MRN Plans Apartments for Rosetta Center
- Apr 10, 2012
Apartment vacancies in downtown Cleveland are becoming harder and harder to find as office workers move in from the suburbs. Occupancies approached 96 percent late last year, the result of two decades of downtown population growth, according to Metro Trends, giving some developers impetus to turn office buildings into apartments.
One such developer is the K&D Group, which in addition to the planned acquisition and redevelopment of the East Ohio Building (detailed here last week) intends to turn the Hanna Building Annex, an office building in PlayhouseSquare, into 102 apartments. Another is MRN Ltd., which aims to create 85 apartments in the Rosetta Center building.
MRN closed its deal on March 29. The $4 million project will turn 72,000 square feet of little-used office space on five floors into much-needed housing. The studio, one- and two-bedroom apartment units will go on floors four, five, seven, eight and nine. Although located in a historic building, the apartments will be modern. MRN is seeking historic preservation tax credits from the state and federal governments to help pay for the project.
Apartment design will be similar to that of the apartments in MRN’s Uptown Project in University Circle, but the rent will be lower. The Cleveland Plain Dealer reports that the apartments will likely go for $1.20 to $1.25 per square foot–or about $900 to $940 a month for a 750-square-foot unit.
The Rosetta Center is located at 629 Euclid Ave. in downtown Cleveland. Built in 1920, the 17-story building includes 210,000 square feet of offices and a 141-room hotel. As demand for housing is high, the building is expected to fill up once the housing project is finished.
Such developments are contributing to the activity taking place in downtown Cleveland. The resultant powerful city center can feasibly impact the economic health of the entire region.