As the downtown Sacramento real estate market continues to heat up, the 800 J Lofts building has been sold for $57.4 million.
The building, which includes ground-floor retail tenants and 225 residential units, was sold by Los Angeles real estate firm CIM Group to investment firm The Wolff Co. of Scottsdale, Ariz. Wolff closed on the purchase last week.
When the building was developed by CIM in 2006, it was one of the most important downtown projects the city had seen in years. The site had literally been a blocklong hole in the ground for years, after a fire destroyed the shops that once sat there, and the city poured $16 million worth of redevelopment funds into the project. Amid criticism from former City Council member Jimmie Yee about the size of the subsidy, the development deal called for CIM to share with the city a portion of the building’s operating profits.
The total cost of the project was $52 million.
Today the 800 J building sits in a prime location, at Eighth and J streets, about a block east of the site of the new Sacramento Kings arena. Rents and property prices have been rising around the central city since the Kings began construction on the $447 million arena last year.
Its retail tenants, spread over 20,000 square feet of space, include Temple Coffee, Eyes on J Optometry and Sushi Paradiso.
Officials with CIM and Wolff couldn’t be reached for comment Wednesday.
Call The Bee’s Dale Kasler, (916) 321-1066. Follow him on Twitter @dakasler.