CAMPO panel rejects Galleria at Mission Drive

An Osage Beach developer's proposal for an extension of a road near Missouri 179 to accommodate a commercial project called The Galleria at Mission Drive failed to garner a single supporting vote at Thursday morning's meeting of the Capital Area Metropolitan Planning Organization (CAMPO) Technical Committee.

The Harvard Group LLC has been attempting to nudge its proposal for The Galleria through Jefferson City's regulatory hurdles since November 2015. A motion to move the developer's request for altering a roadway near the project failed Thursday with eight "no" votes and four abstentions.

At issue is 1,400 feet of new roadway and a change in classification to the west of the existing Missouri 179 at Mission Drive. Planners call the site Mission Drive Extension.

Mission Drive currently has on/off ramps for northbound and southbound Missouri 179 with an eastbound roadway to the nearby St. Mary's Medical Center. CAMPO planners indicated the project would require $2.205 million in 2017 preparatory work and another $2.275 million of construction costs in 2018. Road construction would have started around March 2018.

Harvard has been seeking the Technical Committee's approval of its Transportation Program Improvement amendment and a revision of the Missouri Department of Transportation functional classification request form. After Thursday's rejection, the project remains stymied.

The diamond interchange project would ultimately need the approval of MoDOT and Gov. Jay Nixon.

Chris Kersten, a principal in the Harvard Group and the prime advocate for The Galleria, attended the Technical Committee meeting Thursday and voiced support and rebuttal during discussion by the members, who represent area governments. The committee also was not influenced by a memorandum from David T. Turner, chief executive officer of Hawthorn Bank.

According to Turner's memo, "a financial institution, including Hawthorn Bank, would be willing to consider a credit facility to finance development of the transportation improvements for the real estate presently under contract to Harvard Group LLC upon receipt of an acceptable business plan or proposal, financial statements demonstrating capacity to repay, and guarantors of sufficient financial strength. This letter is not and should in no circumstance be considered to be a loan commitment."

Members of the CAMPO Technical Committee said the Turner memo was not sufficient to sway their view of The Galleria at this time. The consensus around their table was Harvard needed something more substantial to solidify the legitimacy of its proposal.

Kersten did not indicate any plans for future action by Harvard on the 80-acre project, within the Hazel Hills transportation development district. The area was designated a TDD by Cole County in 2005 before the area was annexed by Jefferson City. The city would help fund the extension of Mission Drive by reimbursing costs through an additional 1 percent sales tax on retail purchases in the district.

The concept plan for The Galleria at Mission Drive includes a 200-unit assisted living facility at the southwest corner with a hotel, restaurants and offices south of Mission Drive. The development also would include a 200-unit hotel with restaurant, a restaurant with drive-up, a 46,000-square-foot office building, a 264,000-square-foot shopping center and two additional restaurants.