Developer steps away from Lafayette Building redevelopment in South Bend
Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe Now
The developer behind the rehabilitation of a historic building in downtown South Bend has pulled out of the project.
According to WVPE Public Radio in Elkhart, Lafayette OpCo LLC has backed out of its agreement to purchase the Lafayette Building over financial concerns related to an architectural and engineering analysis.
The city entered into the agreement with Lafayette OpCo in 2023. The deal would have seen the developer acquire the building for $10,000, and plans were in place to transform the historic building into residential and retail space as part of an $8 million investment.
The five-story building at 115 S. Lafayette Blvd. was initially built as a two-floor office building in 1901 with its top floors added just years later. It was named a Local Historic Landmark in 2000.
“Certainly, this was not the desired outcome for this agreement,” Joseph Molnar, director of growth and opportunity for South Bend, told the city’s redevelopment commission last week. “We never go in hoping that a purchase agreement will not work out, but it does show the importance of due diligence.”
A city representative did not respond to multiple requests for comment from Inside INdiana Business.
Molnar said the city will continue to work toward preserving the Lafayette Building and noted that a number of developers have shown interest in the project, according to WVPE.