By Jason B. Hogan
In October, Texas A&M-San Antonio officials and Verano Land Group, developer of the undeveloped acreage surrounding the university’s Main Campus off Interstate 410 and South Zarzamora Street, said a community development project was moving along as planned, and set to begin in the first or second quarter of 2014.
That does not seem to be the case as things currently stand.
Two weeks ago, Verano CEO Tim Bartlett told San Antonio Express-News’ business editor Greg Jefferson the Las Vegas-based investors for the development group are ready to pull out of the development deal that stood to add a purported 2,500-acre project, which included a 75,000 square-foot building and 100 townhomes to the city’s South Side.
Bartlett did not return numerous phone calls by publication deadline.
Kenneth Mitts, university vice president for finance and administration, said in a phone interview he has the impression that investors are willing to maneuver out from under landownership rights because of seven years of stagnation with the project.
In Mitts’ opinion, the current lawsuit between Verano and VTLM Texas LP over the rights to a TIRZ agreement through the city of San Antonio, is possibly another contributor for Verano’s decision to pull out. That lawsuit is still in mediation.
Mitts said Verano’s desire to sell the property will most likely delay an economic impact on the South Side, at least until transference of land ownership.
On the other hand, Mitts said, “I don’t see any impact to the university … as Verano sells the property.”
It is unknown whether Verano will be able to sell the property as a whole, or in parts.
Mitts said he believes Verano will consult with the university prior to any sale of the property. He expects mutual cooperation to continue between the two parties.
Following purchase of the property, development plans, and soured relationships with prospective groups to assist in development projects, some are not surprised by Verano’s intention to sell the land.
“It [Verano’s desire to sell] didn’t come as a surprise,” Mitts said. “It was a business decision.” He said he does not perceive it to be a surprise for any of the university’s leadership.
Whoever the new developer will be remains to be seen, but Mitts said fostering a partnership with the university is essential.
Once land ownership changes, Mitts suspects development will begin almost immediately; possibly within one to two years.
Will Verano’s decision hinder continued development of Main Campus? As of today, Verano’s website still touts “a long-term partnership with the University that will facilitate development of an expansive campus to house over 25,000 students and 2,500 faculty and staff.”
With or without that partnership, university administrators say the university will continue to push for higher enrollment and supplemental activities for students.
Marshall Laswell, university director of facilities, said projects under construction at Main Campus are the only buildings currently funded.
He said university officials are focused on development within the confines of the campus. But, Laswell said they fully intend to submit new TRB requests during the next Texas Legislative session following another failed attempt at receiving state assistance this past session.
