Icon Tower
Project Description
Project involved the redevelopment of a vacant 233,000 square foot former office building (Excellus Building) at 344 S. Warren Street, Syracuse, NY into a dynamic mixed-use commercial and residential complex. The building is located at the intersection of Warren and Fayette Street in the City’s central business district and was vacant for over ten years.
Paradise Companies 2 LLC, a group of local real estate investors assembled by The Icon Companies, acquired the property on February 13, 2014. Icon Companies President, Graziano Zazzara Jr, is the managing partner of Paradise Companies 2, LLC. Development was lead by The Icon Companies on behalf of the investor group. Icon’s vision was to redevelop this building into Icon Tower, a mixed-use complex consisting of 35,000 square feet of commercial space, 89 apartments units, and on-site parking. The project had an estimated 16 month timeline to complete.
Icon assembled an experienced development team to complete this project consisting of The Icon Companies (developer), Huber-Breuer Construction Company (Construction Management), Dal Pos Architects, and the CNY Regional Planning and Development Board as consultant. The total project cost was approximately $20.5 million. The project was financed through a commercial construction loan and permanent financing provided by the Community Preservation Corporation, capital grants being provided by NYS Empire State Development and National Grid, and developer equity. Construction commenced in October 2015 and was completed in January of 2017. A total of 290 construction jobs were created during the construction period and three permanent jobs associated with the building operations and management were created.
The redevelopment of this signature property in downtown Syracuse was identified as a key component in the City’s efforts to revitalize the central business district. Development of this property triggered major capital investments in the community during the construction period and numerous ancillary benefits to businesses throughout the downtown area over the long term associated with the large residential community and office workers that reside in the complex. The successful operation of this mixed-use complex will also generate additional property tax revenue for the community.
The Results
The project was completed ahead of schedule and under budget.
All marketing, pre-leasing, and leasing efforts for apartments and commercial space are handled in house by the Icon Companies. By July of 2017 the apartments were fully leased. As of 1Q 2018, the balance of commercial space has been leased.
The property is professionally managed and maintained by the Icon Companies.
Urban Land Institute of New York named the project as a finalist for the 2018 Awards for Excellence in Development.
“The Awards for Excellence recognize outstanding development projects in the private, public, and nonprofit sectors across New York State that best exemplify ULI’s commitment to responsible land use and creating sustainable, thriving communities.” - ULI
Of 19 finalists in 9 categories, only two projects are located outside of the New York metropolitan area.
Former Excellus Building Transformed into Mixed-Use Development
Investment Complements “Central NY Rising” – The Region’s Successful Blueprint to Grow the Economy and Create New Opportunities
Governor Andrew M. Cuomo today announced the grand opening of the ICON Tower in downtown Syracuse. The project transformed more than 200,000 square-feet of former office space – which had been vacant for nearly a decade – into a mixed-use development complex featuring market-rate apartments, as well as office and retail space. This project complements the Central New York Rising initiative, the regional plan that focuses on revitalizing South Warren Street in downtown Syracuse, including the reopening of the historic Hotel Syracuse only a block south of the former Excellus building.
“By transforming a vacant office building into a vibrant new development, this project supports the revitalization of downtown Syracuse, attracting new businesses and excitement to the area,” Governor Cuomo said. “Our efforts to spur economic development in once-blighted areas are creating jobs, attracting residents back to downtown communities and supporting the growth and strength of Central New York for generations to come.”
Lieutenant Governor Kathy Hochul said, “The Icon Tower connects so many of the Urban Core projects that are a part of the Central New York Regional Economic Development Councils planning and vital to attracting young talent in today’s atmosphere. All over the downtown Syracuse area, buildings are coming back, creating a thriving and vibrant city with an exciting, walkable urban atmosphere.”
Paradise Companies 2, the project’s developer, is a real estate entity formed by a group of
investors specifically for the acquisition and redevelopment of the building. The top eight floors of the 10-story building, at the corner of Warren and East Fayette Streets, were converted into 89 market-rate apartments almost all of which have already been rented. The bottom two floors are being used as commercial space, with the first floor for retail and restaurant tenants and the second floor for office tenants.
Graziano Zazzara Jr., President of the Icon Companies and managing partner of the investment group, said, “We would like to thank New York State and our local community for the tremendous support, and, for believing in our vision to transform this building. Without the collective efforts of all involved, a building with this type of positive impact right in the City’s core might not be possible.”
In order to encourage this nearly $20 million project to move forward, Empire State Development has offered a performance-based grant of up to $2.315 million. Onondaga County also offered incentives for the project. National Grid provided $300,000 for the project.
Empire State Development President, CEO & Commissioner Howard Zemsky said, “This project is further proof that the Governor’s Upstate efforts, which are centered around collaboration between regional stakeholders, the private sector and government, are already working to revitalize downtown Syracuse. These partnerships are strengthening the local economy while breathing new life and vitality into the community.
Central New York Regional Economic Development Council Co-Chairs CenterState CEO Rob Simpson and SUNY Upstate Medical University President Dr. Danielle Laraque-Arena said, “The CNYREDC is committed to the future of downtown Syracuse. By supporting this effort, we hope to reinvigorate the area, creating a welcoming place for millennials, families and others looking to experience all that the area has to offer. We congratulate ICON and wish them great success with this forward thinking, transformative project.
State Senator David Valesky said, “Congratulations to ICON Companies on its completion of this transformative project. The repurposed tower will go a long way toward spurring economic development efforts in downtown Syracuse.”
State Assemblyman William Magnarelli said, “This new mixed-use facility is incredibly important to our efforts to revitalize downtown Syracuse. It is heartening to see new life in this building that sat vacant for many years. Thanks to Governor Cuomo’s attention to Upstate, we are already seeing the difference.”
Onondaga County Executive Joanie Mahoney said, “A strong public private partnership made this project possible. It highlights the benefit of everyone working together toward a common goal. Thank you to Governor Cuomo for supporting upstate revitalization and thank you to the Zazzara family for your commitment to Syracuse and Onondaga County.”
