The 3rd Street Market Project is receiving a $ 2 million loan from Milwaukee Economic Development Corp.
The money will go to the construction of a dining and entertainment hall, which will be located on the first floor of The Avenue residential complex. Avenue is the name of the newly converted stores of the Grand Avenue Mall at 275 W. Wisconsin Ave.
On Wednesday morning, MEDK approved a $ 2 million loan for 3rd Street Market Hall developers Josh Krsnak, Tony Yanovets and Omar Sheikh.
The loan will help create about 128 jobs over two years. The total cost of the project is about $ 10.62 million.
The 3rd Street market is expected to open in September, Sheikh said. It will initially have 12 local food vendors, a large central bar with 40 seats, Topgolf simulators and playgrounds and meeting rooms.
Sheikh said the development team has always planned to apply for a MEDC loan. However, they increased the amount requested for two main reasons.
First, the food hall has grown in size. Sheikh said they have added several new areas over the past few months.
The property now also pays for the construction of some space for tenants, he said. About half of the tenants chose to pay higher rents in exchange for the owners to pay the building bill.
Initially, it was planned that each tenant would pay for their own construction, and the market on 3rd Street would provide the premises with only electricity and water.
This has changed in part due to the COVID-19 pandemic, which has hit the restaurant business especially hard. Without this option, Sheikh said, some suppliers would not be able to move forward.
Despite this, food halls have already developed in this direction. Shaik said in speaking with fellow food hall owners across the country, it became clear that the alternative was often favored by both sides.
“Many of the top leaders in this business and some of the grocery operators have looked to a more out-of-the-box solution prior to the pandemic,” he said.
With a loan from MEDC, Sheikh and his partners completed part of the funding for the project. The food hall also received a license to sell alcoholic beverages in the city.
Construction work is in progress.
Installation of mechanical, electrical and plumbing systems is complete. The construction of the bar has been completed and the bar equipment will be delivered soon. Work on play areas such as snookeball and shuffleboard should be completed this week.
Topgolf Museum Spaces and Selfies are still under construction. There is also work to be done to increase tenants.
The Avenue project also includes 52-unit Plankinton Clover condos and 190,000 square feet of office space.
Office tenants include Good brands of karma and his four radio stations in Milwaukee, Graef-USA Inc., Milwaukee Business Development Center, District 21 and Metropolitan Milwaukee Trade Association…