‘A big vision for that block.' Plan calls for revitalization of part of downtown Tacoma

Yahoo

17-03-2025

A development company is seeking a $1.8 million loan from the city of Tacoma to help renovate 78 residential units and nine retail spaces in an area of downtown Tacoma, according to a funding request submitted to the city.
The Rialto redevelopment project, led by Seattle-based real estate company Urban Black with partner Great Expectations LLC, would renovate and redevelop three existing buildings on St. Helens Avenue and South 9th Street under the Ceiba Redevelopment LLC entity. Apartments would target people who make 30%-50% of the area median income and include workforce housing for front-line workers, seniors, veterans and students, according to the developers' funding request. The buildings include the Rialto Apartments, The Exley and the St. Helen's Building.
The loan from the city would help pay for the cost of architects and engineers, permitting, special inspections, storefront glazing, facade painting, management, insurance, renovations and fees, the request said. If the developers can secure funding from the city, the hope is the first rental units would be available by September, with final completion by October, according to the request.
'We have a big vision for that block,' said Kateesha Atterberry, founder and managing director of Urban Black. '[It will] breathe life into the area.'
For years, several buildings along St. Helens Avenue have been boarded. The Candy Market convenience store at the corner of Market Street and South 9th Street closed in February after management was behind on rent and agreed to vacate, said Ben Maritz, the CEO of Great Expectations LLC. The business faced issues over the years, including in 2022 when a clerk at the store stabbed a woman experiencing homelessness to death with a sword and was later found mentally incompetent to stand trial.
Design renderings included with the funding request depict newly painted buildings on St. Helen's Avenue with new restaurants and shops. Maritz told The News Tribune earlier this month that a new convenience store would open in the Candy Mart location and the Christian Science Reading Room at 756 St. Helens Ave. has renewed its lease and would remain.
Plans to update the commercial spaces were 'entirely unfunded' as of Sept. 26, 2024, according to the request.
Maritz said Great Expectations LLC wants to work with the Tacoma Housing Authority to bring affordable housing to the area. Although the companies are currently in the 'concept phase,' securing investment in the project would bring more traffic and investment to downtown, he said.
Tacoma Mayor Victoria Woodards told The News Tribune Friday she saw the project as an investment in Tacoma.
'[I'm] really excited that they were willing to purchase the building and keep the integrity of the space while modernizing it for those who are going to be able to use it, whether that is in the businesses or with the people who are residents of the building,' Woodards said. 'Broadway has been completely leased up. Last time I heard there are no spots open on Broadway, so revitalizing the next block up makes a lot of sense.'
City spokesperson Maria Lee said the developers' plans meet the City Council's priorities for affordable housing and revitalizing the downtown core.
'Ceiba has obtained site control of the properties and Community & Economic Development Department staff is underwriting a loan proposal for $1 million from [Urban Development Action Grant] Major Capital Projects funds to complete the redevelopment of the site(s),' Lee said in an email March 5. 'We would expect Ceiba to engage with the Planning & Development Services Department for permitting once a funding agreement has been negotiated and approved by the City Council.'
Lee said Thursday the funding request is currently being reviewed by Community and Economic Development staff for project feasibility. If the project is determined to be feasible, staff will present loan options to the city council to consider, likely in April, which may include UDAG funds, she said.
Pierce County recently announced it would contribute $1 million to the project from money raised by the Maureen Howard Affordable Housing Tax.
According to the project overview, the plan would include rehabilitating 13 vacant units and refreshing other units that become vacant in subsequent months. Underperforming tenants like 'Payee Service' and 'Candy Mart' would be removed as they 'contribute to negative street activity.'
The companies would engage with potential new tenants through the Downtown Tacoma Partnership and estimated an eight-month process to secure fully tenancy, with an additional six months for build-outs, according to the project timeline submitted to the city. Full occupancy of all retail spaces is estimated to be in mid-2026.
Atterberry said the company officially closed on the building acquisitions Sept. 9 and has been working closely with the mayor's office and the City Council on the project.
Urban Black is a Black-owned real estate development company that has done similar mixed-use affordable housing and commercial projects in Seattle, including at Pike Place Market. Atterberry said her company takes a 'mission-based' approach to master planning, focusing on community, small local businesses and 'respecting and honoring the local culture.' The Theater District project would be Urban Black's first in Tacoma, Atterberry said.
Great Expectations LLC has a number of affordable-housing development projects underway in Tacoma, including the 119-unit Cornus House project at 2502 Pacific Ave. and the 300-unit Arbutus House project at 109 S. 25th St. and 102 S. 24th St. in the Dome District, as previously reported by The News Tribune.
Atterberry said they hope to attract Tacoma local businesses to the new commercial spaces and said, 'We don't do franchise businesses. You're not going to see a Starbucks there, anything like that.'
The buildings Urban Black plans to renovate are currently boarded up and need a lot of capital and construction improvements, including mechanical, electrical and plumbing upgrades, she said.
'That takes a lot of money, and that's where that $1.8 million funding request is coming from,' Atterberry said. 'Being able to not only bring those spaces up to standard, it offsets the cost a local Tacoma business would pay to move into a space.'
Atterberry said they would offer lower rent than the downtown Tacoma area market rent and 'revitalize that street.'
'Kateesha's specialty is working with small business owners who come from diverse backgrounds — people of color, immigrants and so on. So we're really hoping to just have an awesome collection of entrepreneurs in that space who are wanting to contribute to downtown revitalization,' Maritz said.
More information about the project will be shared in a news release next month, Atterberry said. Any interested businesses can contact Urban Black at 206-701-1485 to tour and learn more.