St. George pushes Tech Ridge office park as high-wage job creator
St. George City officials discuss zoning changes in anticipation for a proposed office park at the current Ridgetop Complex Wednesday, Dec. 16, 2015.(Photo: Chris Caldwell / The Spectrum & Daily News)
Suspended high above St. George’s urban center, hiding in plain sight atop a mesa, is some of highest-value real estate in one of the county’s fastest-growing cities.
For the better part of seven years, it mostly lay empty.
The “Ridgetop Complex,” as it has formally been known since 2011 when the city relocated its airport, stretches for more than a mile north-to-south, carrying 155 acres of developable flat land with unencumbered viewscapes along the land that once carried the runway.
Once pegged for pricey cliffside homes, schools, shops and all the trappings of a premium mixed-use neighborhood, it has instead been limited in recent years to the occasional hobby race, concert or other event that requires a large open space. It’s sometimes used by law enforcement for vehicle training.
It could have a much brighter future.
After years of planning, city officials appear ready to embark on an ambitious plan to turn the black-ridge mesa into a central cog in their vision of the city as a high-tech business destination.
The city released this week a new analysis of the property and issued a “Request for Qualifications” to developers interested in building out the first phase of the proposed “Tech Ridge.”
The first major project there, a new $45 million campus headquarters for the Dixie Applied Technology College, is already under construction.
The surrounding area, all owned by the city, is being reserved for tech-based businesses and high-pay industries like healthcare and financial services, along with higher-end homes, apartments and some shopping.
“The city council, city manager and I are excited to see our vision for Tech Ridge take this important step forward, and I am optimistic that we’ll soon have enough options before us that will facilitate growth in technology companies and jobs right in the heart of beautiful St. George,” Mayor Jon Pike said of the proposal.
The first phase would include about 28 acres of new development along the northern edge of the property, neighboring the new DXATC campus.
The site is an oddity among cities as large as St. George, a large swath of publicly owned, centrally located property without major hurdles to development.
It was retained almost by accident, an amalgamation of circumstances born out of the Great Recession.
The city’s fast-paced population growth in the mid-2000s convinced federal officials to help fund construction of a new airport away from the city center, at a new location six miles southeast. City officials struck a deal with a private developer to sell off the old airport property for more than $40 million, money that would then be used to pay the city’s end of the new airport.
But the economy crashed, the property lost its value and the development company backed out. At the same time, falling construction costs meant the city could still fund its portion of the costs of the new airport without selling the property.
Half-a-decade later, the land has recovered its value, and could likely easily be sold to private developers to make room for new houses. But along the way, city officials decided the property should be used for something more important, said Matt Loo, director of the city’s Economic and Housing Development department.
“It would be fastest just to sell it and put houses up there,” Loo said. “What we’re saying is, OK, maybe we can have a little bit of that sprinkled in up there, but what we really want to do is focus on the idea of ‘Tech Ridge.’ It’s not what’s the fastest way to make a dollar but what is most beneficial to the city and to future generations.”
The new market analysis, performed by The Concord Group, a California-based consulting firm, suggests a meticulous effort to foster higher-paying office development could pay off long-term.
The buildout could take longer - 15 to 20 years, based on current market trends - but eventually the effort could lead to some 1.7 million square feet of new development, along with nearly 2,000 new jobs, according to the report.
Ridgetop Complex, where St.George wants" width="180" height="240" />(Photo: David Paystrup / SpectrumMedia)
Assuming tech-based businesses and professional office space, those jobs would pay better than the typical St. George job being offered now, helping the city to attract new talent and keep its current talent from moving elsewhere for better pay, Loo said.
The hope is that Tech Ridge could help build a “critical mass” of tech-based companies locally, allowing them to build on each other and support a sustainable base of tech-area workers, young professionals would could help the area diversify its tourism-heavy, retirement-driven service economy.
Ryan Wedig, CEO of locally-based PrinterLogic, said the area isn’t likely to become the “next Silicon Valley,” as cities across the country have tried to brand themselves in recent years, but he does see the potential in St. George to grow into its own kind of tech business destination.
The sunny climate, access to outdoor recreation and family-friendly communities of southwestern Utah are draws to a lot of young professionals, Wedig said.
The city set a deadline of Oct. 2 for developers to submit their plans for the area. From there, the city will consider the proposals and begin working toward actual construction.
Loo said that after years of talk about Tech Ridge, it was a major step to actually put out a proposal and start working toward making the vision a reality. A website, www.techridgerfq.com, was created to give the public a look at the proposal.
“I think that’s the message that we want to get out to the community,” he said. “Right now it’s moving beyond just a conversation. It’s actually moving to nuts and bolts, to something actually happening, and that’s exciting.”
Follow David DeMille on Twitter, @SpectrumDeMille, and on Facebook at www.facebook.com/SpectrumDeMille. Call him at 435-674-6261.
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