Mayor Paul Soglin is giving JDS Development and Exact Sciences Corp. more time to explain how a recent sharp decline in the stock value of Exact Sciences will affect the proposed $200 million Judge Doyle Square project, where the company would be a key tenant.
JDS/Exact Sciences was supposed to submit much-anticipated answers on Wednesday, but Soglin is granting a request from the developer and growing biotech company to submit a report on Monday.
The mayor’s office sent out a brief statement on the delay on Wednesday with no explanation beyond the request from JDS/Exact Sciences.
The delay was sought due to sensitivity about making information public before Exact Sciences releases third quarter earnings on Thursday, Exact Sciences spokesman J.P. Fielder said.
In early October, the U.S. Prevention Services Task Force issued draft recommendations on Exact Sciences’ Cologuard screening test for colon cancer that triggered a large drop in the value of the company’s stock. Valued at $18.53 on Oct. 5, Exact Sciences’ stock dropped to $8.50 by the end of that week. It closed at $8.11 on Tuesday.
Soglin, Exact Sciences and JDS have all voiced confidence in the fast-tracked project, but questions about the company could lead to a different sequencing for or other changes to the redevelopment. A delay presents an opportunity to address some city concerns and improve the project, officials said.
JDS, made up of Hammes Co. and Majestic Realty, has proposed a 250,000-square-foot headquarters for Exact Sciences and 107,000 square feet of expansion space, a 216-room hotel for Monona Terrace, commercial space, a bicycle center and 1,250 parking spaces on blocks that now hold the Madison Municipal Building and Government East parking garage.
On Sept. 30, at 3:15 a.m., the City Council voted 12-6 to approve an agreement with JDS. The redevelopment relies on $46.7 million in public investment, including a $12 million grant to Exact Sciences to help it create at least 400 jobs Downtown.
On Oct. 14, Soglin wrote a detailed letter to Exact Sciences CEO Kevin Conroy and Hammes President Robert Dunn with a series of questions on the federal draft recommendations and recent decline in stock value.
He initially asked for answers by Oct. 28.
The project was just beginning a review process for design and other planning elements, but the process has been put on hold.