(Images from readers views of the old building)

Construction isn’t planned to begin until mid-2017 but the old Liberty Bank came tumbling down this week at 24th and Union.

Demolition of the Central District and Black Seattle landmark — but not official City of Seattle landmark — started earlier this week as the site is cleared for eventual development of a mixed-use apartment building by nonprofit affordable housing developer Capitol Hill Housing.

The organization acknowledged the “legacy of Liberty Bank” in a statement on the demolition:

Capitol Hill Housing is working to develop 24th and Union as soon as possible. The Central District has been the cultural center of the African American Community for over one hundred years, and is rapidly becoming unaffordable. We’re committed to honoring the legacy of Liberty Bank and implementing the recommendations of the Liberty Bank advisory board. Beyond that, we’re committed to creating opportunities for Central District families and businesses to remain in the community.

Last March, CHH said it would name the project the Liberty Bank Building to honor the region’s first Black-owned bank.

The developer has been working to develop the property since early 2013. Liberty Bank operated at the site until 1988 when KeyBank took over. CHH had agreed to acquire the property from KeyBank in 2013 “at a rate well below its assessed market value, in order to develop a mixed-use building with affordable apartments and space for local businesses.” According to county records, CHH paid Key $560,000 for the property last spring.

There is much to be done before ground can be broken on the new project currently planned as a four-story mixed-use building with one level underground parking. At that scale, the building would include 2,300 square-feet of commercial space, 75 to 90 residential units and 25 parking spaces. UPDATE: CHH tells us the project is currently planned as a six-story mixed-use building that could have up to 115 units. “It is planned to be a 6 story building and we are going to file for a contract rezone,” a spokesperson tells CHS. “If the 23rd Avenue Action Plan were adopted quickly, that would save a new affordable housing project time and money. ”

But like the Midtown Center property across the street — put up for sale as “one of the last remaining large developable sites” in Seattle this summer in a closely watched real estate transaction that hasn’t yet produced any public record of a purchase — the Capitol Hill Housing parcel could benefit from an upzone allowing enough for six stories at the site. A community development plan for the area calls for 65-foot building heights for the area around the 23rd and Union intersection.

First, the nonprofit Capitol Hill Housing has to figure out how to pay for the project. “In September, we applied for City of Seattle funding for a second time,” CHH’s Michael Seiwerath tells CHS. “We are hopeful that funding this building, and creating more affordable apartments in the Central District, will be a priority for the city.”

Funding for the project will likely mirror the recipe used to create CHH’s 12th Ave Arts — tax credit, levy dollars, state programs and some commercial bank loans:

The city’s Office of Housing, using 2009 Seattle Housing Levy funds, has awarded the housing portion of the development a loan of up to $7.7 million. As a requirement to receive the Office of Housing money, CHH is obliged to lease every apartment to individuals and families earning less than 60 percent of the median income. Companion legislation from the Office of Economic Development proposes to provide the commercial portion of the project with up to $1 million in a Section 108 HUD Loan, which requires that a certain number of jobs be created in order to receive the funding.

The Lucky Seven Foundation is already involved in the new project.

In November, CHH says the process of “investigating the extent of polluted soils onsite” begins. The project is now planned to begin construction in the second quarter of 2017.

UPDATE: We should note congratulations are in order — 12th Ave Arts was recently honored by the Urban Land Institute’s Global Awards for Excellence:

12th Avenue Arts is one of ten real estate developments in the world selected as winners of the 2015 Urban Land Institute (ULI) Global Awards for Excellence. Capitol Hill Housing was honored with the award together with SMR Architects at the ULI Fall Meeting in San Francisco. This prestigious awards competition recognizes real estate projects around the world that achieve a high standard of excellence in design, construction, economics, planning, and management. “We at Capitol Hill Housing are honored that 12th Avenue Arts has been recognized alongside such an impressive group of developments from around the world. 12th Avenue Arts created a new home for the arts – as well as a meaningful place for the neighborhood and the broader community,” said Christopher Persons, CEO.