville’s exponential growth.”

ENGIE owns or manages more than 350 similar systems worldwide.

Council approves plan for mixed-use project in Midtown

The Metro Council has unanimously approved on third and final reading a rezoning that will allow a long-planned mixed-use project for Midtown.

To be located at the northwest corner of the intersection of Broadway and 19th Ave. S., the two-tower building will offer apartment, hotel and retail space.

The 1.2-acre site sits within Metro Councilman Freddie O’Connell’s District 6. O’Connell supports the project.

Atlanta-based Regent Partners is the owner. According to documents submitted to Metro, Charleston, South Carolina-based Greystar Real Estate Partners is now involved in some manner though the Post has been unable to determine the specifics. Greystar seemingly will buy the property from Regent, co-develop the site with it or handle the leasing of the apartments. Greystar officials could not be reached for comment.

The project will include a 26-story building with 355 apartments. The other building will rise 16-stories and house a 220-room hotel.

The project also will offer retail shops fronting Broadway and a 489-space parking garage, The Tennessean reports.

The Albert Samuel Warren House, which is a National Register of Historic Places-eligible structure, would need to be demolished for the project. Efforts to find a taker to move it and restore it have been unsuccessful. Built in 1888, the Warren House sits at 1812 Broadway.

The project has been in the works since 2014 (read more here).

Amazon to take space at L&C annex

Amazon will take the entire Serendipity Labs co-working space located in the annex to downtown’s L&C Tower, Nashville Business Journal reports, citing multiple real estate sources.

As it prepares to establish a Center for Excellence at Nashville Yards — at which 5,000 workers could be housed — Amazon could take additional space in the annex or in the tower, NBJ reports. It has committed to the 15,000 square feet that Serendipity Labs leases at 159 Fourth Ave. N.

Relatedly, renovations are underway in the nearby SunTrust Plaza, with Amazon having leased about 80,000 square feet of office space there, as NBJ first reported. Upwards of 800 employees could work from the office building, which has an address of 401 Commerce St.

Hampton Social project sees contractor change at 222

The owner of Chicago-based restaurant The Hampton Social — targeted for a summer opening at mixed-use building 222 2nd in SoBro — has changed general contractors.

Parker Restaurant Group had been using Horizon Retail Construction Inc. to handle the build-out of the 15,500-square-foot space, with a permit issued earlier this year valued at about $963,000. The address is 201 First Ave. S.

Now PRG is using Chicago-based Arco Murray for the effort. A new permit has the same value as the previously issued permit.

The restaurant will occupy three stories and offer a 2,000-square-foot patio.

Chicago is home to five Hampton Socials, with five more planned in addition to the Nashville location, reports.

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