Cornerstone Restaurant will have until Sept. 1 to move to its new location at a nearby vacant church.

The family-run restaurant's owners, Kwang "Joe" Jang and brother-in-law Danny Leung, reached an agreement with their landlords in court Friday.

The landlords agreed to let them keep operating at 2330 J St. while Jang and Leung remodel a Spanish-style church just a block away at 23rd and K streets, said Jang, who sounded relieved.

"I'm excited about it," Jang, 42, said Monday. "I think it will be a better place: newer and nicer."

That also means Midtown residents won't lose an establishment that's been a neighborhood fixture for at least 20 to 30 years.

Cornerstone has served affordable breakfast and lunch every day at the corner of J and 24th streets for nearly 20 years, after Jang and Leung took over the location and name from its previous owner in 1994. Another restaurant had served breakfast and lunch at the same spot since the 1970s, Jang said.

Leung's sister and a family friend bought the church for $450,000 and will lease the space back to Jang and Leung, 41. The pair pitches in with cooking and waiting tables, and Jang's wife, Amy, regularly serves customers.

The new location will be about the size of the old: seating nearly 100 people in about 2,600 square feet inside, and sidewalk tables and a patio landscaped with palms and fenced for privacy.

The church's roof will be replaced, and skylights may be added. The exterior will be painted a brighter color. The owners plan to continue the American diner ambiance, even carrying over the same interior paint colors of cream with green trim. Fans, heat lamps, new air conditioning and more lights will be added.

"People who are coming will recognize this as the old Cornerstone — the one they've been coming to for 16 years," Jang said, "but with some upgrades to make them more comfortable."

Cornerstone's owners had been fighting eviction since December after buying a quarter interest in their current building. Four sisters had inherited the building from their parents, and one sister agreed to sell her share. The other three then decided not to continue the restaurant's lease, which was valid through the end of February, Jang said.

The building was constructed in the early 1900s and housed a Seventh-day Adventist church at least as far back as 1920. Several other churches went on to own it.

Vacant for three or four years, the building had been in escrow with several buyers. But the economy, a lack of available financing and the building's condition kept it from selling, said Colliers International Real Estate Broker Dave Herrera, who handled the sale.

The sellers had sought a higher price for some time, he added.

Cornerstone's owners will now turn their attention to preparing the new restaurant. Five months isn't a lot of time, Jang said.

"We really have to get the place going," he said. "And our customers have a definite answer on whether we're staying or leaving, and where we're going to go. So they will not think that we closed."

Cornerstone is open from 6 a.m. to 2:30 p.m. Monday through Friday and from 6:30 a.m. to 2:30 p.m. weekends.

Photos by Suzanne Hurt, a staff reporter covering business and development for The Sacramento Press.