Winston-Salem, NC (2016)

Bailey Power Plant

The adaptive re-use of a former RJ Reynolds tobacco facility that is being redeveloped by Wexford Science and Technology, LLC into an 110,815 sq ft mixed-use, LEED Silver certified historic preservation project.

Investment

  • NMTC Amount: $28,150,000
  • Total Project Cost: $103,177,202

IMPACT

  • 283 FTE jobs
  • 450 construction jobs
  • Rehabilitation of a vacant or under-utilized historic structure.

Investor

Project Description

The Bailey Power Plant (the project) is the adaptive re-use of a former RJ Reynolds tobacco facility that is being redeveloped by Wexford Science and Technology, LLC (‘the Sponsor’) into an 110,815 sq ft mixed-use, LEED Silver certified historic preservation project. The Project’s tenants includes an innovation center, university research space, early stage R&D companies, and mixed-use retail and restaurants serving local neighborhoods. The Project is located on an abandoned section of 4th Street, which has experienced significant industrial flight, and is key to revitalizing downtown Winston- Salem and the newly energized Wake Forest Innovation Quarter (WFIQ) that is creating a new economy driven by discovery, commercialization and entrepreneurship for Winston-Salem and Forsyth County. The Project is located in a severely distressed census tract with a 28.2% poverty rate. As of result of the environmental contamination, an inefficient layout, and other cost factors, the project had high development costs; and therefore, the $38 million redevelopment was not financially feasible without the NMTC subsidy. Given its focus on providing a pathway to innovation and entrepreneurship and the remediation of a Brownfield site, the project attracted $16 million in NMTC financing from three CDEs: Urban Action Community Development (UACD) provided $8 million, City First Bank of DC $6 million, and USBCDC $2 million. The Project also included federal and state Historic Tax Credits. The Project is aligned with UACD’s mission of neighborhood transformation with a focus on catalytic projects that promote the innovation economy. The Project has a major impact on employment and will create 283 new permanent positions, of which 10% is now to low-income persons (LIPs). The Project will create 450 construction jobs, of which 80% is now to LIPs and 70% of those employed has access to medical benefits. The Project’s sponsors will collaborate and partner with local organizations to recruit LIPS in East Winston-Salem through job fairs and other strategic outreach and engagement efforts. As part of the NMTC financing, the project’s Sponsor established a Community Benefits Fund of an estimated $400,000 to support 5,000 sq of innovation space that was used for computer coder training and workforce development programs. Overall, the project provides considerable financial support to education and workforce training programs in Winston-Salem.

MAP

Address: 575 Patterson Avenue, Winston-Salem, NC 27101

Census Tract: 37067000100

PDF Profile

Other North Carolina Projects

Greensboro, (2011)