Phase I: Elliott Building
16th and J
-18 Loft Units
-1 Floor Offices
-Retail: Mikuni Sushi and PF Changs
-Completed: Nov 2003
Phase II: O1 Lofts
16th and K
- 14 Loft Units
- O1 Communications HQ
- Retail: Bistro 33 and Design Within Reach Studio
- Groundbreaking: Nov 2004:
- Est Completion: Oct 2005
http://www.loftworks.biz (cool site)
Michael Heller - Heller Pacific
Mark Freidman - Fulcrum Capital
Glenn Sorenson - Sutter Commerical
Bob Walsh - Walsh Construction Company
Randy Boehm - Walsh & Forestor, Inc
16th and J; Ron Vrilakas
16th and K: FFA Design
If any of you have been to the corner of 16th and J over the last couple of years you will notice that there is a new buzz to Sacramento that had not really been seen before in that part of town. Lots of people walking in the streets, people laughing and having a good time.
Welcome to the new East End Lofts.
To me, this was the first project in downtown that really showed what could be the future of Sacramento if we embrace mixed-use developments such as this.
This project consisted of transforming a old auto dealership that had become an obsolete, darkened eye-sore, on one of the most heavily traveled intersection of our central city into what we see today as a bright lively intersection that combines housing, office space, 2 great entertainment restaurants, that have turned 16th and J into a cornerstone in our city.
If you do not believe this is something that can be offered in Sacramento, take a trip down there on Thursday, Friday or Saturday night and see what I mean....the times have def changed since I was younger
The one of the most important parts of this project that I think gets over looked is the fact that it showed developers, lenders and retail tenants that these projects are feasible, and most MOST importantly, profitable.
The fact that PF Changs and Mikuni's both signed 10 year leases showed that restaurants were beginning to see the long neglected potential of downtown Sacramento. 16 of the 18 lofts were preleased before the project was even completed, thus showing that there is a demand from people to living in loft-style units in our urban core...even at an eye-popping $2500-$4500 monthly rent. This project will pave the way for developers who wish to do projects like this to obtain financing much easier than in the past.
What made financing this project much easier was the fact that in addition to the leaes from PF Changs and Mikuni's, the 2nd floor offices were also leased for 10 years by Fulcrum Proerties, and Dickstein & Zerbi Law Firm.
Another big part of the financing of the project was the help from the City of Sacramento. Since the building was built in 1922, the building did not meet many of the currnet building codes in place, most important (and expensive) were structural, seismic and Americans With Disabilities Act upgrades. To make this happen, LoftWorks negotiated with the city of Sacramento for a $3 million subsidy to help with these improvements
The part that is scary about this whole process is that no more than 6 or 7 month prior to this development team coming in with this project, the building was almost turned into a telecom hotel that is bascially used for telcom switch storage and that that would have killed any life on that corner. Think the SBC buildings on J Street between 14th and 15th...scary thought considering what we have now.
The second part of the East End Lofts is currently being built on what used to be a surface parking lot directly next to the Elliot Building. This building will hold 14 loft units on the 3rd and 4th floor which will rent from around 1200-1500 a month, the HQ for a local company O1 Communications on the 2nd floor, as well as Bistro 33 (owners of 33rd Street Bistro and Riverside Clubhouse) and a Design Within Reach furniture studio. The project
This project will continue the synergy that was first started with the Elliot Building, and will be followed up by the East End Gateway (please see blog before this for details) in creating a wonderful 16th Street living, dinning, shopping and entertainment experience for all Sacramentians and visitors .
For some articles about the the East End Lofts and award received, please click on the follwing links: