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What's next for condemned historic Railway Exchange building in downtown St. Louis?

City officials said the city sent a letter to the owner in Florida. They are hoping to receive something by the end of the week.

ST. LOUIS — It was once known for its Christmas displays in a bustling downtown St. Louis.

The Railway Exchange building that stands at 615 Olive Street once attracted thousands of shoppers every day, but now it's empty.

On Wednesday, St. Louis City condemned the 109-year-old building.

Kurt Weigle, senior vice president and chief downtown officer for Greater St. Louis Inc., said some of the best memories many have in any city across America is coming downtown and seeing the displays at Christmas time in the windows.

"The Railway Exchange is such an architectural gem and it's such a big structure downtown," Weigle said. "It takes over an entire city block."

For years, it was a department store called the Famous-Barr

Through records, we have learned that in 2006, Famous Barr gave up its space to Macy's. Macy's closed in 2013 and out-of-state owners bought the building in 2017.

The building has sat unused since, but the 1.2 million-square-foot estate is not empty.

Sgt. John McLaughlin with St. Louis Police Department's Public Safety and Coordinator for Problem Properties told 5 On Your Side officers go into the building every two days. 

McLaughlin said there is some electrical power in the building, but he was told the inside was dirty and filled with debris. 

On Wednesday, city officials said they escorted four or five people out and boarded up the building with condemnation signs. McLaughlin also said there were 10 to 20 people inside in the last two weeks.

Ed Ware, a manager with the city’s building division, told 5 On Your Side city lawyers have been reaching out to the out-of-state owners Hudson Holdings. 

The owners proposed to do a $300 million redevelopment project in 2017, but since then there have been legal battles.

According to the St. Louis Business Journal, a judge last year awarded four contractors $3.8 million and attorneys’ fees, which are still being discussed by the court.

Ware said the building has been under surveillance for years.

"We have been trying to reach out to the owner and we’re still trying to do that," Ware said. "It reached a point, where we couldn’t keep voluntarily keep people out."

Ware said the city did an emergency condemnation, which took away the right of an appeal.

"It's not an approved habitable space and that's why it's been condemned for occupancy," he added.

By doing the condemnation, he said, this would give the police department more authority and keep people safe.

"There was a local individual trying to oversee the property for the out-of-state owner. It gained our attention when the property manager for the out-of-town owners stopped working for the owners and because they stopped paying him," he said. "It became a deteriorating issue down there."

A group looking for change is the Downtown St. Louis Community Improvement District. It's a nonprofit dedicated to a successful and resilient Downtown.

Executive Director Kelli McCrary shared this statement:

The former Famous Barr building was once a jewel of Downtown St. Louis and it can be again. This magnificent building sits in the heart of Downtown and the dilapidated condition it is in affects the whole surrounding area.

First stabilizing and then rejuvenating it will require a responsible owner who’s willing and able to make it shine again. I applaud the City of St. Louis for doing its part. This is a critical time for this historic building, and I hope this notice will prompt necessary safety and infrastructural improvements to be implemented on an accelerated timeline.

What's next?

Ware said the city sent a letter to the owner in Florida and they are hoping they receive something by the end of the week.

He said the city's building department has been in contact with City Counselor’s office to see what can be done next, if the responsible party does not deal with the issues.

As far as the structure, Ware said the building solid, and it will not be demolished.

The property owners can be subject to pay board up costs, administrative fees, and daily fines of $500, according to city officials. 

McLaughlin also noted the officers have to walk through the 21-story building to evacuate people and this takes away resources from the officers, having to pull them away from other matters.

"Hopefully sell the property to a responsible party or be a responsible owner," Ware added. 

City officials said bike officers are doing extra patrols, but they need the public's help.

If you observe anyone messing with the boards or going in and out, then they ask the community to call 911.

Weigle said he believes Railway Exchange's future can match its past.

"That building needs to be secured because it has so much potential to be an anchor for all of downtown and particularly Olive Street, which was a great shopping street, and it can be that again," he said. 

He believes the details and the quality of the construction will be a reason for it to stay. 

Weigle said Greater St. Louis Inc. will be in the conversations with the city to see what could come. 

He already has an idea in mind.

"Residential is a big part of the future, but it’s a big building. I would expect Railway Exchange will be mix-use. Retail at the ground floor, residential maybe hospitality and mix of usage in the upper floors to take up that space," he said optimistically.

The City Counselor’s office will decide what could happen next with the property owners.



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