The former 17,000-square-foot building that once housed the Staples office supply store at 410 State St. and a nearby appliance store on Anacapa Street have been leased to a tenant who wants to convert them into 84 housing units.
Steve Brown, principal and co-founder of Radius Commercial Real Estate, and Radius colleagues senior vice president Bill Hagelis and associate agent Miles Waters represented both parties in the transaction.
They negogtiated a 99-year ground lease for the entire property fronting Gutierrez Street between State Street and Anacapa Street. The site comprises the former Staples property and the Reid’s Appliance building at 409 Anacapa St. and the parking lot in between.
The new tenant has received tentative approvals from the City of Santa Barbara to construct 84 apartment units over the property’s existing parking lot, according to Radius press release.
“The property actually falls within the city’s AUD (Average Unit Density) Priority Housing Overlay, which does not require a zoning change,” said Radius’ Vince Coronado in an email.
The deal, which includes more than 1.5 acres of commercial land, has been in the works for more than two years. The Staples building has been vacant since 2018, Radius officials said.
“The project is much needed good news for the downtown commercial corridor at a time when retail vacancy has skyrocketed due to the effects of COVID as well as the continued dearth of the retail sector across the country,” the Radius press release said.
“This is a boon for the community as we continue to find ways to stimulate the rental housing supply in the downtown market and bring more economic vitality to support the merchants who have buckled up to weather these past few years,” Brown said.
Posted Oct. 9, 2020.