A nationwide search has started for developers willing to tackle Salem’s next big redevelopment project: the 47-acre Oregon State Hospital North Campus.
Matt Shelby, a spokesman for the Oregon Department of Administrative Services, said a “Request for Qualifications” was issued this month. The RFQ is a means to screen companies interested in buying and redeveloping the state-owned north campus.
“We’ll have a list of qualified developers that have signaled an interest in the property,” Shelby said. The next step, contingent on the direction given to DAS by the Oregon Legislature in February, would be a “Request for Proposal” or RFP process.
Earlier this year, state-hired consultants said the north campus property could become a $100 million private real estate development with key benefits for Salem.
The north campus is located along Center Street NE.
From 2010 to 2012, operations of the psychiatric hospital were consolidated. Patients and staff were moved to a new facility, south of State Street, known as the south campus.
Two north campus buildings, the Dome Building and Yaquina Hall, are being used as state offices. Other north campus structures are vacant.
Splitting up the north campus among multiple developers, with a master developer overseeing the project, would be a likely strategy to remake the site, according to a study prepared by Leland Consulting Group and Cushman & Wakefield for DAS.
In the fall 2014 to summer 2015 timeframe, DAS officials hope to begin narrowing the list of options and enter into negotiations to sell the property to a master developer.