[elmariachi]

Adolfo Pesquera
Express-News business writer

The developers of a River Walk luxury condominium community with river- and street-level retail this week bought three downtown buildings on the proposed site.

RTK Development Group and Raba Design Group bought the site for the Piazza San Lorenzo, an Italian-style plaza first proposed for the site in 2003. Their $10 million acquisition of the Book, Clegg and Solo Serve buildings brought the project a big step closer to reality.

Demolition of the Solo Serve building is expected to begin in 120 days, said Larry Raba, head of RTK Development. The other two buildings are considered historic and will undergo renovations.

"We're probably 50 percent complete with all of the architectural and engineering plans," Raba said. "We'll be going back to the Historic Design Review Commission for approvals."

The 1.29-acre site will include an eight-story, 25-unit riverside condominium tower with an adjoining 47-unit, 11-story fractionally owned vacation condominium tower facing Soledad Street.

There are 17,000 square feet of river-level retail shops and cafés planned, with another 30,600 square feet of boutiques and eateries around the street-level plaza.

"We expect most of the condominium units to be presold and essentially all of the retail, restaurant and office space to be leased within 60 days," said Brian Carlton, associate director of Holliday Fenoglio Fowler LP, a national commercial loan broker that arranged financing for the project.

Oklahoma-based Stillwater National Bank made the deal possible with a $7.5 million loan.

"(HFF) grabbed hold of this project and within three weeks had it funded," Raba said. "We approached (Stillwater) on the loan and they closed 11 days later. They loved the project."

Sales on the sole-proprietor condominiums will be through an RTK subsidiary, Condos at San Lorenzo. The fractionals will be sold though an international group that Raba declined to identify. Retail leasing will be through D.B. Harrell.

Carlton said HFF is working to arrange construction financing. Construction should begin in late summer with completion sometime in early 2007.