Joel Belding
Economic Development Director
Justin Tucker
Assistant City Manager
January 15, 2025
That City Council
provide:
1. Direction on the
proposed leasing
strategy
2. Feedback on the
design concepts
3 Downtown Revitalization Project Plan
Continue acquiring and redeveloping properties in
the South Mall to complement other redevelopment
projects to create a vibrant restaurant and
entertainment block to support a larger destination
experience for residents and visitors.
4 City Owned
Privately Owned
Curate the
Look & Feel
Accelerate
Redevelopment
Facilitate Small
Business Concepts
Sustainable
Revenue
Stream
5 • Community Partners
• YMCA, CNUSD
• Entertainment
• Theaters, event venues, sports fields
• Retail
• Stores, cafes, kiosks
• Mixed use / Land leases
• PPPs, developments
6 7
Properties:
106, 114, 122, 138, 152 E. 6th
601, 675, 683, 725 S. Main
Leasable sqft: ~ 46,000
Leasable Units: 34
2 acquired units have leases
Improvements: • Tenant Improvements • Renovation & Demising of 601 & 725
601 South Main Street (6th street view)
Upscale food
and beverage
destination
• Steak House
• Distillery
• Coffee Shop
Architectural
upgrades to add
interior and
exterior space
8 Upscale food
and beverage
destination
• Steak House
• Distillery
• Coffee Shop
Architectural
upgrades to add
interior and
exterior space
9 601 South Main Street (Main street view)
601 South Main Street
10 725 South Main Street
Food Hall,
Activity, and Live
Entertainment
Center • Small food and
beverage uses
• Roller rink • Amphitheater
seating and
space for live
music
11 725 South Main Street
Food Hall, Activity,
and Live
Entertainment
Center • Small food and
beverage uses
• Roller rink • Amphitheater
seating and
space for live
music
12 725 South Main Street
13 Backyard
14 15
Range Estimates of Gross Potential Revenue
Size Most Likely High
601 S. Main 8,433 $319,884 $396,442
725 S. Main 17,260 $844,560 $1,092,960
6 th St & Main St units 20,201 $713,194 $784,513
Gross Potential Lease Revenue* 45,894 $1,877,638 $2,273,915 Est. Sales Tax Revenue (2%) $37,553 $45,486
Total Potential Revenue $1,915,191 $2,319,401
* at stabilization, without 3% annual lease escalator
16 Range Estimates of Net Operating Income
Most Likely High
Gross Lease Revenue $1,877,638 $2,273,915
Estimated Tax Revenue (2%) $37,553 $45,486
Revenue $1,915,191 $2,319,401
Market Vacancy (5%) $(93,882) $(113,716)
Non-recoverable Expenses $(248,437) $(327,841)
Debt Service $(1,516,963) $(1,596,726)
Expenses $(1,859,282) $(2,038,283)
Total Net Revenue* $55,909 $281,118
In Progress
8 spaces ready to
lease
Parking lot
renovation
(start Jan. 2025)
Contracts
Property
Management
Broker Services
Architecture &
Engineering
Funding
Up to $20M budget
for renovations &
improvements
Non-tax-exempt
Bonds
$1.6M annually
Lease revenues
3% escalator
Build
Parking lot
Spring 2025
Building plans
Winter 2025
Renovations
Spring 2026
First Steps
18 The
Wine
Down:
Wine and
Small Plates
Circle City
Tavern:
Modern
Gastropub
That City Council
provide:
1. Direction on the
proposed leasing
strategy
2. Feedback on the
design concepts