Sacramento: 301 Capitol Mall: A New Plan for The Towers Site

[mechanico]

Originally Posted by enigma99a

Hopefully Saca won't give up, and maybe in a couple years if the market rebounds, he can try again

If this project falls through it falls through completely, atleast in Sacas case.He is in default and Joe Mohamed can pull the plug and take over the property free and clear, sticking Saca with all the related debt. It was a smart move by Mohamed, buying the note on the property.

[Majin]

So it goes from good news to its over in less than a week?

I can't believe this project would fall through with this much money invested in it. This is extremly troubling.

[BrianSac]

I'm wondering if it has someting to do with how bad the housing market is now.

Interest rates are still good, yet so few are buying or selling. If rates rise, the market is really going to tank very badly.

Median housing prices have dropped 6-10% in the last year.

Inventory is very high, and I personally know 3 people who have not been able to sale their houses since Sept. All three are borrowing money to keep the mortgage current on the homes they can't sell.

[enigma99a]

Originally Posted by BrianSac

I'm wondering if it has someting to do with how bad the housing market is now.

Interest rates are still good, yet so few are buying or selling. If rates rise, the market is really going to tank very badly.

Median housing prices have dropped 6-10% in the last year.

Inventory is very high, and I personally know 3 people who have not been able to sale their houses since Sept. All three are borrowing money to keep the mortgage current on the homes they can't sell.

I'm a young professional who currently doesn't own a home and even though I could easily afford one, I am holding off since the market continues to tank. I'm sure there are a lot of other people with the same mindset...

Back to subject of Saca, I think if he started 1-2 years earlier, it would already be 40-50 stories in the air by now. But how could he have known? The market was booming when he started this project.

[NewToCA]

If it ends up not being built now, I think it is important that they keep the building proposal as is for later development, say in about 2-3 years. I think that the market for the Towers exists, but folks are too hesitant to jump into real estate now.

But the growth in Sacramento is absolutely guaranteed. And the need for this building is not in doubt. For the time being, developers and the city need to focus on what needs to be done to make it more desirable to live downtown, such as upgrading and expanding Down Town Plaza, fixing up K St and getting the Railyards going.

I have a lot of confidence in this stuff all happening if we just keep building on momentum. Right now, big towers may not be a good idea, but we can set the stage to make the demand increase.

I've seen three major real estate cycles since the late 1960's and this downcycle doesn't look any more permanent than the others.

[mechanico]

This project is not dead, it's just mostly dead.

[snfenoc]

This project is not dead, it's just mostly dead.

Sincerely,
Miracle Max from "The Princess Bride"

[mechanico]

Originally Posted by enigma99a

But how could he have known? The market was booming when he started this project.

The vast amount of overspeculation was a hint.

[innov8]

For those of you keeping a tally, the sales office is closed today

[enigma99a]

What a wound Saca left for the city. Now everytime I walk by there I will be reminded

[mechanico]

Originally Posted by innov8

For those of you keeping a tally, the sales office is closed today

Are there any saleman to fill it? If they are working on commision they are probably starving at this point and I imagine they have bailed.

[econgrad]

Thank you for joining the Towers on Capitol Mall mailing list. You are now entitled to receive valuable updates. A member of the Towers Sales Team will be contacting you shortly.

Phase 4 has just been released.

Don’t miss this final opportunity!

We can only sell 100 more homes at pre-construction pricing before sales stop




Thats the email I got today....

I am still hoping I guess...

[vicinsac]

What I know is that the sales people were being let go periodically one by one, but there are sales people still working for the towers, inc.

I can't say if the sales office has been close permanently or they are just getting ready for something. I will post if I know something.

[Dieler]

Originally Posted by Majin

I can't believe this project would fall through with this much money invested in it.

So I think we all want to see Saca succeed with this project, but.....


Who wants to sepulate what happens IF he defaults on his CALPERS agreement?

Anyone think CALPERS will move in and take over the project?

What might the Towers look like and what features might they have after a CALPERS redesign?

[BrianSac]

I will be highly disappointed if whatever gets built is less than 600 feet tall.
Keep it tall. Build only one building if necessary.

If they are not going to be "tall" then they should be unique and different in design with a distinctive roof or crown.

A three-building design might be nice if they going to be under 400 feet tall.

[foxmtbr]

Originally Posted by Dieler

What might the Towers look like and what features might they have after a CALPERS redesign?

They would cut back on material costs to maximize profits.

[ltsmotorsport]

The state and their architects.

[TheDerek]

Originally Posted by foxmtbr

They would cut back on material costs to maximize profits.

are you sure thats cheese? looks like a nerf ball to me. Oh well, as long as the cheese comes from happy cows

[TheDerek]

I couldn't resist...

BTW doesn't the design call for heliports on both towers? I suppose that's what those flaps are supposed to be?

[dcox20]

thats hilarious - wouldn't be surprised to see that in the Bee in the near future.