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What can't one find at the K Street Mall? From The Crest to Esquire Grill and Cabana Club, boutiques and fresh-cut flowers, K Street's outdoor mall provides Downtown Sacramento with every necessity. Well, almost every necessity. Right now K Street Mall stands incomplete as nine properties between 7th and 9th Streets currently stand vacant. But hopefully not for long as the discord between the City of Sacramento and Moe Mohanna finally comes to an end.
On October 7, after two years of legal contention, the Sacramento City Council voted to end the eminent domain dispute with Mohanna, offering him a settlement of $18.6 million for his nine properties, located on blocks 700 and 800. With the decision's enforcement by the Sacramento Superior Court, the Housing and Redevelopment Agency can now assume ownership of the properties and make the changes needed to complete the K Street Mall.
However, Mohanna has not been cut out of K Street completely. He will be involved with the development of the 800 block as an associate of Bob Leach - as long as he and Leach agree to repurchase the properties for $150 per square foot. If they do so, Leach plans on building a 400-room hotel - he has already received a letter of intent from Hilton Hotels - with a mixed-use project facing L Street.
Block 700 is already slated to Joe Zeiden, owner of Z Gallerie Home Furnishings in Downtown Plaza. Zeiden plans to open a row of mixed-use retail tied to his Z Gallerie.
If Leach builds a hotel on K Street, it will only be within a three block distance from the new Citizen Hotel. Is it a wise decision to add another hotel, especially when there are already so many within so small a radius? What will building another hotel do to Sacramento's economy? How will this development help/hurt the neighboring Southside Park community?
"Undeveloped" is an interesting term...the property where that hole is was a block of businesses until fairly recently. An arsonist set a fire that destroyed the buildings, but since he was a minor the case is sealed. Has anyone explored why the fire was set, what the arsonist's motives were?