Ogden's new chapter
Sunday, June 10, 2007
By Scott Schwebke
Standard-Examiner staff
sschwebke@standard.net
City leaders hope opening of The Junction will revitalize downtown, create a new heyday
OGDEN -- Like the railroad in its heyday, a new economic engine downtown may prove to be Ogden's gravy train.
All aboard The Junction, an ambitious development that will debut with the opening of the $18 million Megaplex 13 cinema Friday and $19.5 million high-adventure Salomon Center on Saturday.
Both facilities are just the ticket to keep Ogden's burgeoning reputation as a recreation and tourism hub chugging along, said Mayor Matthew Godfrey.
"Making downtown a high-adventure and entertainment hot spot makes us unique and will attract jobs, tourism and retail to Ogden."
The idea of making Ogden a high-adventure mecca first arose in 2000 during meetings between Godfrey and officials with the Ogden/Weber Chamber of Commerce and other organizations in preparation for the city's hosting several Winter Olympic venues.
The group set about determining what would make Ogden unique and decided to capitalize on its proximity to skiing, snowboarding, kayaking and mountain- biking opportunities.
After the Olympics, the outdoor recreation concept carried over into the city's economic revitalization efforts, including completion of a development like The Junction.
But it wasn't until November 2005 when the city council agreed to issue bonds for construction of the Salomon Center that the project officially got off the ground. “It's been a long time coming," Godfrey said in an interview last week. Located at the site of the former Ogden City Mall, the concept for The Junction was born out of economic necessity aimed at keeping downtown vibrant.
When he was elected in 1999, Godfrey said, the financially troubled mall was already in its death throes with the Nordstrom department store gone and JCPenney's on its way out. "There were no anchor tenants," he said. "Everybody was scattering like rats." The city tried in vain to attract new stores and developers to revive the mall. But nothing materialized, and Godfrey was told over and over again the days of successful urban malls were over.
"I was shocked," Godfrey said. "It was a beautiful mall."
So the city purchased the mall in 2001 for $6 million and tore it down. Godfrey helped launch an effort to rebuild, eventually resulting in plans for The Junction. At the height of its success in the 1980s and 1990s, the mall generated $1.5 million annually in tax revenue for Ogden, said Mark Johnson, the city's management services director.
The city benefited not only from property taxes on the mall buildings, but also from sales tax, much of which came from purchases by visitors who lived outside Ogden, he said. At its peak in 1999, the mall property was valued near$50 million. By the time the mall closed, that had shrunk to $6 million.
During its first year of operation, The Junction is expected to generate about$2.8 million in tax revenue, Johnson said. By 2015, the development should provide $4.5 million per year in tax revenue and its property value should reach $182 million, he estimated.
The Junction's success will hinge on the symbiotic relationship between its two anchors, the Salomon Center and Megaplex 13, Godfrey said. "The Salomon Center is the key to bringing the theaters, and the theaters are key to bringing the other projects."
Like a phoenix rising from the ashes of the once-vibrant downtown mall, the Salomon Center, with its 75-foot-tall and 75-foot-wide windows, and the monolithic Megaplex 13 are impressive additions to Ogden's skyline.
The 125,000-square-foot Salomon Center is named after a brand of ski products produced by Amer Sports Inc., which will locate its North American headquarters in the former American Can Co. complex in July.
The first floor of the Salomon Center, nearly 66,000 square feet, will house FatCats Fun Center and include an arcade, 32-lane bowling alley, billiards room, glow-in-the-dark miniature golf, bumper cars, children's play area, sports shop, Champ's Sport Bar, Costa Vida Fresh Mexican Grill, The Pizza Factory and Striker's Grill.
Also on the first floor is the Flowrider surf pool and a 55-foot indoor iRock boulder- and rope-climbing wall.
The center's 59,000-square-foot second floor houses the iFLY vertical wind tunnel and Gold's Gym, featuring a health and fitness center, indoor track, basketball and racquetball courts, whirlpool, steam room, sauna, lap pool and aerobics room.
The Dance Establishment, a dance school for children and adults, will occupy a mezzanine off the second floor.
Dave Rutter, a co-owner of FatCats, said he believes the Salomon Center will spark increased development, not only within The Junction but also along Washington Boulevard.
"The whole downtown area will really benefit."
The Salomon Center is complemented by an elaborate $941,000 outdoor plaza. The plaza includes sandstone seating and a pedestrian area with a water feature and a 42-foot-tall steel-and-bronze sculpture depicting a mountain climber.
The Megaplex 13 -- owned by sports, entertainment and auto-dealership mogul Larry H. Miller -- is just north of the Salomon Center and will feature 2,300 seats, state-of-the-art audiovisual and sound technology and a food court.
Moviegoers will be permitted to bring food items from the eateries into auditoriums to enjoy a full meal while watching a film.
Miller, who was persuaded by Godfrey to build at The Junction, is excited about the opening of the theaters, said Dave Bollard, marketing manager for the Megaplex empire that also includes cinemas in Sandy, Salt Lake City and South Jordan.
"Obviously, Larry can make a lot more money in car dealerships than he can in theaters, but he really tries to give back to the community," he said.
The Salomon Center and Megaplex 13 have also been the catalyst for other development within The Junction:
* In August, the Elizabeth Stewart Treehouse Museum moved into a new $6 million facility east of the Salomon Center.
* The six-story Earnshaw Building will feature condominiums, office and retail space.
* The four-story Ensign Plaza South building will include tenants J.D. Clark & Co., Coldwell Banker Residential Brokerage and Equity Title Agency.
* The Boyer Co. is building the four-story, 65,000-square-foot Wells Fargo Center at 24th Street and Washington Boulevard in The Junction. The building will house Wells Fargo Bank and the law firm of Van Cott, Bagley, Cornwall & McCarthy, among other tenants.
* Boyer has also begun site preparation for the first of 10 buildings at The Junction that will include 92 town homes, lofts and flats and 51,000 square feet of retail and restaurant space slated to open next year.
* Stuart Reid, the city's former community and economic development director turned developer, plans to begin construction at The Junction in August on a sprawling 224,000-square-foot condominium and commercial building known as Ashton Square. At seven stories, it will be the tallest structure at The Junction and will include 66 condominiums, two restaurants and commercial space.
The Junction's shops, restaurants and residential dwellings will solidify the city's reputation as a cool destination and, Godfrey said, "will help tell the story of Ogden."
Lucky 13?
Sunday, June 10, 2007
By Nancy Van Valkenburg
Standard-Examiner staff
Mayor hoping Megaplex will give downtown Ogden much-needed lift
A year and a half after groundbreaking, Larry H. Miller's $18-million-plus Megaplex is just five days from opening.
The facility will offer 13 screens, state-of-the art audio and video equipment, multiple choices in snacks and meals, a drive-through ticket kiosk, reserved seating, stadium-style rocker-recliner seating, and more.
It will also offer existing area theaters a run for their money.
"It's a spacious new facility with wonderful seats and 48 inches between the back of one seat and the front of the next," said Steve Tarbet, Miller's general manager over theater operations.
The Megaplex 13 will offer a few upgrades on Jordan Commons, Miller's first and best-known theater complex, which has just 42 inches between seats. It's something moviegoers requested, Tarbet said.
"Everything we've learned goes into our next project, so Ogden will benefit from what we have learned at our other sites," he said.
The Megaplex has a spacious feel, with festive neon ceiling lights in the hallways and sleek, modern concession stands. Outside, the look is steel, neon lighting and a multi-story wall of glass topped by a deco-revival-style spire piercing the skyline.
"Larry goes for flair," Tarbet said. "If glass looks good, he will put glass halfway around the building. But it's hard to argue with his success."
Miller, owner of several car dealerships and of the Utah Jazz, also owns the Megaplex 17 at Jordan Commons in Sandy; the Megaplex 12 at the Gateway in Salt Lake City; and the Megaplex 20 at The District in South Jordan. He has a business interest in the Megaplex 8 at Thanksgiving Point in Lehi, which Miller's group manages as part of a partnership.
"Larry is always telling me we really don't want to be in the theater business, but the next thing you know, we are building another theater," Tarbet said. "Larry is pretty sure we will be successful. He thinks the other theaters in the area are old, and this will be a refreshing change for people."
Miller didn't come to court Ogden. It was Ogden Mayor Matthew Godfrey who asked for the first date.
"The mayor got in touch with Larry and explained what he was trying to do," Tarbet said. "He made a compelling case, as far as Larry was concerned. Larry is a very community-minded person. He felt like Ogden needed a lift, and the mayor and his people seemed to have a good plan, so Larry was willing to be part of it. Larry does things for good reasons, and they always seem to work out for him."
Ogden City's plan was to build The Junction, an entertainment, retail, recreational and residential venture, on the two-block area that housed the Ogden City Mall prior to the mall's failure. The Treehouse Children's Museum already is open, and other business openings will follow in the coming weeks.
The hope, of course, is to build a stronger economic base for Ogden, offering tourists and residents of Ogden and outlying towns a reason to visit downtown and spend money.
"Ogden is the center of commerce for Weber County, and it needs to be healthy," said Dave Hardman, president and CEO of the Ogden/Weber Chamber of Commerce. "... We will be drawing from all over Weber County and Northern Utah. The tax dollars generated from this facility will be significant, and the money goes to benefit the tax base in Ogden."
New competition
Not everyone stands to benefit from The Junction, or the Megaplex. The owners of smaller, competing businesses risk losing their clientele.
"When you open new theaters, older theaters always suffer some," said T.J. Rudman, who runs the WestStates Theatre chain, which specializes in the smaller markets around Utah. "The Cinedome is no longer there, and the Carmike is no longer there. Theaters are just like any other business, like restaurants or stores, that are hurt when competition increases. That's how business works.
"If you're asking if markets can be oversaturated with theaters, it's not an easy answer. So much depends on the number of good movies that come out. The films that come out can increase or decrease the demand. If gas prices go up, maybe people will stop taking trips and go to theaters for their escape. Or maybe they will stop going to theaters because they are spending their money on gas. It's a difficult industry to predict."
It is unknown at this point if the Megaplex and Cinemark's Newgate Tinseltown will compete for blockbusters or share them. Much of that is up to distributors, Tarbet said.
The little guys
Rudman said theaters that are part of large chains, such as Cinemark, should survive the competition just fine. He is more worried about the small, independent mom-and-pop theaters, which are especially convenient to residents of their own neighborhoods.
"There are some really nice people running clean theaters with excellent customer service," he said. "I really hope they will be OK."
Managers and owners of theaters close to The Junction are said to be nervous, but would not comment on any perceived economic threat, citing personal or corporate policy.
Marian Chambers, of The Pointe, closest theater to The Junction, said she is encouraged by her clients' comments.
"Our customers have been telling us for months how happy they are that we are located where we are, and that they will continue to watch movies at our theaters," said Chambers, who also runs The North Pointe. "They love our popcorn and our prices. We are very fortunate to have a strong customer base."
That's the ticket
Tarbet admitted that the $8 evening ticket price for adults is little higher than some Ogden-area theaters.
"It's pretty much in line with the market down here, with first-run theaters," he said, speaking of the Salt Lake Valley. "For the most part, we are not more than a quarter off most prices there. We have made a big investment up there, and we are going to have to try and get a better ticket price."
And the Megaplex does offer new audio and projection systems, comfortable seats, roomy aisles, concession choices, and the allure of a new and exciting film-viewing experience.
In addition, Tarbet's assistant, Dave Bollard, said the Megaplex plans to offer some screenings that local theaters do not. The Megaplex occasionally will screen art films, locally made films, and films of Utah interest, such as the recent string of Mormon comedies geared for the state's religious culture.
Tarbet is confident the Megaplex 13 will draw a large audience.
"We would like to draw people from Davis County, and will certainly look as far north as Brigham City," Tarbet said. "We should dominate Ogden and North Ogden. What happens in Riverdale and Roy, time will tell."
According to industry wisdom, people generally don't drive past theaters to get to more distant theaters showing the same films.
"Frankly, theaters are pretty much a neighborhood business," Tarbet said. "But the other theaters in the area are getting older and stale. This is a new place with lots of color and light. People like energy, and we try to create that."
Rudman, an admitted fan of small-town theaters, said he hopes everyone will succeed.
"I'm always for everyone doing well," he said. "I hope Mr. Miller does well, and I hope The Pointe and The North Pointe do well. Maybe the theaters will develop different clienteles. Maybe even more people from Ogden will get excited about going to the movies. There's an old adage: The rising tide lifts all boats. Maybe that is what will happen here."
ABOUT MEGAPLEX 13
-- The largest auditorium has 598 seats and is certified for THX, a high-fidelity sound system.
-- Besides traditional concession stands, a food court will offer Pizza Hut, a Snappy's (burgers and fries), a deli and a Mayan Express, plus inside and outside seating. Food trays will allow moviegoers to take food into the auditoriums during the movies.
-- Satellite concession stands will serve soda and popcorn refills, increasing speed of service.
-- The Megaplex 13 is the first theater complex in Ogden to introduce a drive-through ticket kiosk machine. Tickets can be purchased 24 hours a day.
-- The theater will have six automated ticket machines in the box-office area for quicker service.
-- Internet access stations will be available free to the public.
Source: Megaplex 13 release and Dave Bollard, Megaplex marketing manager
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