CORPUS CHRISTI, Tx — The mission to push downtown Corpus Christi forward is steadily moving as the Downtown Management District (DMD) proposed two new projects to the city’s Tax Increment Reinvestment Zone #3 (TIRZ) for funding.
“The two projects are the type of large scale developments that create the audience that supports retail," Corpus Christi Downtown Management District Executive Director Alyssa Mason said. "We are definitely on an upward swing. They’ve created a lot of momentum and being part of that and supporting those small businesses is really important in keeping it all moving.”
Along with private funding and other investments, the two projects cost a total of $42 million. At least $5 million of the budget will utilize the approved TIRZ #3 funding. The first project is Hotel Arya, located at 601 N. Water Street. Historically, this property was used to be the Nueces Hotel and then became the Bayfront Hotel.
According to the DMD, the new owners, YC Texas Hotel LLC, acquired the property in 2019 and are hoping to transform the 200-room property.
“There’s a lot of people that want to be in Corpus Christi," District 1 Councilmember Everett Roy said. "It will be kind of a boutique hotel. It’s been several different things in the past but it’s going to have an upgrade and it should appeal because of the location and the ability to walk around and visit the things in the area.”
The project costs over $24.3 million with $1.3 million coming from TIRZ #3 Streetscape and Safety Initiative Program, along with $775,000 from the Targeted Vacant Building Improvement Program. There will be a reimbursement of over $2 million.
Renovations include a new roof, entryway enhancements, new paint, new doors, new security cameras, upgraded lighting new landscape and more.
“I’m excited every time we have a project in the downtown area because I believe that our downtown is our mecca and it’s the center of our community and it needs to continue to be the center of our community," Roy said.
The second project is aimed at drawing more residents to the downtown area, 416 Flats, formerly known as Sea Gulf Villa Apartments at 416 N Chaparral St. The property was also acquired in 2019 and is considered a historic building.
It was first built in 1928 and used to be space for commercial storefronts and medical services. The DMD confirmed that the building was converted into the Sea Gulf Villa Apartments in 1979 and provided affordable housing for people living in the downtown area for more than 40 years.
“We bought Sea Gulf Villa and it was an existing 111-unit, project-based, section 8 property. It was in terrible condition," Property Developer and Fish Pond Apartments owner David Fourneir, said.
He and his team plan to renovate the entire 10-story building into 102 apartment units, townhomes and penthouses for rent. However, there is a lot of work to be done on the inside.
Fournier said construction will include new elevators, a reconfiguration of the common areas to include a seating area and new bathrooms, new vinyl flooring, fresh paint, new doors, repairs to the brick facade, restriping of the parking lot, parking lot fencing, new lighting, security cameras, and landscaping.
The bill for this project is less than the amount used for the development of Hotel Arya.
Fourneir said the new 416 Flats will be just shy of $15 million. He said private funding will be used to pay for it, as well as Downtown Living Initiative Program with an approximate reimbursement amount of $3 million.
“I grew up in New Orleans and there were several developers down there that really had an impact on making their downtown livable," Fournier said. "That’s what I saw growing up and I had an interest in it from a young age. So I’m pretty excited about this project."
Fournier said the plan is to have construction on 416 Flats completed in the next two years.
As for Hotel Arya, the community can expect it to be open by spring 2025.
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