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Published in Real Estate

Salem Makes Fresh First Impressions With New Construction

downtown, real estate,

Salem is making fresh first impressions thanks to a sea of modern renovation, reuse and new-construction projects located primarily in its downtown core.

It hasn’t happened by accident, says Mayor Janet Taylor, who points to both the city’s adherence to a study commissioned by the Urban Land Institute in 2006 and to careful planning as critical to the city’s ability to buck current national trends.

“We’ve been very aggressive in using urban renewal funds to stimulate projects on property the city owned,” Taylor says. “What we’ve done in the last four or five years is encourage private investors to partner with us to build developments on those sites, as well as purchase other properties and renovate or reuse those also. And most of the developers are local, which is a huge boon for us.”

While several developments are still in the planning stages, the advance numbers are impressive: In early 2008 there were 50 residential units downtown, with another 140 or so under construction. Now there are at least 400 more in the works, and the office/retail sector is posting similar strong figures. Much of this is due to the city’s economic improvement district, which was enacted in 2008 to boost the downtown area’s fortunes. Much of the success, however, also is due to strong oversight from city officials and other stakeholders.

“We had some real thoughts for what needed to be done, and we wanted to make sure we got a good mix of choices,” Taylor says. “That meant everything from various housing prices for the residential components to different types of retail and entertainment in the shops. That mix is important, because that’s what keeps it healthy.”

Among the newcomers to Salem’s skyline are: WaterPlace on Liberty South near the Vern Miller Civic Center and Grounds, a six-story office complex that is aiming for LEED Gold certification for its environmentally friendly construction; the Meridian, a six-story medical and professional office complex with luxury condominiums on its top floors at the corner of Mission and Commercial streets; and Salmon Run, a three-story, office/residential project just south of Pringle Parkade.

The largest of the emerging players is the Boise Cascade development, named for the former paper-converting plant that sat for decades on the 13-acre downtown site. Private developers plan to convert the property into a mix of housing, office, residential and retail areas, as well as restore some green space, says Tim Gerling, project manager.

“All told, it’s going to take four to seven years for the entire project to be completed, and a lot of that will depend on the economy,” Gerling says. “But people will see the demolition activity immediately, and then construction on the south end after that, so there’ll be something to see right away.”

The project is bisected by a Portland & Western Railroad line, as well as by Pringle Creek, both of which will factor into the final development. The south end of the property, adjacent to Riverfront Park and fronting the Willamette River, will be a mixed-use zone, with some structures saved and redeveloped.

“This is really going to set Salem off as a place that’s different and unique,” Gerling says. “A real signature development like this will help the overall picture and go a long way toward helping Salem feel like it’s finally grown up.”

Story by Joe Morris

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