Optimism Renewed on Streets of Buckhead Project

Buckhead leaders expressed optimism that OliverMcMillan will get the Streets of Buckhead project moving again. 

Although executives from the firm wouldn't comment about their involvement with Streets of Buckhead, local leaders have talked privately with the San Diego firm's executives about their plans for the stalled project, originally envisioned by Buckhead developer Ben Carter.

While it's unfortunate that Ben Carter was unable to finish the project, OliverMcMillan  comes with good credentials and resources, said Sam Massell, president of the Buckhead Coalition.  "I've spoken with Dene Oliver (the company chief executive officer) and they say they have the money, which is music to my ears.  We will see concrete pouring later this year; it's exciting to see a new dedication and commitment."

With Carter's dreams shattered by the the economic slump,  inactive cranes looming high over buildings, pedestrians and zooming cars near the West Paces Ferry Road and Peachtree intersection in Buckhead have become  a fixture. Early work on the project has left a gaping hole in Buckhead's heart.  Once blocks and blocks of rowdy nightclubs, the area was set to be transformed by Ben Carter Properties into a luxury retail and mixed-use community, featuring exclusive shopping from the likes of  Oscar de la Renta, Hermes, Domenico Vacca, Loro Piana and Vilebrequin.

But, this dream quickly hit a stumbling block as the economy suffered severely based on the real estate crash.  In 2009, the cranes that were once set in motion by those with high hopes, abruptly fell silent.

To put the vision back into motion, investors  recently tapped the services of OliverMcMillan,  a firm based in San Diego that develops mixed-use retail, entertainment and residential projects, both privately and through public-private partnerships.

According to Steve Greenberg of the Greenberg Group, a Long Island, N.Y.-based commercial real estate advisory company that specializes in retail,  Carter faced a daunting task as the Streets of Buckhead developer.

"The project is in the shadows of two great malls — Phipps Plaza and Lenox Mall," said Greenberg, who has brokered several deals at each of these establishments.  Most of the stores would face financial penalties if they opened a second location in the same proximity, he added.

"The Streets of Buckhead is very unique," said Greenberg, who was first introduced to the project about five years ago.  "Certainly it's in an affluent community where the project could flourish, but the economy and the proximity to Lenox and Phipps pose challenges."

Massell also agrees that Carter faced a challenge.

"He undertook a project of tremendous size that was unequaled in this area," said Massell.  "Secondly, he was planning to bring in approximately 80 high-end boutiques, some of which weren't even in the country and then, of course, the economy tanked and no one could have foreseen that. In addition, he paid such high prices for the land, although he cleaned up a depreciated area.  A lot of people made a lot of money off Ben Carter."

The inactivity impacted the momentum of other projects in the area, according to Massell. He said that some projects weren't willing to take the risk with a project that was partially built.

"Of course, Ben Carter put his image and his money on the line and he should be commended for that," said Massell.  The footings are there, the garage is there and now  a new team will move in and progress forward, he added.

Community organizations have been impacted, too. According to Jim Durrett of Buckhead CID, an organization that addresses challenges resulting from Buckhead's rapid growth, including traffic mobility and enhancing the pedestrian environment, his group had to stop and start on some initiatives.

"We had plans to redo the streetscapes in that part of Buckhead, using a combination of CID funds, a grant from the Woodruff Foundation and contributions from landowners," he said.  "Those plans were put on hold while we waited for the Streets of Buckhead development to come out of the ground. We are now back at work on a revised streetscape improvement program which we hope to initiate later this year."

In addition, Buckhead CID is working to also install temporary sidewalks constructed in the next few months on the east side of Peachtree and the south side of East Paces Ferry.

Despite all the misfortune associated with the Streets of Buckhead,  leaders find the development to be exciting.

Massell is confident that the Streets of Buckhead, and the subsequent development in the area that will follow, will lead to a healthy debate. He says the activity is going to fuel the "healthy" argument on which intersection signifies the center of Buckhead -- Peachtree and Piedmont or West Paces and Peachtree.