University of Tennessee proposed lease may breathe new life into Southern Railway Station

The University of Tennessee at Knoxville soon could be pulling into the station with a new plan to expand its College of Architecture and Design into Knoxville's Old City.

UT is proposing to lease the historic Southern Railway Depot buildings just north of downtown for art and architecture classes, offices and a design studio.

The UT System Board of Trustees will vote on the lease at its annual meeting June 25. If the proposal is approved, UT would use the vacant train station for five years, with the option to add more years. The base rent would be $705,625 per year with a potential 3% annual increase. For five years, the total rent would be over $3.74 million.

Details on the proposed Southern Depot lease:

• UT would pay $2.7 million to equip and furnish the space.

• Sixty-five parking spaces would be available, for which UT would pay $100 a month per space, or $6,500 a month total. The cost per space could increase by 3% annually.

• The landlord is Knoxville Southern Station LLC, which is managed by Dewhirst Properties. Dewhirst also manages The Standard, The Mill & Mine, the Arnstein Building on Gay Street and other properties.

• The landlord would continue to handle indoor and outdoor maintenance. The landlord would be responsible for repairs and replacements for the roof, foundation, load-bearing walls, mechanical systems, electrical systems, plumbing, landscaping, parking lots, driveways, elevators and lighting. The landlord also would handle insurance, property taxes and pest control.

• The landlord would offer over $2.6 million in infrastructure improvements and support the overall build-out of the space for UT.

• UT would handle the metered utilities like water, electrical and gas.

• UT would be able to terminate the lease at any time during the lease period with a reimbursement for improvements and a 120-day notice. If the landlord defaults, UT can exit the lease without reimbursing.

A UT spokesperson didn't have additional details on the plan, but was working on answers as the trustees' meeting gets closer.

What is the Southern Railway Station and Depot?

The Southern Railway Station was built in 1903 by Southern Railway to accommodate passenger trains and travelers. It remained in use until 1970 with the Birmingham Special as the last passenger train to pass through the station.

When the depot opened, it featured a dining room and a postal service office. The company's architect, Frank Pierce Milburn, designed both buildings in a vernacular style with a Classical Revival architectural influence. The station and depot are made of brick with stepped gables.

The building was placed on the National Register of Historic Railroad Landmarks list in 2003 and became a destination for offices and private events. Blue Slip Winery moved into the station in 2015 and announced earlier this year that it planned to move.

Keenan Thomas is a higher education reporter. Email [email protected]. X, formerly known as Twitter @specialk2real.

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This article originally appeared on Knoxville News Sentinel: University of Tennessee proposes lease for Southern Railway Station