Work on exterior of Fayette courthouse to begin in early summer

Work on the exterior of the former Fayette County Courthouse will hopefully begin in June and renovations on the interior may start as early as August, city officials said Tuesday.

Construction on the exterior can not begin until Lexington receives notification of whether up to $8 million in tax credits — which will be used to offset the total cost of the $30 million project — have been approved by state and federal officials. It’s likely that decision won’t come until May, said Sally Hamilton, Lexington’s chief administrative officer.

If those tax credits are approved in May, the city hopes to hire contractors in June for the exterior work on the courthouse, which will include key fixes such as masonry work, restoring windows, fixing balconies that have started to separate from the walls and replacing the roof.

Work on the interior of the courthouse will include an overhaul of the HVAC, electrical and plumbing systems and rebuilding a multistory staircase that was once in the foyer of the building.

On Tuesday, the Urban County Council gave initial approval of the creation of a nonprofit and for-profit entities that are needed for the city to take advantage of the historic tax credit program. The for-profit entity would lease the building from the government for 75 years. A final vote will be in coming weeks.

A government cannot receive tax credits. That’s why the nonprofit and for-profit corporations have to be created, said Jenifer Wuorenmaa, an administrator in Hamilton’s office who is overseeing the courthouse project.

In addition to giving initial approval for the creation of the nonprofit and for-profit entities, the council also agreed Tuesday to spending $12 million of the $22 million the council previously approved for exterior work on the courthouse.

“We need to spend as much money that we can so we can capture as much tax credits as we can,” Wuorenmaa said. The state tax credit will end on June 30, 2017. The city needs to spend as much money before that date in order to receive the maximum tax credits, she said.

The city hired AU Associates, a Lexington firm that specializes in reuse and affordable housing projects, and CityVisions Associates of Louisville to act as development agents for the project. The two are handling the city’s tax credit applications — which are voluminous — and talking to potential tenants that are interested in moving into the building once it is completed. The interior work could be completed as early as December 2017. But it will not be move-in ready, said Wuorenmaa. Additional work will then have to be done to address potential tenant needs, Wuorenmaa said.

The goal is to attract tenants so the building will be self-sustaining and will not need cash from the city’s coffers for operations and maintenance, Hamilton said.

In 2015, an historical assessment by EOP Architects of Lexington and Preservation Design Partnerships of Philadelphia showed that a 1960 renovation of the courthouse gutted much of the historic and architectural details. That renovation removed an impressive multistory staircase and placed elevators and other mechanical structures in the center of the building. That 1960-1961 renovation also covered up the building’s impressive dome.

The proposed plans include rebuilding the multistory staircase and restoring the dome.

Wuorenmaa said the city plans to hold meetings with Short Street businesses and other area businesses to let them know when work will begin on the exterior of the courthouse. The city won’t know the details of where construction vehicles will be parked until the city awards the bids and talk to contractors about space needs. Hamilton said Monday they have already begin discussions with the Lexington Farmers Market, which uses the Fifth Third Cheapside Pavilion on Saturdays. Construction should not take place on Saturdays, she said. Thursday Night Live, a summer and fall concert series at Fifth Third Cheapside Pavilion, will also not likely to be affected.

“Letters will also be sent to all area businesses,” Wuorenmaa said.

Councilman Russ Hensley and Councilwoman Jennifer Mossotti said they had concerns about spending the money without seeing a business plan that shows the building could be self-sustaining. Mossotti was the only council member to vote against moving the issue to the council’s agenda for its first reading at Thursday night’s council meeting.

“I really want to make sure that the project is self-sustaining,” Hensley said.

Wuorenmaa said unfortunately the city will have to spend money first before it can attract tenants to the project.

“There is a great interest in being a tenant in the building, but unfortunately that’s all I can say today,” Wuorenmaa said.

The Richardsonian Romanesque building opened in 1900 and was used as a courthouse until the current courthouse complex on North Limestone opened in the early 2000s. The building housed museums until 2012 when it was shuttered after the city found asbestos and other hazardous material.

This story was originally published March 1, 2016 at 5:38 PM with the headline "Work on exterior of Fayette courthouse to begin in early summer."