By Brice Wallace
Whatever problems COVID-19 currently is inflicting on the Utah economy, St. John Properties is looking beyond it.
The Baltimore-based real estate investment company has announced it will build new, multibuilding business parks in Taylorsville and Springville — a total of $120 million in investment — and expand its successful Valley Grove project in Pleasant Grove.
“We don’t invest because of what’s happening today,” Daniel Thomas, regional Utah partner for SJP, said during an online briefing. “We’re looking into the future, and Utah is a great, great place to be investing and we’re just going to keep going.”
The $80 million project in Taylorsville, dubbed Beltway West, will have five buildings on nearly 20 acres at Interstate 215 and 2700 West. The approximately 273,010 square feet includes 119,000 square feet in four single-story buildings and 155,000 square feet in a six-story building.
The $40 million Spring Pointe Exchange at 550 N. 250 W., Springville, will sport six buildings and 225,280 square feet of “flex/R&D” space on 17 acres. The building fronts look like a single-story office building but the reverse side has enough height and space for distribution and light assembly. Of the company’s 20 million square feet of development nationwide, about 12.5 million square feet is the “flex” configuration.
The Valley Grove project began with 21 acres four years ago and has 15 buildings on more than 85 acres. When completed, it will have 36 buildings, including 50,000 of in-line retail and 10 pad sites, plus about 600,000 square feet of office space. Four office buildings are at the site and two more are planned. A 2.5-acre section was sold for a hotel development.
Edward St. John, founder and chairman of the company, said the company will continue to develop, just as it has through several crises in the past. “We’re going to weather this,” he said. “It’s just another crisis, and we’ll come out stronger. Every time we have one of these things, we come out stronger because we learn from our mistakes.”
Gov. Gary Herbert said the projects display confidence in the future and in Utah.
“This is an unprecedented and kind of an uncertain time, and unless people have confidence in the future, confidence in the private sector, confidence in the restaurant they can go eat at, that they’re going to be safe during this pandemic time, if people that have capital don’t have confidence in where they’re going to invest, those things don’t happen,” Herbert said. “What Utah has done, I think as well if not better than any state in America and most places around the world, is instill confidence.”
Herbert complimented Edward St. John for his wisdom in investing in Utah. “And we’re just so grateful that you’ve chosen Utah to invest some additional [portion] of your resources,” he said. “We’ll do everything we can to make sure that you’re as successful as you have been at your Pleasant Grove property, in Taylorville and Springville.”
Val Hale, executive director of the Governor’s Office of Economic Development, noted that three companies recently announced expansions of their operations in Utah and the St. John announcement “is another testament that things are happening in Utah and there is confidence.”
“The Valley Grove project has been very impressive, and it’s fun to see that it’s continuing to grow and it’ll expand, but now these additions into Taylorsville and Springville, I think, will be great benefits to those communities,” Hale said.
“Financially, it’s tremendous, but maybe right now, just as important, is the psychological value that this adds. Many businesses are struggling right now, but under the surface there is a lot more happening here in the state than people realize.”
Thomas took a moment to recognize the challenges faced by St. John clients and suggested that the new investment represents hope.
“It’s not easy out there right now for a lot of them and we’re here to talk about investment and spending and growth, and I just don’t want to diminish the challenges that our own clients are going through,” he said. “So what we’re hoping is, by talking about this investment, we’re providing some hope and some leadership looking through the current economic and health challenges. We’re looking through that and beyond that and providing some leadership.”
