"The two deals will be over $100 million," David J. Levey,executive vice president for Forest City Residential Group Inc.,tells GlobeSt.com. His plans for the Mercantile complex, four emptybuildings with close to 1.1 million sf on one block, and itsneighbor across the way, the 304,860-sf Continental Building, callfor 400 to 600 apartments and a spattering of gallery-type,specialty retail.

RTKL Associates Inc. of Dallas is working on the design as Leveyand team work through a complicated due diligence and continuetalks with city officials about contributing to the redevelopmentplan. Levey says the goal is to close the sales with Spire Realtyof Houston and Glenn Solomon of Dallas by mid-2005.

Sources confirm there has been preliminary discussion aboutexpanding the $108-million tax increment financing coffer byanother $50 million. Most of the funds from the initial seed moneyto revitalize the downtown have been committed although a smallchunk was in place at one time for the Mercantile complex, whichSpire Realty bought in 2000 from Principal Financial Group of DesMoines. Less than a year later, Solomon paid close to $10 millionto Principal for the Continental Building at 1810 Commerce St.