SAN ANTONIO – Initial plans to rehabilitate the historic Spaghetti Warehouse constructing at 1226 E. Houston St. could also be hitting a snag because the developer contends with the realities of the present financial system.
“With the current lending market, it’s a very inopportune time to get debt capital,” stated Richard Gottbrath, managing associate and chief funding officer of Value Creation Strategies Holdings, an Austin developer which bought the constructing in April for an undisclosed quantity.
Value Creation Strategies Holdings intends to redevelop the property for what it calls “creative loft offices,” and is scheduled to interrupt floor earlier than year-end — however the timing of these plans is much from set in stone.
“We already own the building, but we’re trying to figure out a construction loan,” Gottbrath stated.
The constructing served as headquarters of the historic Hugo, Schmeltzer & Co. wholesale grocery, which had it inbuilt 1907 and moved its places of work there after promoting its Alamo Plaza headquarters. The constructing’s structure is roughly 42,000 sq. ft.
Its most-recent owner was Spaghetti Warehouse, an Italian-restaurant chain that purchased the constructing in 1978 and operated on the website earlier than it shuttered in 2020 amid the Covid-19 pandemic.
“We’re working with architects and historical consultants to do a full historical rehabilitation of the building,” Gottbrath stated.
Editor’s be aware: This story was printed by means of a partnership between KSAT and the San Antonio Business Journal.
Also on KSAT:
Copyright 2022 by KSAT – All rights reserved.