OEDC In Talks With Tech Firm For Olney Savings Bldg

Contractors for a major tech company came to town last week to inspect the former Olney Savings building as a possible site for the $70-million network of data centers and support buildings it is constructing across Texas, Olney Economic Development Corporation executive director Tom Parker said.

The OEDC has had several suitors for the building, including a California engine component maker that sent engineers to town, but none of the potential deals have stuck. Mr. Parker said the company asked not to be identified at this stage of its negotiations with the OEDC.

Mr. Parker said the visit followed a pitch he made recently to the company’s representatives to use the 46,000-squarefoot vacant bank building as a possible small server farm, storage, or regional support facility because of Olney’s location relative to other Texas data centers.

He said the company’s representatives had already reviewed the site remotely and that the building could potentially serve as a smaller “repository” data center requiring less power and cooling infrastructure than traditional hyperscale operations.

The OEDC also reported last week that it was wrapping up the renovation project at the old courthouse and then moving on to an asbestos abatement project at the former Hamilton Hotel.

During the board’s May 15 meeting, Mr. Parker said work at the old courthouse on South Grand Avenue remains largely on schedule despite delays involving custom bulletproof windows for the building’s license renewal office.

Mr. Parker said the OEDC purchased the windows through a cooperative purchasing arrangement that significantly reduced costs but created supply issues with the manufacturer.

The supplier has struggled to obtain enough material to fabricate the windows, forcing the OEDC to consider spending additional money on expedited shipping and possibly changing vendors entirely. Mr. Parker estimated switching vendors could add another $10,000 to $12,000 to the project.

Board members agreed the additional freight expense was justified if it kept the project moving.

“We need to get the thing done,” Mr. Parker said. “We’re under budget on everything else.”

Mr. Parker reported carpeting has already been completed, and construction of the new polling room should wrap up by the end of next week. He said HVAC issues resurfaced after a wall was moved inside the building, but are being addressed.

The board also focused on environmental remediation tied to downtown redevelopment projects.

Mr. Parker said asbestos abatement at the courthouse is expected to cost about $21,000 and recommended completing the work immediately because contractors are already working in the building.

“If we’re up there and we’ve got contractors moving around … we really need to take the material that’s hot and get rid of it,” Mr. Parker said.

The board also discussed environmental cleanup estimates for the downtown hotel and the former Olney Savings building.

According to Mr. Parker, remediation work at the hotel is projected at roughly $75,000, largely involving asbestos-containing mastic and wall materials.

The board approved moving forward with the hotel remediation project as well, with Mr. Parker noting the OEDC remains approximately $150,000 under budget on the courthouse project and has deferred several operating expenses this year.

Mr. Parker also updated the board on a potential state economic development financing program discussed previously with Adriana Cruz, Gov. Greg Abbott’s economic development director. He said Olney remains under consideration for an early round of funding connected to hotel redevelopment efforts.