Acquisitions will reshape downtown Anchorage for the next 50 years
The Anchorage Community Development Authority’s (ACDA) Board of Directors has agreed to terms with JCPenney and their bankruptcy trustees to purchase the JCPenney parking garage and their majority ownership of the former Nordstrom building. It is expected that ACDA will close on the purchases by the end of the year.
“These historic acquisitions will provide the opportunity to redevelop two iconic city blocks in the heart of downtown and set the table for the next fifty years of growth,” said Andrew Halcro, Executive Director of ACDA. “While downtown has endured an ongoing recession for the last five years due to the drop in oil prices, state budget cuts and a pandemic, these acquisitions will give ACDA valuable development pieces to re-shape downtown once the local economy recovers in the next three years.”
“The purchase of these properties is why ACDA was formed as a development agency,” said Terry Parks, Chair for the ACDA Board of Directors. “Our primary goal after acquisition is to collaborate with private developers and create an exciting private public partnership on these two sites.”
The purchase of the three JCP owned parcels under Nordstrom gives ACDA 80% ownership with the remaining 20% owned by the family trust who originally built the building. The Nordstrom acquisition reduces the number of owners of the land from three to two making a re-development project easier to collaborate on and faster to execute.
ACDA has agreed to pay $1.7 million for the garage and $1.5 million for the majority stake in the Nordstrom building. The costs of these purchases will be paid for exclusively by ACDA with cash on hand and financing.
For more information about ACDA’s past and future development projects, visit www.acda.net.
Anchorage Community Development Authority
Founded in 1984, the Anchorage Community Development Authority (ACDA) is a public corporate authority for the Municipality of Anchorage. ACDA’s mission is to facilitate development and public parking for a vibrant community.