Bidders hopeful of landing office space contract

Two bidders for a state government office contract in Cape Girardeau say they feel good about their chances for getting the contract in light of recent developments.

The bidders represent the L.J. Schultz School building and the Marquette Hotel.

Ray Bax, the Jefferson City, Mo., man under contract with the Cape Girardeau School District for the $2 million sale of the Schultz school building, recently completed an engineering study on the building and discovered it to be in better condition than he originally expected, said his local real estate agent, Kerry Johnson.

Thomas M. Meyer, real estate agent for Carol Bullock, daughter of Marquette Hotel owner Ruby Bullock, said the Bullocks recently received a commitment from Prost Builders of Jefferson City to buy the 74-year-old hotel, pending contract paperwork.

Meyer also said the Bullocks had acquired a Southeast Missouri State University building at 221 N. Fountain, directly behind the H & H Building. He said the area will be converted into a covered parking garage if the Marquette receives the contract.

The Missouri Division of Facilities Management opened bids April 17 for 22,384 square feet of space to house offices for the departments of Social Services, Mental Health and Health and Senior Services for the next 10 years.

Six groups offered bids ranging from $209,900 to $291,133.50 for the contract.

As late as July 17

Tom Shea, leasing coordinator for the state, said the final decision on which bidder gets the contract may come as late as July 17.

"Right now we are in the decision-making process," he said. "The state has 90 days to make a decision from the time bidding opens. Right now we're just trying to evaluate everything."

With the decision looming, both Meyer and Johnson say their clients have the best property and they see no reason why they shouldn't get the contract.

"We feel very optimistic about it, primarily because the Marquette meets requirements of the state of Missouri," Meyer said, speaking for the Bullocks and Prost Builders. "It meets both the historical and downtown qualifications."

Meyer said three of the building's seven floors would be used for the office space, which would leave the rest for retail and corporate leasing capabilities.

"That, free standing, has a ripple effect on the whole downtown area," he said.

Johnson said the Schultz building would also have room for additional state growth or for private and local usage because the state office space would only use about 27 percent of the building's 82,220 square feet.

He also said the Schultz should be awarded the contract because the all of the money from the purchasing of the building to the leasing of space would stay in the region.

"With the sale of the Schultz, $2 million goes directly to the school system," Johnson said. "With the Marquette, the owners live in Maryland. All of the money goes back to Maryland."

Renovations needed

Johnson also said the money for construction costs to renovate the school building to office space would stay in the Cape Girardeau area.

To convert the 88-year-old school building to offices, Johnson said the windows and doors would be replaced and the inside gutted. New interior walls would be built and new wiring, security and sprinkler systems would be installed, but the exterior of the building would remain as it is.

The last time the Schultz was renovated was in 1965. Before then, the only major changes to the building were from additions made in 1920 and 1941.

Johnson said the cost of renovating the building would be about $2.5 million.

Meyer could not give an approximate cost of renovating the Marquette, but said it would involve a complete renovation of the interior on the upper floors and a historic restoration of the first floor and mezzanine areas.

The hotel was only added onto once, in 1936.

Meyer said Prost Builders has made a commitment to the Bullocks to purchase the hotel and the university property, but would not give any further details of the contract or say when it is set to close.

Bax's contract with the school district is scheduled to close July 31.

Bax could not be reached for comment, but Johnson said Bax is considering pulling out of the contract with the school district if he is not awarded the state bid for office space because he feels there is something standing in his way.

"At this point if he doesn't get the state bid, he's probably going to walk and will have to forfeit the $10,000 he paid down," Johnson said. "There are going to be other state bids available, and if he doesn't get this one there's plenty of other places that will accept him."

hkronmueller@semissourian.com

335-6611, extension 128