Hay Building's third floor to see apartments, not condos
| Monday, Mar 23 2009 08:51 PM
Last Updated Monday, Mar 30 2009 04:24 PM
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The downtown Hay Building at 19th and Eye streets is going through some major renovations.
Like many projects hatched during the boom, plans for hip downtown lofts have taken a slight detour along with the economy.
Developers behind the remake of the Hay Building’s third floor now say apartments will fill the space at 19th and Eye streets.
A dozen units of about 750 to 850 square feet would target professionals working downtown, said Don Martin, marketer of the 1612 City Lofts project and owner of Metro Galleries, located on the building’s ground floor.
A rent range hasn’t yet been determined.
The updated project, 1612 City Lofts Apartments, would retain loft stylings and allow for later conversion to condo units.
Originally, nine condos were envisioned. Bamboo flooring, eco-friendly materials and a community terrace were among chic amenities, along with pricing above $200 a square foot.
The company that owns the building is 19th & I Investment Group LLC.
One of its managing members, Eric Jencks, a San Diego-area developer, said seven soft deposits from potential buyers have been returned.
Jencks said the company is working with the city’s redevelopment unit for possible assistance since credit markets have frozen.
David Lyman, principal planner with the city of Bakersfield’s Economic and Community Development Department, said his office has been exploring the possibility of using state affordable-housing bond funds to move the apartments forward.
Another 19th & I managing member, Bakersfield real estate broker Eydie Gibson, said through Martin she hopes to formally announce the apartment project in May.
Construction work has stopped and three companies have filed liens claiming they’re owed money for work done at the site, though an owner of one believes the payment has been worked out.
19th & I Investment Group bought the building in 2005 for $450,000, county records show, and in fall 2007 borrowed $1 million against it.
The condo plan was going strong in spring 2008, when a series of open houses drew potential buyers.
But the recession and a sharp drop in local housing prices have changed the economic backdrop in the meantime.
