The Norman Transcript

December 17, 2013

Kestrel Investments announces OGE as anchor tenant for downtown tower

Developer releases conceptual master plan, will apply for permit to remove Stage Center


For The Norman Transcript

OKLAHOMA CITY — Kestrel Investments, owner and developer of the downtown Oklahoma City property currently occupied by Stage Center, today announced that OGE Energy Corp. will be an anchor tenant for the 14- to 16-story tower planned for the property. The tower will serve as OGE Energy’s corporate headquarters and will allow the company to consolidate a number of its metro-area employees into the new building.

Kestrel intends to file today prior to 4 p.m. for a demolition permit from the Downtown Design Review Committee (DDRC) and has revealed a conceptual master plan for development of the property. The master plan is conceptual only; buildings and developments have not been designed. Local architectural firm ADG, Inc. developed the site plan.

“This project will continue to build on the revitalization of this exciting area of downtown Oklahoma City,” said Rainey Williams, president of Kestrel Investments, Inc. “We want the development to complement its surroundings and provide another opportunity to enjoy our downtown. With OGE Energy as our anchor tenant, we are confident our development will be something that Oklahoma City will be proud to have downtown.”

 Plans for the 3.15-acre property, located between W. Sheridan and W. California and S. Dewey and S. Walker, include the 14- to 16-story office tower along Hudson Ave. to be occupied by OGE Energy and additional tenants. The conceptual site plan also includes integrated, multi-level parking and leased space for retail, restaurants and other uses supporting downtown Oklahoma City.

 “We are excited about bringing our employees together in a new corporate headquarters,” said Peter B. Delaney, chairman, president and CEO of OGE Energy Corp. “We have a large number of employees scattered throughout downtown Oklahoma City at multiple facilities that are outdated and unable to meet our future needs.”

 The conceptual master plan revealed today also showed potential for development of an additional structure of eight to 12 stories along Sheridan Avenue that will be made available for hotel, residential and/or additional office development. That portion of the property would be offered for sale to other developers.

 Recognizing the architectural significance of Stage Center, the developer plans to include an exhibit on the property to commemorate Stage Center’s legacy.

 “We know that Stage Center has architectural meaning,” Williams said. “We want to commemorate that as we move forward toward transforming this property into an exciting, active, usable space in our downtown community.”

Kestrel also intends to provide areas and improvements on the property to accommodate the Festival of the Arts, sponsored by the Arts Council of Oklahoma City.

 Kestrel Investments, Inc. purchased the downtown property in July from the Kirkpatrick Center Affiliated Fund of the Oklahoma City Community Foundation for $4.275 million. Start of building design and construction are dependent on approval of the demolition permit by the DDRC. When designed, improvements will be submitted to DDRC for approval.

 G. Rainey Williams, Jr., president of Kestrel Investments, Inc. has been involved in multiple real estate projects in the Oklahoma City area, including BOK Plaza, Grand Centre, and 3 & 5 Corporate Plaza. Williams is the lead independent board member of BancFirst Corporation, as well as serving on the boards of numerous private companies and not-for-profit organizations, including Presbyterian Health Foundation, YMCA of Greater Oklahoma City, Regional Food Bank of Oklahoma, Dean McGee Eye Institute Foundation and the Oklahoma State Fair.