Lees Summit Mo

Mixed-use demand fuels Drake Development’s project surge

“You’ve got to be willing to adapt and listen to the market and listen to your users as well,” said Ian Mussman, director of sales & leasing, at Drake Development LLC.

Mussman spoke at the September breakfast meeting hosted by CCIM Kansas City. He highlighted three of Drake’s current projects in the metro area.

Merriam Grand Station, located at the southeast corner of Shawnee Mission Parkway and I-35 in Merriam, Kansas, is nearing completion. The site once housed a Kmart, which sat vacant for more than a decade.

Drake completed its first site plan for the site in July 2020. It took Drake over 2 ½ years to work through the assemblage and entitlement processes. Drake acquired the five-parcel site from three different property owners.

The 50-foot grade change from the northeast corner to the southwest corner of the site presented the most significant challenge to redeveloping the site.

“One of the reasons that it sat available for so long is that it was in a hole. It sat almost 20 feet below Shawnee Mission Parkway grade, and none of the high-profile tenants of the city who would want to go into a project like this would ever accept a site like that. We came up with a creative solution and ended up raising the site just under 15 feet. So almost the roof of Kmart, more or less, became the finished floor of the new project,” Mussman said.

The original site plan featured a power center lineup. Mussman said there was little lending appetite for big box, and Drake’s attempt to add a hotel was not a winner in those early months of COVID.

After many site plan revisions and the expenditure of a hefty amount of architectural engineering dollars, the nearly completed project features 361 multifamily units with underground parking, retail space and a civic activity space. Mussman said all but one retail space has been leased.

The City of Merriam wanted an environmentally and green friendly civic space which, Mussman said, was never part of the original plan. However, through a public-private partnership with the city, Drake is constructing a canopied space that will have solar panels to help power the project’s common area parking lots.

A second project, on which construction is just starting, is Cocina 47, located at 604 W. 47th Street in Kansas City, Missouri. The project on the north side of the

Country Club Plaza is adjacent to another of Drake’s redevelopment projects, the Jack Henry building.

Cocina 47 on the Country Club Plaza , where the Seventh Church of Christ, Scientist used to be, is set to open in 2026. Image Credit: TR i Architects

Mussman said when Drake acquired the Jack Henry building, it learned that the neighboring Seventh Church of Christ, Scientist building had become too large for its shrinking congregation and too expensive to operate.

“So quickly we realized there was an opportunity to modernize their space in a way that better fits their needs. This is a super complex deal that we had to come up with a way to let them ‘condo-out’ their space,” said Mussman.

The church is reducing its footprint by approximately one-half and is acquiring the condo space at no cost to them. Until construction of Cocina 47 is complete, the church is housed in the Jack Henry building.

Mussman said it took 54 months between the time it acquired the property until it began construction on Cocina 47.

“We’ve completed demolition and now we’re working on everything that goes below grade before we go vertical,” he said.

According to Mussman, the tenants, who he was unable to disclose yet, will be high end restaurant groups on the second and third floors of the three-story building, with first floor space still available.

Mussman said Drake anticipates completing the building shell by late 2025 or early 2026 and having tenants open in 2026.

The third project Mussman discussed is located at the southwest corner of Highways 50 and 291 in Lee’s Summit, Missouri, the municipality where Drake has made its most investment. The project is in its planning stages.

Oldham Village, in Lees Summit, Mo., would include 15 retail pad sites, 300+ apartments and, potentially, a field house and fitness center. Image courtesy of Drake Development

Mussman said this project started in 2020. Drake initially purchased one parcel with the intent of developing it as industrial. Then Drake considered big box, which the city did not want. Drake settled on apartments with retail pads. According to Mussman, tenant recruitment is not an issue because currently 92,000 cars a day pass in front of the site.

“As the plan evolved, we ended up growing the scope and growing the property assemblage,” he said.

The project, which Mussman called a “monumental undertaking”, now involves 15 parcels from 12 different property owners and more than 46 acres.

“This one is especially hard because these businesses you see here, these are owner-occupied businesses. They don’t care what your appraisal says. They don’t care what your pro forma says. This is their livelihood. This is where they fed their family for decades. It’s a very emotional decision, and it requires a lot of creativity,” said Mussman.

Mussman said Drake purchased nearly half of the parcels on a sale-leaseback which allowed the sellers to raise capital to relocate, find a new home and continue to operate their businesses.

Besides tackling the assemblage issues, Mussman said the biggest challenge on this project is the sanitary sewer. He said there are approximately $3.5 million of offsite sanitary sewer upgrades needed to allow new businesses to open and operate at the site. This has discouraged other developers, but Drake will make the improvements which will benefit an 835-acre area. In addition, Drake must relocate a perimeter ring road.

Mussman said Lee’s Summit has been looking for a site for a fieldhouse for several years. In place of one of the three apartment phases Drake had planned, the city will construct a 120,000 SF fieldhouse facility.

“When we bought this site, if you would have told me we were doing a 120,000 SF fieldhouse with the city, I would have laughed. And here we are. It just went to council last week, and they approved the contract,” he said.

Mussman said he anticipates construction of the project will begin before the end of the year. The city’s planning commission approved Drake’s plan last week, and it is headed to the city council shortly.

Mussman noted that all three projects are located in core areas.

“We’re not trying to shift the center of gravity and go out in a cornfield and make everyone go somewhere. These already have an insane amount of traffic. They’re highly desirable areas for tenants and residents. And then we just figure out how do we solve the puzzle and make something economically feasible that also meets the city’s and residents’ demands,” said Musssman.

Header Image: The long-vacant Kmart site at the intersection of Antioch Rd. and Shawnee Mission Pkwy. is set to come back to life. Drake Development has submitted plans for a $136 million project, named Merriam Grand Station. Rendering courtesy of Drake Development

Paragon Star's ultimate sports and lifestyle development finally becomes reality

Paragon Star's ultimate sports and lifestyle development finally becomes reality

Feature image: View of the plaza within The Village at Paragon Star in Lee Summit, Mo. Rendering credit: Finkle + Williams Architecture.

Saint Luke’s East launches virtual nurse program

Saint Luke’s East, located in Lee's Summit, Mo., is the first in the Saint Luke’s Health System to introduce a new, virtual nurse technology.

The pilot program was launched in coordination with the opening of 24 new beds in February 2021 and will serve as a model if Saint Luke’s decides to expand the program to other hospitals within the health system.

Because of the infrastructure requirements, Saint Luke’s East Hospital CEO Bobby Olm-Shipman said the construction made it the perfect candidate to be the first to use the technology.

“Saint Luke’s East has a reputation for being pretty innovative and the team is very forward-thinking, so when we floated the idea, they really just jumped on it and said, ‘Yeah, we want to try this, we’d love to be the first to do it,’” said Olm-Shipman.

Here is how it works. The patient’s room is equipped with a camera and two monitors. One monitor displays the patient’s vital signs. The other displays a virtual nurse who is monitoring several patients from a command center within Saint Luke’s East. They can monitor oxygen levels and heart rates from afar and activate another nurse to respond to patients immediately when necessary.

“This means while your regular nurse is in the unit taking care of you, the virtual nurse provides another layer of nursing support that keeps an eye on the patient as well,” said Olm-Shipman.

Olm-Shipman said the virtual observation, which will be provided in addition to traditional nursing care, will increase the level of care provided to patients.

“Ultimately, what we’re hoping is this gives us the ability to provide even more efficient care because we’re identifying their needs more quickly by having that virtual nurse right there and being able to see what’s really going on, but also we’re hoping it makes our patients feel like they’re connected more closely to our care team.”

New programs are also in the works. Saint Luke’s East is preparing to introduce a neurosurgical spine program, which will allow it to offer minimally-invasive spine surgeries. According to Olm-Shipman, patients had previously been referred to Saint Luke’s Hospital of Kansas City for this type of surgery. He said the change will allow for a more comprehensive approach among care providers and keeps patients closer to home.

“Whenever you get care, whether it’s elective or not, it’s disruptive to your life. You’re traveling, you’re taking a day off work. Maybe a spouse or a partner or someone in your social circle needs to be there with you,” said Olm-Shipman. “The closer you can keep people to home, the less disruptive it is to patients’ lives and their families and support systems.”

The hospital plans to have five or six neurosurgeons and one physiatrist in the neurosurgical spine clinic, which is expected to open in March or April. Procedures will begin soon after.

The hospital is also partnering with the Saint Luke’s Hospital to add a vascular services program. Olm-Shipman said the vascular program will have a dedicated surgeon and is set to begin offering services in the fall or winter of 2021.

In addition to a surgeon, the hospital is upgrading one of its operating rooms to a hybrid model. The hybrid will have robotic technology that allows the surgeon to begin with minimally-invasive vascular procedures. In the event it becomes necessary for the surgeon to conduct a more intrusive procedure, the robotic equipment can be moved and the surgeon can manually conduct the remainder of the surgery

In the coming months, Saint Luke’s East will continue construction on its new unit. In addition to the 24 beds that opened earlier this month, it plans to add six new beds by the summer. The project is budgeted for $26.8 million.

McCownGordon Construction is the general contractor for the 26,590-SF addition to the hospital, joined by project partners ACI Boland and IMEG Corp.