A Seattle-based developer has announced plans to construct a 200-unit apartment building in the parking lot of the former Macy's store in Arden Arcade. The project is part of a larger redevelopment effort that will also see the long-vacant department store converted into a self-storage facility.
Key Takeaways
- A five-story, 200-unit apartment complex is planned for the parking lot of the former Country Club Plaza Macy's.
- The developer is Tourbineau Real Estate Partners, based in Seattle.
- The vacant Macy's building, closed since 2016, will be converted into a self-storage facility.
- The project aims to utilize pro-housing laws to address the regional housing shortage.
- Units are expected to be market-rate, though a final decision has not been made.
Dual-Purpose Redevelopment in Arden Arcade
A significant redevelopment is taking shape at the corner of El Camino and Watt avenues, a prominent intersection in the Arden Arcade area of Sacramento County. Tourbineau Real Estate Partners, a developer from Seattle, intends to transform the underutilized space left by a former Macy's department store.
The plan involves two distinct components. The first is the construction of a new five-story residential building that will house 200 apartment units. This structure will be built on what is currently an expansive parking lot that once served the department store.
The second part of the project addresses the vacant Macy's building itself. Instead of demolition, the developer plans to repurpose the structure, converting it into a modern self-storage facility that will be operated by a major national brand.
A Landmark's New Chapter
The Macy's store at Country Club Plaza was a retail anchor in the community for over 50 years. Its permanent closure in 2016 left a large and highly visible property vacant, contributing to challenges faced by the surrounding shopping center. This new project marks the first significant plan to revitalize the site in nearly a decade.
Addressing the Local Housing Need
Ben Wong, the Chief Investment Officer of Tourbineau Real Estate Partners, highlighted the project's goal of contributing new housing supply to the area. The development team is leveraging recent state and local pro-housing legislation to streamline the process and help meet regional demand.
"We’re excited and look forward to redeveloping the former Macy’s at the Country Club Plaza... much of the lot that previously served as parking for the store will be freed up for new development. With the help of local and state pro-housing laws coming into effect, we plan to add new housing on the lot, which will be aimed at addressing the area’s long term housing shortage.”
While the firm has not finalized the pricing structure, Wong indicated that the apartments will most likely be offered at market rate. The decision on whether to include income-restricted affordable units is still pending.
Project by the Numbers
- 200: Total number of planned apartment units.
- 5: The height of the proposed apartment building in stories.
- 2016: The year the Macy's store permanently closed.
- 50+: Number of years the Macy's was in operation at the location.
Project Approval and Next Steps
An important aspect of the development is its potential to move forward without requiring a lengthy approval process. According to Wong, the project will likely not need to go before the Sacramento County Board of Supervisors for a vote. This is often possible for housing projects that conform to existing zoning and are supported by new state laws designed to accelerate housing production.
By converting an existing commercial building and developing on its parking lot, the project represents a form of infill development. This approach is widely encouraged by urban planners as it utilizes existing infrastructure and avoids urban sprawl.
The combination of a self-storage facility and a residential complex is an innovative use of a large, single-tenant retail site. The storage facility provides a new commercial use for the old building, while the apartments add density and residents to an established commercial corridor.
Impact on the Country Club Plaza Area
The redevelopment of the Macy's site is expected to have a noticeable impact on the Country Club Plaza and the surrounding neighborhood. Introducing 200 new households could provide a new customer base for nearby businesses and bring more activity to the area.
The project aligns with a broader trend across the country where aging shopping malls and vacant big-box stores are being re-imagined as mixed-use developments that often include housing, offices, and entertainment alongside retail.
As the Sacramento region continues to grapple with a significant housing deficit, projects that add hundreds of units are seen as a critical piece of the solution. This development in Arden Arcade, if it proceeds as planned, will transform a dormant commercial property into a new residential hub.
