Tower Cranes at Aggie Square Project

Aggie Square Project along Second Ave. and Stockton Blvd.

After ground breaking in February, tower cranes are now in the air over he UC Davis Sacramento campus. This is the first phase of the development with two buildings, one for STEM research and the other for teaching.

Aggie Square Project along Second Ave. and Stockton Blvd.

Aggie Square Project along Second Ave. and Stockton Blvd.

Aggie Square Project along Second Ave. and Stockton Blvd.

Before

After

For Sale - 301 Capitol Mall

The Sacramento Business Journal is reporting that the CalPERS owned block at 301 Capitol Mall is for sale. No price for the full city block has been given but Turton Commercial Real Estate says they have received more than a dozen inquires and confident offers will follow soon. CalPERS has owned the land since 2007 when they bought out John Saca during the unsuccessful development of two 53-story towers.

It's being marketed as the single best development site in the central city even though nothing has been built there after several high-rise office tower proposals. Turton Commercial believes “any project on the site would need to be at least 500,000 to 600,000 square feet”.

 Here's a link to the broker's flyer. https://files.constantcontact.com/17...c.pdf?rdr=true

Colliers Sacramento Office Snapshot: Q2 2022

Sacramento Office Development Pipeline

After two years of occupancy losses, Sacramento posted it's first positive quarter since Q2 2020. It is possible we could see it turn negative again in the second half of this year as the State of California consolidated into new construction and it's overall plans to reduce office footprints by 20 percent (2.8 MSF) in the next few years. According to the Colliers report, the future of work will create uncertainty for the office marker moving forward despite it's current shift in the right direction locally. Read more here: Colliers Sacramento Office Snapshot: Q1 2022

Private and Venture Capital Investing

Are you curious about where private and venture capital are investing on the west coast? The Bay Area, with San Francisco receiving the most year-to-date at over $4 billion, Sacramento around $4 million. Read more here: Northwest Colliers Q2 Market Insights

Capitol Annex Demolition

Eastern entrance to the State Capitol and the Annex
portion that is slated to be torn down.

It appears the demolition of the eastern portion of the State Capitol is under way as both the stairs and portions of the granite exterior are being removed as part of the billion-dollar-plus project. While the legislature and Governor have already moved ahead making decisions about the Annex plans behind closed doors, three lawsuits are still pending to challenge the legality of the effort and could end up halting work midway. 

I find it very odd to walk around the construction site and not seeing a single sign posted about the project, almost as if the legislators are ashamed. All the other state offices being built in town have giant posters with pictures showing what will be constructed there someday. Even the monthly newsletter concerning this project have not been sent out in over two years. Remember, this is a $1.4 billion restoration, rehabilitation or reconstruction of the current State Capitol Annex. Estimated completion date in 2025.

There is very little known about what will actually be built once completed. These are some links I found useful. 

California lawmakers consider proposal for new billion-dollar Capitol Annex building (Architect's rendering)

State Capitol Annex Project (DGS)

Planned New Sacramento State Capitol Annex

Super Majority of Californians Oppose $1.4B Capitol AnnexProject as Planned

A overview map of all the underground construction and
size of the new Capitol Annex building

Southern side to the State Capitol where an
underground parking garage will be built.

Northeastern side to the State Capitol Annex
that is slated to be demolished.

Eastern side to the State Capitol Annex
that is slated to be demolished.

Southeastern side to the State Capitol Annex where an
underground parking garage will be built.

Southeastern side to the State Capitol Annex where an
underground parking garage will be built.

Southern side to the State Capitol Annex where an
underground parking garage will be built.

Southern side to the State Capitol Annex where an
underground parking garage will be built to the sidewalk.

Southwestern side to the State Capitol where an
underground parking garage will be built.

Western side to the State Capitol Annex where an
underground visitors center will be built.

Northern side to the State Capitol Annex that appears
 to be a staging area for construction.

Northern side to the State Capitol Annex that appears
 to be a staging area for construction.

1508 S Street Mixed-Use - 15S

15S seven-story mixed-use at 15 & S Streets

A new seven-story, mixed-use project is rising at 15th & S Street. After the demolition of six existing structures, the new building will have 12,800sf of ground floor commercial and 137 housing units, 69 parking space with a mechanized lift.

15S seven-story mixed-use at 15 & S Streets

15S seven-story mixed-use at 15 & S Streets

Sacramento County Courthouse Construction

The New Sacramento Courthouse concrete has topped out and in January the interior build out began. The core climbing forms have been removed. Construction began in November 2020 and is estimated to complete in November 2023. Updates

Sacramento County Courthouse seen from 7th & G St. 

Sacramento County Courthouse seen from 7th & G St.

Sacramento County Courthouse seen from 7th & G St.

Sacramento County Courthouse seen from 7th & G St.

Sacramento County Courthouse seen from 7th & G St.

Sacramento County Courthouse
seen from 7th & G St.

Sacramento County Courthouse
seen from 7th & G St.

Sacramento County Courthouse seen from I Street bridge

Sacramento County Courthouse seen from 5th & Richards Blvd..

Sacramento County Courthouse seen from 5th & Bercut Dr.

Sacramento County Courthouse seen from I-5

Sacramento County Courthouse seen from Hwy. 50

Downtown Sacramento Skyline Photos

Looking east over the Yolo Bypass Wildlife Area in the morning fog towards Downtown Sacramento

Downtown Sacramento Panoramic

Looking east from the Tower Bridge Gateway exit off Hwy. 50 in West Sacramento towards Downtown Sacramento

Downtown Sacramento Panoramic

Richards Boulevard State Office Const. Update

1.3 million sq. ft. state office buildings, completion expected in March 2024.

Richards Blvd. State Office Construction

Richards Blvd. State Office Construction

Richards Blvd. State Office Construction

Richards Blvd. State Office Construction

Richards Blvd. State Office Construction

Richards Blvd. State Office Construction

16th & V Mixed Use Building

This five-story proposal at 2131 16th Street would encompass 57,950 square feet with 60 multi-unit dwellings and 4,634 square feet of commercial space. A design review is currently in progress, no development cost or time for ground breaking has been given.This location is an entry point to the central city just two blocks off the freeway when you exit off Hwy. 50 and has been empty plot of land for many decades. 

2131 16th Street mixed-use proposal

2131 16th Street mixed-use proposal

J Street Seven-Story Residential Proposal

The site is located along the north side of J st spanning the full block between 17th and 16th St.  The proposed project at 1617 J Street is a new construction of a 7-story building with basement.  The basement will contain a parking garage, level 1 will be retail space, level 2 will contain a parking garage, and levels 3 through 7 will house approximately 200 apartments.  The total retail space on level is 39,904sf.  The structured parking within the basement and level 2 will provide 253 total stalls,  90 feet tall and total building square footage 347,063. The current building a the site (restaurant) was built in 1920 and is proposed for demolition. No construction costs or date has been provided. Documents submitted to Planning Dept. can be found at https://sacramento.agencycounter.com/

1617 J Street seven-story residential proposal

55 Years of History at 301 Capitol Mall

The lengthy history of 301 Capitol Mall can be exhausting, but as of last Friday, CalPERS will now sell the property and cancel the proposed 33-story mixed-use high-rise. For the last 16 years, CalPERS has spent nearly $70 million buying and maintaining the property, and now after three failed attempts to build at the site, it will be sold. The city block now resembles a wildlife refuge where raccoons and other habitat are thriving.

55 years of history at 301 Capitol Mall

The block was once the headquarters for the Sacramento Union newspaper, in 1967 the paper purchased the Capitol Mall address and built the publications headquarters. By 1994 the Union printed its last paper and went out of business. In 2005 the Towers of Capitol Mall were approved for construction at the site and demolition was done in preparation for two 53-story high-rises. By 2007, the developer was struggling to finance the project and plans were scrapped. CalPERS bought into the project in hopes of saving the proposal, but market forces stopped further work at the site killing the proposal.

In 2016 CalPERS teamed up with CIM Group and proposed a 30-story mixed-use building, the odd stacking of the tower was not accepted well by the public and later canceled. By late 2019 another proposal was offered that was as CalPERS teamed up with the development form Hines. This proposal was to be Sacramento’s tallest if built at 33-stories and 557 feet tall. It was seen as a better design, but as 2020 took hold and the pandemic pushed people to do more work from home, it became apparent there was no interest in more office space downtown. Currently, the Sacramento office market is in its eight straight quarter occupancy losses, millions of square feet are available and it might take many years to lease them back up to pre-pandemic levels.

Colliers Sacramento Office Snapshot: Q1 2022

Colliers Sacramento office development pipeline 2022 Q1

Occupancy losses continue in the first quarter for the Sacramento office market for the eighth straight quarter. The State of California accounted for the most negative absorption across the region this quarter and the Sacramento regions availability rate continues to rise as tenants office needs implement a hybrid work strategy. Colliers sees the outlook starting to look brighter with leasing activity starting to pick-up in the next six months as well as sales increase. Read the full ColliersSacramento report here.

Colliers Sacramento availability rate 2022 Q1