Juban Crossing developer eyes early 2013 opening
DENHAM SPRINGS — The long-delayed Juban Crossing development has been delayed again, but the developer said steel soon will rise.
Just north of Interstate 12 at Juban Road, 470 acres await stores, hotels, restaurants and a theater that developer Stephen Keller says would combine to create 3,500 permanent jobs.
Though businesses won’t open this year as planned, they will open in 2013, Keller said.
In 2010, Livingston Parish helped to finance needed infrastructure for the development by approving an additional 2-cent sales tax to be collected in Juban Crossing stores.
That means shoppers in the development would pay 10.5 percent in sales taxes, which is the highest rate in the parish.
Revenue from the 2-cent tax will be used to repay bonds that will be sold to create streets and other infrastructure, said Jim Ryan, of Governmental Consultants of Louisiana.
Local government has no liability in connection with those bonds, said Ryan, who is a financial adviser to the parish.
The megadevelopment was planned in 2005 and was scheduled to go under construction in 2007, but before work started, complications began to block Juban Crossing’s forward progress.
Among the first problems to arise were wetland permits. By the time those had been worked out, economic woes had arisen.
“When Lehman Brothers failed and the world turned upside down, it became difficult to obtain financing,” said Keller, a principal in Creekstone Development.
Creekstone didn’t break ground until February 2011. At that time, it projected the opening of Juban Crossing’s first phase would occur this fall.
Land clearing proceeded rapidly, followed by excavation of a large pond and spreading of 600,000 cubic yards of dirt for the first two phases of the project. Then, things slowed again.
Now, the developer has pushed planned store openings back to early next year, but said there is no change in the types of companies that will be coming.
Creekstone hasn’t scaled back on its vision or any of its plans even though the timeline hasn’t gone as planned, said Rebecca Rainer, a spokeswoman for Creekstone.
A 14-theater movie complex, a Kohl’s department store and another major retailer are among the first businesses that will open, Keller said.
They will be joined immediately by a number of smaller establishments. Those are businesses that generally accompany the larger retailers that open in regional malls, Keller said.
The leases are in various stages, but should all be completed within 45 days, he said.
“Everybody has stayed with us and worked with us very well even though it has taken a little longer than anticipated,” Keller said.
Unlike in years past, financiers now want signed leases from retailers rather than just letters of intent before providing money for such projects, said Keller, who added Creekstone is in the process of closing on the last of its financing.
“We are seeing an increase in retail activity and interest in our project that is the strongest environment since 2007,” he said.
In six months, travelers on I-12 should see streets and slabs going into place, Keller said.
Bonds supported by the additional sales tax will be used to fund streets and some other infrastructure, but not for buildings, he said.
The first stage of the development has been increased from the originally planned 350,000 square feet to 526,000 square feet, Keller said.
Livingston Parish President Layton Ricks said Friday afternoon he is excited to hear the news.
Once the mall opens, it would help to get more Livingston Parish residents doing their major shopping within the parish, Ricks said.
That will be a good thing for traffic and parish revenue, he said.
The project will also do a lot to help employment numbers in the parish, Ricks said.
In addition to 3,500 permanent jobs, Keller said, the four-phase project would create between 250 and 450 construction jobs.
In addition to stores, banks, restaurants, hotels and a theater, the project eventually would have two apartment sites and about 500 homes, he said.
Ward 2 Water District will provide water to the development, and the city of Denham Springs will provide municipal sewer service, Mayor Jimmy Durbin confirmed.
The developer will pay for putting in the needed lift station and force main, Durbin said.
Plans have been completed and rights of way have been secured, but construction hasn’t started, Durbin said.
Walker Mayor Bobby Font said Walker is moving forward with putting lines in place to supply natural gas to the development.