Sacramento's K Street Mall is getting a shot in the arm from a partnership that includes a growing local tech company.
M Corp, a Sacramento-based information technology and management consulting firm with government and commercial clients, said Monday that it is part of a group that purchased the century-old Regis Building on K Street and will eventually move its headquarters there.
Cathedral View LLC composed of managing partner Michael Stumbos of Stumbos & Co. Real Estate, M Corp and other investors completed the deal this week for the five-level building at the southwest corner of 11th and K streets.
Cathedral View paid about $4 million to a Southern California investment fund manager for the building, a former hotel with decorative terra cotta on the front. CB Richard Ellis Vice President Heath Kastner and Senior Associate Tony Whittaker handled the transaction. Umpqua Bank provided the financing.
M Corp hopes to be moved into the top floor of the 27,000-square-foot building by March or April. The company said it will modernize the current office space.
Currently, M Corp operates out of 947 Enterprise Drive, Loft C, off Howe Avenue in Sacramento. It employs about 100, most of those working with clients in the Sacramento area. M Corp has won multiple state contracts in the past couple of years.
"The Regis Building provides our company with the space we need to continue to grow, while experiencing firsthand and contributing to the revitalization of K Street," said Alex Castro, one of M Corp's three founding partners. "This building is a great opportunity for the company, our employees and the community."
The announcement was warmly received by Sacramento Mayor Kevin Johnson.
"M Corp is a fast-growing company with employees who will spend money at downtown businesses and contribute to Sacramento's economy," Johnson said. "The company also helps diversify K Street and encourages other employers to bring more jobs to our downtown core."
In September, M Corp was ranked No. 637 on Inc. magazine's annual list of the nation's fastest-growing private companies, based on revenue over the past three years. A year ago, M Corp was the primary contractor assisting in a massive database consolidation and conversion at the state Employment Development Department.
"It's a great location," Stumbos said of the Regis Building, noting that it's a block from the Capitol, across the street from the Cathedral of the Blessed Sacrament and situated amid restaurants, parking garages and the light-rail line. "It couldn't be better located on K Street."
Ambrosia Cafe anchors the ground floor of the building, which also is home to various lobbyist offices. A lower level, which was built before K Street was raised, also features office space.
"It was very well renovated" during the past 30 years, Stumbos said. "It's got all of the right elements. It's one of the city's jewels."
The building was formerly the Regis Hotel, but it was converted to a mixed-use building with ground-floor retail and offices about 30 years ago, a time when office space near the Capitol was in very high demand.