ST. LOUIS — A second phase of the Delmar Divine mixed-use development in the city’s West End neighborhood is slated to begin this summer and add dozens of additional housing units to the complex at 5467-5559 Delmar Blvd.
Developed by Clayco and affiliate CRG, along with Build-a-Bear founder Maxine Clark, the $100 million first phase of Delmar Divine opened in late 2022. It turned 300,000 square-feet of the old St. Luke’s Hospital complex — built in 1904 and vacant for the last decade — into 150 apartments and space for 33 nonprofits.
Now, developers are aiming to convert the remaining several buildings of the complex into 81 affordable apartments and another 15,000 square feet of commercial space.
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The $48.4 million second phase is slated to begin in July, with construction running into late 2026. It will be developed by a company affiliated with Seneca Commercial Real Estate, led by frequent Clayco collaborator Larry Chapman.
Matt Masiel, the developer behind several school-to-apartment and downtown loft rehabs and now also a partner in Seneca, said the second phase plans to utilize low income housing and historic tax credits to finance the project. The new housing units will be set aside for those making less than 60% of the area’s median income, which in 2024 set the limit at $43,380 for a single person.
Maxine Clark envisioned the Delmar Divine development as a way to provide nonprofits and other community organizations affordable space near each other to foster collaboration. The project has opened in an area of town recently targeted by developers, including the Delmar Maker District and acclaimed restaurants from chef Ben Poremba a half mile to the east. Poremba also operates eatery Deli Divine in the Delmar Divine complex.
Apartment leasing in the former hospital complex, meanwhile, has been “wildly successful,†said ÃÛÑ¿´«Ã½ Development Corporation CEO Neal Richardson. The city’s Land Clearance for Redevelopment Authority, overseen by SLDC, on Tuesday approved a sales tax exemption for construction materials used for the second phase, worth an estimated $929,000. Aldermen for the project.
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