One of Sacramento’s busiest developers is assuming control of one of downtown’s most troubled properties.
Sotiris Kolokotronis will be the lead developer of an ambitious project that would transform a blighted corner at 10th and J streets, where developer John Saca has city entitlements to construct a 40-story condo and hotel tower called The Metropolitan.
Councilman Steve Hansen, who represents the central city, said he was “cautiously optimistic” that work would finally begin on the property that sits just one block from City Hall and across the street from the Citizen Hotel and Cesar Chavez Plaza.
“This is the most progress we’ve had with a proven development team to bring a project to fruition at the site,” Hansen said. “I’m cautiously optimistic that we’ll finally see progress.”
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Kolokotronis, the Grupe Co. of Stockton, and Saca Development have formed a joint venture to develop the land.
“Our city is in desperate need of housing at all levels and we are happy to be adding 10th and J to the mix,” Kolokotronis said in a written statement. “This project will be a great addition to our city’s growth.”
The project’s details are not final. But a press release Thursday said “the vision is for a mixed-use project with ground floor retail, a 200-door hotel and 250 apartments.” The development group has asked for an extension of city entitlements first granted to the project in 2007 and extended last year.
Grupe President Mark Fischer said the development team believes downtown Sacramento is blossoming and that the economic conditions are right to develop the 10th and J site.
“We will look at it from a housing, commercial and mixed use standpoint to see what makes the most sense economically,” he said.
The developers hope to submit their plans to the city by the end of the year.
The agreement between Kolokotronis and Saca had been in the works for several months after Mayor Darrell Steinberg brought the sides together.
“I’m pleased to say that Sotiris Kolokotronis will lead a new development team working to bring an apartment and hotel project to the northeast corner of 10th and J streets,” Steinberg wrote on Twitter. “Our city is too vibrant to accept an eyesore in the heart of our downtown.”
A spokesman for Saca said last year the proposed multi-use tower was viable amid an improving economy – but that Saca needed “some assistance from the city.”
Koloktronis has re-emerged as one of the central city’s most prominent developers. He is involved in several large housing developments, including a 253-unit apartment building on 21st Street.