Bob Shallit: High-rise hopes fall short again at Eighth and I

Hopes for an office tower and high-rise housing at Eighth and I streets downtown have been dashed again.

The CIM Group, a Hollywood-based developer, has opted out of its plans to buy the parcel, raze the existing building and build a new one, says Rob Leonard, economic development director for Sacramento County, which owns the site.

CIM's move follows a similar decision last year by Texas home builder D.R. Horton to abandon its plans for a 21-story "Library Lofts" project at the same site.

Leonard says CIM's decision was a "sign of the (weakening real estate) market" and an indication that CIM is focusing on other local projects, including a joint venture with CalPERS at the former John Saca high-rise condo site at Third and Capitol Mall.

As for backing out of the Eighth and I streets project, CIM exec John Given says there were "some great ideas but it didn't come together."

What happens now at that location, where a three-story, former Bank of America building now sits vacant?

Leonard says the county likely will hold the land until the market improves.

Meanwhile, he adds, "we've heard from a couple of private and public (entities) that might want to lease the building."

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Ever so humble: We've finally got a name for the Nevada businessman who's bought the Granite Bay mansion formerly owned by actor Eddie Murphy.

He's Patrick K. Willis, a developer who also owns a nationwide group of repossession and collections companies that bears his name.

Willis, who couldn't be reached for comment, spends time in both Sacramento and Nevada. He intends to use the former Murphy manse as a "second home," according to Realtor Nick Sadek.

"We finally closed on it," says Sadek, revealing that Willis paid $6.1 million – a $400,000 discount from the asking price – for the 11,200-square-foot main home and 5,200-square-foot guest house.

It could be the highest price ever paid for a home resale in the three-county area.

The deal closed Friday after delays reportedly caused by a change in the lender's policies. "Their new maximum loan was $3 million," Sadek says, which stymied the deal until the bank relented and the sale went through.

As part of the package, Willis also picked up many of the home's custom furnishings purchased by Murphy and his ex, Nicole Mitchell Murphy, including a rare Schimmel Pegasus grand piano valued at nearly $200,000.

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No refund: One of the founders of Roseville venture capital firm American River Ventures is scaling back his company involvement.

Corley Phillips will stay on board until ARV sells its interests in the 13 companies remaining in its portfolio. But, he says, "I've declined to be part of the next (venture) fund" for which ARV is currently raising money.

Phillips says the life cycle of a VC fund typically lasts 10 years – five to make investments, five to "harvest" the profits.

"I didn't want to make that kind of commitment (again)," he says, adding he wants to spend more time with family and friends.

Could there be another startup in Phillips' future? Sure, says the veteran tech entrepreneur, but only if it's a part-time role.

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Caffé, anyone? Look for changes coming soon at midtown's Weatherstone Coffee & Trading Co.

The cafe has been sold by Sacramento's Java City to a couple from Italy – the home of espressos, cappuccinos and macchiatos.

"They know how the cafe business works," says Chelsea Segovia, a shift supervisor at the 21st and I streets coffeehouse.

The new owners, who will take over the business Jan. 1, reportedly plan to expand the menu and begin table service. The couple couldn't be reached for comment.

While under Java City ownership, the cafe had to follow the chain's standard menu. "Now we can experiment a little," Segovia says.

Segovia says staffers learned about the sale last week. Some employees were "pretty iffy about it," she says, "but I'm open-minded."

When it comes to running a cafe, she added, the new Italian owners "have a lot of good ideas."

About the writer:

• Reach Bob Shallit at (916) 321-1049 or bshallit@sacbee.com. Back columns: www.sacbee.com/shallit.