Nov. 07–The nearly century-old Stevens Building in downtown Portland has changed hands, and signs point to a possible future as a restored hotel.
The first clue is the buyer of record’s name: Stevens Hotel LLC paid $4.35 million for the building, at 812 S.W. Washington St., in a deal that closed Oct. 21.
The Church of Scientology acquired the Stevens Building for $5.4 million in 2008 as a future Portland headquarters. But it changed direction in 2010 and bought the Sherlock building at 309 S.W. 3rd Ave. for its headquarters instead, and put the Stevens Building back up for sale.
Tenants in the building say the new owners are Arthur Mutal Investments LLC, the Portland-based owners of the Pearl District’s former Dynagraphics Building and other Portland historical properties.
Representatives from Arthur Mutal also met in August with city development officials to discuss plans to convert the building from offices to a 90- to 100-room hotel. They also discussed the 2,600-foot addition of a 13th floor to be used as a restaurant, as well as an indoor pool and a spa.
Arthur Mutal’s principals did not return messages left this week. They have not sought permits for a renovation.
Bob Butler, the real estate broker who represented the church, said the church was looking at a bill of $2.5 million to complete a seismic upgrade that would be required if the building changed use. Conversion to a hotel use would likely trigger that requirement.
The building was about 95 percent occupied at the time it was listed for sale, Butler said, but the church moved its offices out in April. That left about 35 percent of the space occupied. Finnegan’s Toys & Gifts has leased the ground floor retail space since 2011.
The 12-story Stevens Building was completed in 1914 and added to the National Register of Historic Places in 1998 as an example of the brick and terra cotta-clad buildings of early 20th century Portland.
The facade of the first two floors was remodeled in 1954 to satisfy a bank tenant who wanted a more modern look, and the interior elevator lobby and office floors have been extensively renovated.
— Elliot Njus
