Carmel and PNC Bank have reached an agreement that allows the Carmel Redevelopment Commission to acquire the bank’s Range Line Road property for $2.5 million—four months after the city filed a lawsuit to take control of the land—for a mixed-use development.
The Carmel Redevelopment Commission on Wednesday approved the deal between the city and the bank. The $2.5 million represents the average of two appraisals on the property at 21 N. Range Line Road.
The city plans to facilitate redevelopment of the northeast corner of Main Street and Range Line Road. Carmel launched an effort in 2016 to acquire parcels for the square block that includes the corner parcel.
The block currently includes a two-story office building, offices for Nova Star Home Mortgage and a house. The bank is the only property owner that hadn't agree to sell its land, which is 1.2 acres and includes five parcels, to Carmel, Mayor Jim Brainard previously told IBJ.
In March, the city offered PNC $1.52 million for the building and parking lot, which the bank did not accept, prompting the city to file an eminent domain lawsuit.
Under the out-of-court agreement, the bank will be a tenant in the future redevelopment, which might take several years to complete. It will be similar to other public-private partnerships that have brought mixed-use and walkable developments to Carmel’s Main Street, Midtown and City Center, the city said in a news release.
The agreement also allows PNC to remain at its current site until the redevelopment project begins. At that time, PNC will relocate to a nearby, temporary facility until the new branch is built.
The city will issue a request for proposals to find a developer for the 1.8-acre site (the 1.2 acres purchased from PNC combined with almost half an acre of adjacent land already owned by the Carmel Redevelopment Commission). The redevelopment project is expected to include residential, office, retail and public parking.
“The Main Street we now have in Carmel is the result of the successful public private-partnerships we have had for years,” Brainard said in written comments. “These partnerships, where government and the private sector work together, have been the most important tool we’ve used to redevelop the Arts & Design District. The opportunity to redevelop a parking lot on one of our main corners of the city into a beautiful landmark building is important to the continued vitality and success of the district.”
“We’re excited to be part of this historic transformation in one of Indiana’s most celebrated, family-friendly cities,” Connie Bond Stuart, PNC regional president for central and southern Indiana, said in written comments. “This new look will expand opportunities for tourism and generate buzz for our local artisans and small businesses that line Main Street.”