September 25, 2014 admin

Dominium, the developer renovating the historic Arcade Building in downtown St. Louis, has scheduled a groundbreaking for the $118 million project for Sept. 30 at 11 a.m.

The 18-story, 500,000-square-foot building is at 800 Olive St. The renovation project includes 202 lower-priced apartments and 80 market-rate one- to three-bedroom apartments, as well as artist studio space.

Webster University announced earlier this year that it will lease part of the Arcade building for classes, a 170-seat auditorium, kitchen and art gallery.

Paric Corp. began construction on the long-vacant Arcade in August. The developer expects to complete the Arcade project by the end of 2015.

The project's $118 million cost involves a mix of federal and state historic tax credits and New Markets Tax Credits through U.S. Bank ( about $78 million); loans (including one for $13 million from BMO Harris Bank);mortgages (including $4.2 million from the city of St. Louis and $4.2 million from the Missouri Housing Development Commission); and money from Webster University($4 million).

Minneapolis-based Dominium bought the Arcade in June 2013 for $9 million from the city of St. Louis’ Land Clearance for Redevelopment Authority.

Dominium has undertaken about $90 million worth of projects in the St. Louis area since 2001; the Arcade is its largest project here.