Building on a wave of recent private investment, a new mid-rise commercial development is set to be built on a high-profile property in downtown Pensacola.
An undisclosed buyer is under contract to purchase a 2.4 acre parcel at Garden and Manresa streets that was formerly home to Seville Inn, which closed in 2003 and was subsequently demolished in 2009.
The buyer is proposing to build a 38,000 square foot mid-rise tower on the property. Birmingham-based Servis1st Bank has plans to relocate its downtown branch off Palafox Street to the first floor of the new building.
“Servis1st is looking to move from their branch off Palafox to this property,” said Andy Terhaar, partner and broker associate with Neal & Company, the commercial real estate firm brokering the sale. “The buyer expects to close on the property within 90 days.”
Terhaar says other tenants are currently being sought for the building as the sale finalizes.
The sale will split the entire 4.3 acre vacant downtown property that was also most recently home to a nightclub and bar. Most recently, the property was listed for sale at just over $5 million. The remaining 1.9 acres at Alcaniz and Garden streets is still actively being marketed.
“Once this sale goes through I feel the other property will move soon,” said Terhaar. “We’ve received two inquiries from of out-of-town developers who wish to develop the remaining property.”
The proposed building joins several other new mid-rise commercial and mixed-use developments within two blocks of the property, including the $8 million 30,000 square foot Institute for Machine and Human Cognition campus on Romana Street, Space Florida’s 70,000 square foot office tower at the Pensacola Technology Park, the $15 million 52,000 square foot downtown YMCA, a proposed 55,000 square foot office tower on Jefferson and Intendencia streets, and a $50 million mixed use apartment project and parking garage at the site of the former Pensacola News Journal headquarters.
Correction: An earlier version of this story stated Servis1st Bank was purchasing the property. Servis1st is only a proposed tenant. The story has been updated.