Park Square Enterprises has a national fitness center tenant under contract for the anchor space of its planned Park Square Plaza near UCF, and is now pursuing rezoning and subdivision to facilitate a hotel pad sale.
When Park Square Homes CEO Suresh Gupta bought the 12.5-acre site in the 12000 block East Colonial Drive in 2016, he planned to develop retail along the frontage and pursue rezoning for 250 apartments.
Gupta and son Vishaal Gupta, Park Square's executive vice president, along with previous land owners Laan Hospitalities LLC out of Ocala as minority investors in the new project, refocused earlier this year to scrap the apartments for a retail-focused site plan, after being approached by a national gym tenant.
The Guptas requested a pre-app meeting on Wednesday with Orange County staff prior to filing a Planned Development rezoning, and subdivision of the property into four parcels with a fifth master stormwater tract.
24 Hour Fitness is now under contract to lease that first phase's main 37,000-square-foot anchor space for what will be a prototype design.
Park Square also plans to file a master sign plan, and request waivers from landscaping requirements along internal parcel boundaries.
The developer already has a construction permit application under review by the county for horizontal site work and the Phase 1 anchor retail building.
The PD rezoning is being driven to allow a 2.24-acre hotel parcel for up to 110 keys, due to unique setbacks that must be addressed. The hotel pad is under contract as well for purchase and development by a third party, having been marketed for $2 million until now by Ali Mushtaq, senior adviser for SVN.
"We have a buyer for the hotel site and they want to do either a single or dual-brand concept there," Suresh Gupta told GrowthSpotter, noting a prospective closing for that parcel in Third Quarter 2018.
The balance of 10.26 acres of retail land and stormwater pond will be retained by the Park Square executives, who will develop building shells for lease, or lease outparcel sites.
The company has signed Tampa-based fast-casual chain PDQ to the 1.11-acre outparcel adjacent to the Congo River Golf site. Park Square is expected to have site work ready for PDQ to break ground in April.
A second 1.43-acre outparcel adjacent to the PDQ site remains available, as does 8,550 square feet of inline retail space, Mushtaq said.
Gupta declined to forecast a total project cost, but said his land owner entity would source up to $11 million from a construction lender, with a commitment expected by year's end.
"By December of 2018, I would expect to see the gym open there and the hotel almost finished," he said.