Developer Plans to Turn East Sacramento Office Building into Senior Housing

Thursday, December 10th 2015

SACRAMENTO, CA – Panattoni Development Co. is planning an assisted-living facility on the site of an existing East Sacramento office building.

Tim Schaedler, the company’s Northern California partner, said the firm has already completed a feasibility study for the project, at 5301 F St. It’s also looking for a company to run the facility.

“There’s really been a 10-year lag of developing facilities like this here, and the overall market has had demand for this type of facility pick up,” Schaedler said. While most developers look for empty land for senior housing, Panattoni plans to convert a 65,000-square-foot office building it bought in May.

The building’s former tenants included physicians affiliated with Sutter Memorial Hospital until that medical center closed this year. The Panattoni plan would turn the three-story building into a facility with 164 beds, according to the company.

In addition to the existing building, the site plan shows a new two-story building north of it. In addition to assisted-living suites and 40 memory-care suites, the development would have an interior courtyard, living room, dining room, kitchen and activity areas. Primary access would be from a covered entrance off E Street on the west side of the property.

Schaedler said the project will require a conditional-use permit from the city, and Panattoni hasn’t filed a formal application yet. But the company has been meeting with neighbors and neighborhood groups to inform them of the plan, he added.

“We need to find an operating partner, and then we’ll put together a schedule for a development timeline,” he said.

Panattoni is wrapping up a notably busy 2015, according to the company. In addition to several projects in the Bay Area, Panattoni is working on a new medical office for Dignity Health in Citrus Heights, and secured a 300,000-square-foot lease in West Sacramento.

http://www.bizjournals.com/sacramento/news/2015/12/10/developer-plans-to-revamp-east-sac-office-building.html