The 8 issues holding up development at the Rail Yards

Dan Mayfield – Reporter Albuquerque Business First
Several issues could hold up future development of the city’s Rail Yards, according to developer Jim Trump of Samitaur Constructs, the private developer of the area near Downtown.
In a Rail Yards Advisory Committee hearing on Tuesday morning, Trump said bankers and brokers will tour the historic site in late January and could help finance and lease the site.
Trump said the site is now designated as historic, but it has issues with transients breaking in, crumbling roofs and environmental contaminants. He said it will take millions of dollars to get it up to code.
The meeting was packed with supporters of the Rail Yards Market, a weekly farmers market that brings thousands to the site. The city is trying to scale down the market’s use of the yards to three Sundays per month instead of four.
“Our position is we totally support the Rail Yards Market,” Trump said. “It goes beyond that to car shows, weddings and more. We do also have a position that the Rail Yards Market buildings are deteriorating rather rapidly.”
Though the developer was chosen last year after the city spent about $1 million upgrading the old train repair facility, development has been slow and the advisory committee wanted an update on Tuesday.
“Samitaur is focused on the process,” he said. “As far as future tenants go, we will go through the process and there will be much more that happens.”
City Councilor Isaac Benton said the city has some funding and expects more to come through. “But I would like to move on this ASAP,” he added.
Trump said eight issues are holding up the development so far.
1. Historic designation. The State Historic Preservation Office’s approval of the site as a historic site took several months. Now that that process is complete, he said, architects can move forward.
2. Environmental clean-up. Trump told the board there is lead in the soil and other contaminants at the site that must be remediated before many of the buildings on the cast complex can be developed.
3. Communications. Archaeological and tribal councils must be apprised. “I don’t see any problems with that. In fact, it’s a positive. It’s a chance for more people to see the Rail Yards,” he said.
4. The appraisal. Samitaur hired a firm to appraise the land and the buildings, but because the site is unique it will be difficult to calculate a fair value, Trump said.
5. Broker timing. The developer is waiting for a tour of international brokers, who will soon arrive to walk around and see the site.
6. Special development costs. Because the buildings are now designated historic, certain guidelines must be followed. Those, Trump said, could be both costly and time-consuming. The cost of roofs, for example, on three of the largest buildings is about $4.1 million, and Samitaur is investigating how to construct appropriate drainage pipes.
7. Remediation cost estimates. In late January, he said, “We have a tour of bankers who want to see it. There will also be a tour by brokers. They will identify the what is the cost to remediate the building, and all these costs to quote a lease rate, and it’s quite a puzzle.”
8. Safety and security.”Our biggest concern is the deterioration of these structures. We spent a considerable amount of money to clean it. It’s is very hard to secure the site … it’s a difficult item, but we have to keep it safe,” Trump said. Crews often find used needles, as well as waste from transients in the buildings, he added.