Luzon Options At Council
Last night’s City Council meeting was lengthy and included two public hearings, but was light on the Council members. Only five were in attendance, including the mayor. However, it was enough for quorum and business got done.
Ordinance 27657, the proposed changes allowing the height increase on the Thea Foss was read for the first time. It will be voted on in the next Council session. (Previously on Exit133) But the big item on the agenda was Resolution 37314, the execution of an agreement with the Gintz Group to restore the Luzon. This resolution passed unanamously.
The Resolution will provide the Gintz Group with help to restore the Luzon and turn it into commercial condominiums on all 6 floors. The total project cost is estimated at $6 million. The City will help the project by providing a $1.65 million loan, and help navigate the permits and tax credit options. There are two options for the terms of this loan which are still being debated, largely because of some possible federal tax credits, but the end result is a rehabilitated Luzon and a full return on investment for the city.
The simple financing proposal is for the City to provide a no interest loan to the Gintz Group, with full repayment in 15 months when the project is completed, as well as 50% of the profits made on the sale of the building at completion. The complicated version involves federal tax credits, which have provisions for the sale of the building attached. In that version the City’s loan is extended past the 15 months and there are some fancy accounting requirements to compensate for the tax credits and charge interest after the initial construction phase. Upon sale of the building the City would still receive 50% of the profits as originally planned.
The Contract includes provisions for open records of all expenditures and the addition of land for an elevator and stairway. Financially, it could be complicated, but the bottom line is that we could see the building restored completely by Fall of 2009. And we like that idea.
Filed under: General
22 comments
J John Moltz November 15, 2007
I wish there were going to be some retail in it but I’ll take it! That building has been vacant as long as I’ve been in Tacoma and to see it alive again would be awesome.
E Erik B. November 15, 2007
If everything goes well, they should start work by June of 2008.
Let’s hope the building holds up that long so this thorn can finally be removed from the proverbial side of downtown without razing the building.
C Crenshaw Sepulveda November 15, 2007
It seems to me that most communities of any size have a building like the Luzon, much is said about it and very little done about it. It will be refreshing to see something done with the Luzon. I don’t think it will be a great money maker for anyone but it will get the Luzon off the list and get the city on to more important things to address. I guess we are overly blessed in Tacoma with many building not unlike the Luzon that need some love and repurposing.
B Bell Capt: November 15, 2007
“GO GINTZ “ and thank you to the #5 C/Council members able to vote for this much needed “make-over”: We shall be patient but the PURE JOY of seeing tree’s no longer growing out the windows of this landmark is worth the wait-who knows- maybe the Woolworth’s lunch crowd on those stools is on its way back !
C Crenshaw Sepulveda November 15, 2007
Often the talk around here comes around to a grocery store downtown. I can’t, for the life of me, think of a better location than the Broadway entrance side of the Woolworth’s building. Maybe it wouldn’t be the biggest store as a grocery but if downtown is going to have a real grocery store this would probably be the best place to have one. I know that the location is occupied and I have no idea who owns it, but a grocery store in that location would be very sweet and very workable. And, by all means, the old lunch counter there should make a come back.
T The Gulag November 15, 2007
The Old Woolworth’s is, basically, a big automatic telephone operator. At least that’s what I believe it has been since 1993.
C Crenshaw Sepulveda November 15, 2007
If it has been that since 1993 the technology should be at the point where the whole darn operation should be able to fit into something the size of a kid’s lunch box, what a waste of space.
T Tacoma (A)roma November 15, 2007
The Luzon has always been a favorite building of mine. Its been in that state of disrepair as long as I can remember(surprised its still standing to be honest)
Its on my way to work every morning; it will be nice to see it brought back to its beauty someday.
E Erik Hanberg November 15, 2007
Is that crazy spike still at the top of the Luzon? I haven’t been near the building in awhile from an angle that I could see it. I’ll look the next time I’m on the 705. I think it was a broken off flag pole … man that thing looked evil.
J jamie from thriceallamerican November 15, 2007
Dude, Erik, careful calling it “the 705”. I know you’re from here and all, but that sounds downright (shudder) Californian. (Sorry, Derek.) In the fine tradition of other highways such as 405, true locals leave off the article, meaning it is just “705”. (Don’t get me started on people that say “the 5” instead of “I-5”. I guess it at least helps identify the outsiders…)
Rant over.
Quick check out the office window confirms that there is indeed a spike on top of the Luzon. But I prefer the term “spire”.
A Andrew November 15, 2007
Jamie,
You got something against Californians?
Rage….. building…..
J jamie from thriceallamerican November 15, 2007
Do you really want to know, Andrew? :-)
D Derek staff November 15, 2007
Sorry, Derek
Don’t bring me into this…
B Bell Capt: November 16, 2007
Can we move this back to the “retail possibilties” of those of us who suggest a“short SAFE walk” to a ton of choice’s ! The parking garage “make over” is “retail on two streets- Commerce & Pacific”- the Gintz Group has a retail spot it will create for a tenant: thats a ton of options in the downtown core of T/Town. Can we get an order of “maxi fries-Taco Time style again without heading for 6th ave. (Crazy George’s Taco in the old days was the place for lunch)& the Woolworth’s counter of coarse.
C Crenshaw Sepulveda November 16, 2007
I, for one, welcome our Californian Overlords.
A Andrew November 16, 2007
Jamie:
Sure, why not?
I mean, I can see why there’s so much to hate… strong economy, beautiful natural resources, diverse population, extremely varied climate and topography.. I can go on, but those things alone are already horrible enough.
E Erik Hanberg November 16, 2007
Andrew, not that I’m bashing California, but we have all of those things in Washington too.
Strong economy: check.
Beautiful natural resources: check.
Diverse population: check.
Extremely varied climate and topography: big check. Rain forests, desert, mountains, inland sea … oh yeah.
J jamie from thriceallamerican November 16, 2007
Andrew, this is awesome. Sorta like the playground back in elementary school. I think the only proper Washingtonian response at this point would be: If you like it in California so much, why don’t you go back there?
A Andrew November 16, 2007
Jamie:
Come on now, you disappoint me.
The correct response is
“If you like California so much, why don’t you marry it?”
Better luck next time. :)
J jamie from thriceallamerican November 16, 2007
Dammit, you’re right. Been too long…
M Mofo from the Hood November 18, 2007
Question:
If you had access to 6 million dollars, what would you do with it?
S Squid November 20, 2007
Mofo, you kiddin? I’d buy a fixer-upper on the beach in Santa Cruz, California.