Developer Walker John could bring mixed-use development to Port of Olympia

Two Port of Olympia-owned parcels along State Avenue could become home to a major mixed-use development, featuring office space, residences, retail space and a hospitality component, port officials said Wednesday.

The developer would be Walker John, who has a made a local name for himself by redeveloping existing buildings in downtown Olympia into mixed-use destinations, such as the Thurston First Bank Building at Legion Way and Franklin Street and the Cunningham Building at Fourth Avenue and Adams Street.

He also is redeveloping a former office building into the Campus Lofts and Townhomes at 12th Avenue Southeast and Jefferson Street Southeast.

The port and John have tentatively agreed on a one-year option to explore the creation of a mixed-use development on two vacant parcels along State Avenue. One of the parcels is opposite the Hands On Children’s Museum; the other is across from Community Youth Services. Combined, the two parcels total about 4 acres, said Mike Reid, senior manager of business development for the port.

The parcels are part of the port’s East Bay property. The port has long wanted to develop the area into a mixed-use destination that features a business district, but that also is walkable.

Other developers have looked at this land — Seattle-based Tarragon and Lorig Associates — but both took a pass because the economy was either mired in the recession or still trying to work its way out of it. Lorig had pitched a hotel for the property.

But the economy has since improved, Reid said, and the port can work with a local developer.

“He has a real track record of success,” said Reid about John.

Port officials will present the proposed one-year option agreement with John to the port commission on Nov. 9. A commission vote is set to take place Nov. 23.

If approved, John will pay the port $30,000 as part of the option agreement. If the project moves forward, his $30,000 would be applied to a ground lease. If not, the $30,000 is nonrefundable, Reid said.

John also recently broke ground on the 321 Lofts, a 36-unit, market-rate apartment building in the parking lot behind the Thurston First Bank Building.

Thurston First Bank President and Chief Executive Jim Haley said Wednesday that asphalt has been removed from the site and pile driving is set to begin.

This story was originally published November 4, 2015 at 3:55 PM with the headline "Developer Walker John could bring mixed-use development to Port of Olympia."