Apparently the City’s push to “revitalize” by marginalizing lower income folks extends beyond the arena deal. The city is attempting to push out Joe Sun, a longtime fixture of the K Street mall, so that the entire block can be sold to Joe Zeiden, owner of Z Gallerie, for redevelopment into high-end retail. (Note for the literal-minded: the patrons are “lower income,” not the owners: “Joe Sun & Co. has sold blue-collar work clothes to Sacramentans for 88 years”)
Now, I have no clue what commercial real estate is worth, so to me $15 million for that plot does seem ridiculously high. But I think it’s more ridiculous that the city, which has let K street stagnate for years, suddenly wants to force out a 30-year old family business to bring in a high end chain store. With blocks and blocks of empty storefronts down the street. It’s just really sad, is what it is.
Also, this must mean that Zeiden already owns “Records,” the used record store next door to Joe Sun. How sad!
The Sac Rag 
The Joe Sun people own a property worth at least $2 million – not exactly what I’d call low income. The owners of Joe Sun have also been offered a spot in the new retail development, which they apparently have refused. I also don’t see how the city is “suddenly” doing anything. The plans for this block have been in development for at least a couple of years.
It sounds to me like the owners of Joe Sun are purposefully trying to hold the redevelopment project up to get a ridiculous amount of money for their property. If anyone deserves criticism, it’s Joe Sun’s owners, not the city.
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why should Joe Sun’s owners have to sell?
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after re-reading (thanks for making me clarify “lower income”) i stand by “suddenly.” the stagnation has gone on for longer than the redevelopment plans, according to facts i just made up.
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Because if they don’t sell, that block will look like crap forever? Because it’s better for the other 2 million people in the area if the block is redeveloped rather than run down and vacant? Because the Sur La Table cooking classes are cool? Take your pick.
Joe Sun’s owners absolutely deserve fair market value for their property, but it’s hard to portray someone holding out for five times their property value as the little guy in the path of a runaway local government.
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what’s vacant about Joe Sun?
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Redevelopment can really screw things up. The City of Tallahassee once had some of the most beautiful old housing stock and classic Southern downtown. It was all redeveloped into hideous ’60s office buildings and homes that haven’t held up well.
As for Sacramento … anyone remember the Tank Traps? Yeesh.
But still … sometimes change and even condemnation proceedings (with fair market value set by a court) are essential for a city to move forward. I was thinking about that this morning, looking at these pictures of Old Sacramento back when it was called the West End: http://www.flickr.com/photos/johntodd/sets/72157594216395110/
I bet a lot of those property owners didn’t want change, either. And although Old Sac is too touristy for me, I gotta say what’s there now is better than what was there then.
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I wish the City would put more effort into encouraging local, rather than washed out mall-esque chain stores like Z Gallerie. Certainly, they could make a better effort with Joe Sun. And Sacramento should not fear placing “local business” conditions on downtown development (which they won’t do, because our city council is so timid mice kick sand in its face).
But…
Carl’s right, that area desperately needs redevelopment. There’s been 30 years of “wait and see” on that stretch of K Street and little has changed. The current (or recently former) landowners have been unwilling or unable to make the location(s) attractive for new tenants.
Yes, the City has let K Street stagnate for years. But, if they’d undergone a redevelopment plan, any redevelopment plan, five, ten, twenty years ago the story would have been exactly the same. It would have been the City versus the Landowners, and locals versus chains. Only the hairstyles and the names of the chains would be different.
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30 years of wait and see and nothing’s changed… especially Joe Sun, which has been there the entire time.
Can anyone tell me why Joe Sun can’t be part of a redevelopment plan that also contains a Sur La Table?
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Don’t mean to be dense here, but WTF is Joe Sun’s?
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dmz: Agree with you there. No reason why Joe Sun can’t be part of the plan, unless we’re talking about building around them. That might be rough.
Based on the article, it sounds like the space Joe Sun was offered in the new development is pretty bad. They *do* deserve better because they have been there, selling clothes amid the ruins.
My main concern is that redevelopment of that area not stall because of one owner. I wouldn’t be surprised if owner intransigence was the reason redevelopment hadn’t happened before (that and no one wanted to be downtown).
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I absolutely agree with John on the local business angle. Local business should be encouraged and supported by the community and by local government everywhere in the area.
However, supporting local business is not an absolute. In this case, the needs of the community on K Street outweigh the needs of this single business, assuming they’ll get FMV for their property. And holding out for $15 million on a $2 million – $3 million property garners absolutely no sympathy from me.
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Saying that the redevelopment of that block is “stalled because of one owner” is only true if the ONLY way to redevelop it is to force him to sell his property so it can be owned by someone else. That is the city’s fault, just like it would be the city’s fault if the Maloofs take their teams elsewhere if the ballot measures fail.
“Intransigence?” Dude doesn’t want to sell his property. Why is he the only one who has to compromise? Why can’t the city find another way, like working with one of the only stable business owners on the block? Why does Joe Sun not meet the needs of the community? What “need” of Joe Sun’s is taking precedence here, other than his need to stay in business in the property he owns? When are those contest winners going to post what Hurley’s numbers mean? Oops, getting ahead of myself there.
sac-eats: it’s a clothing store a few doors down from the Men’s Wearhouse right across from the entrance to the Downtown Plaza.
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Should Joe Sun be allowed to remain open even if it means the rest of the redevelopment deal falls through? Do you think he really wants to direct people to the store by telling them they can’t miss it because his is the only store on the block that isn’t boarded up? Do you think that’s better for the city?
Can’t you find somewhere else to buy your clothes? Are the deals at Joe Sun really so good that I should get down there right now and buy some pants before they’re forced to close?
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No, Joe Sun should be shut down if the deal falls through. Are you serious? We’re talking in circles here. The stagnating block is not his fault. Why can’t he be part of a redeveloped block?
You’re right, I’ll just head down to Wal-Mart when I need a pair of Dickies!! Thanks, Carl!!
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Joe Sun is doing what any somewhat savvy business owner would do: hold out for more money. Even if the city uses eminent domain to acquire his property his settlement offer will be higher than the initial offerings and it will be worth his wait. And why shouldn’t he make the most possible money on his property? Property ownership is an investment and if his investment shot up in value due to circumstances of redevelopment, which by the way is also an incredibly lucrative investment, the dude should be able to maximize his return. Ahhh. I’m back to being a Republican it seems.
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Actually the whole problem is proposition 13 (1978). Sure it’s nice to have stable property taxes, but it shifts the development efforts of every city in California to retail so that more sales taxes can be generated.
blah blah blah opinion opinion.
West end wouldn’t have been so ugly if I-5 had been put on the proper side of the river in the first place. Back in the olden days, city planners bent over for a big chain retailer and that’s why we have an offramp from a major interstate highway directly into Macy’s.
One of the other raggers is probably more literate about these things, but it doesn’t take a genius to figure out that K street sucks (the mall part) and so does old sack.
Remember when Imax was going to make K-street an entertainment destination? How much is that place costing us… I don’t even like 3-D movies about penguins!
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“Joe Sun is doing what any somewhat savvy business owner would do: hold out for more money. ”
So I take it you’ll be voting “YES” for the new arena, Hey Meg?
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Lowpost, that doesn’t make sense. I wouldn’t vote for the new tax this fall anymore to pay for the arena any more than I would vote for it to pay off Joe Sun’s mortgage. I’m fine with the dude getting the most he can for his real estate, but I’m not fine with the public taxpayers making his investment. If the Maloofs want to buy property and then sell it for as much as the market will bear I say go for it. This fall they’ll be asking us to buy them property so they can make a giant profit. I say no thank you.
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HeyMeg, where do you think the city is getting its money to buy out Joe Sun?
Taxpayers of course.
They’re using *your* tax money to buy out Joe Sun, and as far as you are concerned, you think Joe Sun should hold out to get as much of taxpayer’s money as possible…
…And then you say “no thank you” to the Maloofs, who are also asking for *your* taxpayer money for a new arena.
I’m sorry, but your stance is inconsistent.
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It’s true that all real estate acquisitions by a public entity are in some way funded by public funds. There are good and bad things about that and a discussion of eminent domain could take us hours. I do not think a private landowner has an obligation to the public to give his land away to the government for free or below market. The discussion with regard to the arena tax is distinquishable on a number of points, the most simple of which is that we are discussing a new, additional tax rather than use of already existing revenue. Sorry if you find that inconsistent but it’s actually
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lowpost: what you’re forgetting is that Joe Sun doesn’t want to sell his property. If the city is shelling out taxpayer money to buy his building, it’s because they mistakenly (IMHO) think that is a good use of our money.
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HeyMeg & cooldmz: HeyMeg originally said Joe Sun was holding out for more money as a “savvy business owner” and should get all he can – on the taxpayers’ tip. But then, it’s not alright for the Maloof’s to do so. This is inconsistent, no matter how you try and slice it.
If they do not want to sell, it’s an entirely different issue – but this was not the original premise of HeyMeg’s argument. Is it, now?
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I like your style lowpost. If we were talking about whether the Maloofs have the right to hold out for the most lucrative arena deal possible I’d say absolutely. They’re business people and I don’t blame them a bit for doing so. I just don’t want to enter that particular bargain with them. Make sense?
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The Maloofs are not selling their interest in a property, they are purchasing an interest in a property (naming rights, concession sales, etc) on the taxpayer’s dime. If they were selling us the old Arco arena and holding out for more money, that would be a better comparison.
What is your overall point? Just to call out inconsistency? You’re like the Robin Hood of inconsistency or something?
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Adamant: You’re totally right about Prop 13 causing all kinds of issues today when it seemed like such a great idea at the time to voters (apparently, I was only 7 when it was passed, so I was not campaigning for/against it.) As a homeowner, it’s great to have stable property taxes. However, local gov’ts are struggling as a result of it, and they’re looking to us taxpayers to make up the difference. Not saying I want higher property tax, but at least it’s a write-off on the income taxes each year. You’re right about the IMAX too — the City just bailed them out (at the cost of what other City services?) for fear that K Street would go to pot if the IMAX closed.
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Out of curiosity, CoolDMZ, are you SURE Joe Sun wants to keep the property and isn’t just holding out for more money? Because I’ve heard different, and we’re having debates based on the assumption that he’s looking for more money rather than to hold onto a piece of property in a commercially dead piece of Sacramento.
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To my knowledge, he had not intended to sell the property he owns until the city made what they consider a FMV offer. For a property not currently on the market.
That family has owned the space for more than 30 years. If you want to call it an assumption that Eugene Wong wants to keep the property, then I’m comfortable with that.
What exactly are you saying you’ve heard differently?
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I hope Democracy and freedom wins meaning that Joe Sun, can hold onto his property for as long as he wants and to sell for the maximum possible price.
Just like when all these greedy bloggers sell their homes right!
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Yeah I’m ressurecting an old thread (again). I actually know Euson (not Eugene) Wong, since we both were wage slaves back in the Sac Bee’s Business Office when I was an embryonic journalism student in the late 1970’s. He left a good, stable job as an accountant at the Bee to work for his family’s business — a place which had the best selection and sizes of “workingman’s clothes” in the region — because his family needed him. Like many Asian kids, family duty came before self, and he’s worked there for over 20 years. That store was the family’s identity — trust me, while I haven’t spoken to Euson in years, I assume that they didn’t want to sell. But if they were going to be forced out, being good business people with roots in the community, they wanted at or above market price.
FYI: Joe Sun’s was the best place to go for painter’s paints and overalls, especially if you have hips or a large butt! While – being 50 — I rarely wear such things now, in my youth Joe Sun’s was very much the hip place to shop.
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Embryonic slavery is a terrible terrible thing, even worse than eminent domain. 🙂
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But at least the parking was free at Das Bee.
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