Photo by john larson
OLYMPUS DREAMS. Korean Women’s Association has entered into an agreement to purchase the Olympus Hotel in downtown Tacoma.
Korean Women’s Association (KWA) has entered into a purchase and sale agreement to purchase the Olympus Hotel from Bellevue-based M&M Olympus Hotel Limited Partnership.
KWA Executive Director Lua Pritchard announced the deal during the Aug. 4 meeting of Tacoma City Council’s Neighborhoods and Housing Committee.
The structure near the intersection of Pacific Avenue and South 9th Street downtown was built in 1909. It eventually became an apartment building that serves low-income tenants. It has 49 units, with 11 studio apartments, 27 with one-bedroom and the remainder two-bedroom units.
KWA, a social services agency, has been interested in purchasing the building for the past year.
Pritchard said her agency has 90 days from the signing to conduct an assessment of the condition of the structure, including its mechanical and electrical systems. The agency can opt out of the deal before the 90 days are up. “We are praying we won’t find things we cannot deal with,” she told the committee.
Rather than purchase the building outright, KWA would purchase the general partnership, which will allow the agency to keep tax credits associated with the ownership. Those tax credits will remain in place until 2015 as long as the units are reserved for people with low incomes.
Assuming KWA moves forward with its plans, it expects to spend $345,000 renovating the exterior and $325,000 renovating the interior.
There is street-level retail space in the building. Paddy Coyne’s Irish Pub occupies one space. Pritchard said that lease will provide needed revenue for the agency. One vacant space could undergo a $200,000 renovation. Pritchard said it could be ideal as a dim sum restaurant.
In recent years, the Olympus has been the source of complaints from some downtown merchants in regard to criminal activity in and around it.
Pritchard said current tenants would be reevaluated by her agency to determine whether they would remain there. Tenants would be subjected to drug testing, she added.
Pritchard said a professional management company will be hired, with a manager living in the building.
She said KWA would be willing to offer social services to tenants needing help with personal problems.
The agency will strive to be a good neighbor. Pritchard said an Olympus owned by KWA would mesh with the goals of council members. “You all have dreams of how downtown should look,” she said.
KWA may seek assistance in the form of federal Community Development Block Grants that are administered by the city.
Ric Teasley from the city’s Community, Trade and Economic Development Department said the next round of grants will be in spring 2009.
