‘Lifestyle hub’ planned for Downtown
Fitness center, eateries, retailers are planned
From the outside, the building looks unassuming.
Sandwiched between The Washburn apartments and City Market, a small grocery store and deli on the corner of South Main Street and Union Avenue in Downtown Memphis, silver chains and a black padlock keep the front doors of 64 S. Main St. closed.
Feet away, a side door leading to the second floor and roof is boarded shut. It’s topped with an old sign that looks like it once illuminated a business name, but after the building spent years vacant, the sign is blank.
Where some might have seen blight, Gabriel Velasquez and his family saw more than 11,000 square feet of opportunity.
The Downtown Memphis Commission’s Center City Revenue Finance Corp. unanimously voted to grant their request for a 15-year payment in lieu of taxes (PILOT) incentive at a Tuesday morning meeting.
Velasquez wants to create a mixeduse space that will serve as a “lifestyle hub” for those who live, work or visit Downtown.
“There are a lot of things happening on this block and this is one of the last vacancies,” said the DMC’s Brett Roler in a presentation during the meeting. “It’s been a nuisance. It’s been a blight next to other thriving businesses on the block.”
Velasquez and his family still need to be approved for a bank loan and a loan through the Center City Development Corp. to make their vision for the space come true.
“We hope to do something great for Memphis and not let anyone down,” Velasquez said just before the PILOT incentive was approved.
The project is expected to cost nearly $2.4 million.
According to DMC staff, the building as-is brings in about $6,400 each year in tax revenue. If Velasquez gets the chance to open his business there, that tax revenue will nearly double. Over the span of the 15-year PILOT, that will add up to more than $106,000 in extra tax
revenue for the city.
Outside, Velasquez plans to restore the building so it looks more like it did when it was built in 1947. He’ll remove the old white sign, repair the decorative metal trim, put in new front doors and restore the second-floor windows.
“You look at this thing, it is solid,” Velasquez said. “It is beautiful on the inside. We’ve had concrete scans, we’ve had structural engineers go out there and they have nothing but good things to say about the old girl.”
In the basement, there will be a boutique fitness and wellness center with gym equipment, personal training and group classes. On the first floor, customers would see exposed brick walls and high ceilings as they grab a quick and healthy meal. Meal-prep services, graband-go items and made-to-order items for breakfast, lunch and dinner would be available.
There would also be retail space for small pop-up shops from local business owners who otherwise might not be able to afford their own shops.
On the second floor, Velasquez wants to encourage other entrepreneurs. He plans to make way for a co-working space for business owners who need a place to focus or hold meetings for a few hours or a few months, as well as permanent office space for more long-term clients to settle into. Finally, there’s the rooftop. Right now, it’s just empty space with apartment windows from The Washburn looking over it on one side. Here, Velasquez wants to try out a high-end, intimate restaurant setting — think reservations in advance, six to nine courses and perfect wine pairings — for up to 20 people at a time. That stage of the renovation will likely come last.
For now, Velasquez is working with local artists to paint murals and design custom light fixtures.
He thinks if he focuses on making the space inviting, the location — which he says is “perfect” because it’s blocks from the Peabody Hotel, ServiceMaster, AutoZone, One Commerce Square and Regions Bank — will help attract the customers who would support this business: Professionals who work hard all day, but may need some extra motivation to take care of their health.
These are people Velasquez identifies with.
“I did it for a long time,” he said. “When I opened up my first business that’s when I stopped working out ... because it wasn’t easy to take time apart. We want to make it easy.”