Big plans for downtown building
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The Helgesen Building on East Milwaukee Street, a five-story, 52,000-square-foot office building, recently was purchased by Sara Investment Real Estate from Baer Reality of Kenosha. The purchase price was $950,000. Eric Schwartz, president of Sara, says he would like to see a marquee tenant for the building. He added that he is currently in negotiations with possible tenants.
JANESVILLE — While the Helgesen Building sits at the geographical heart of downtown Janesville, a Madison-area developer’s purchase of the property could pump new blood into the city’s revitalization efforts for the area.
In a deal brokered by Coldwell Banker Commercial McGuire Mears & Associates, Sara Investment Real Estate recently bought the five-story, 52,000-square-foot office building at 101 E. Milwaukee St. from Bear Realty of Kenosha.
The Middleton-based Sara, which has several other development properties in Janesville, paid $950,000 for the property at the intersection of Main and Milwaukee streets.
“That may seem like a steal, but it needs new elevators, a new facade, new windows and new mechanicals,” said Eric Schwartz, Sara’s president.
Schwartz would like to see one marquee tenant occupy a majority of the building. He’s in discussions with possible tenants.
“Everyone is saying that times are tough, but we don’t even have a ‘for lease’ sign out and we’re already getting calls,” he said.
Schwartz said the Helgesen project most likely will be one of the most difficult his company has tackled. Sara has a diverse portfolio of retail, office, industrial and mixed-use properties in Wisconsin.
“The property is really cut up into tiny offices, and about 70 percent of it is vacant,” he said. “There are some quality tenants there now that have somehow been able to hang on.”
A survey of the city’s downtown occupancy and owners list shows that 21 of the 40 suites in the Helgesen Building were vacant as of April.
Schwartz plans to clean and update the building’s façade and renovate its interior.
“It won’t resemble what it is today,” he said, adding that the building probably won’t be ready to rent until 2009.
Schwartz said his company has had its eye on the Helgesen Building for at least a year. A critical component in his willingness to buy the property is the city’s recent commitment to a new parking ramp at the intersection of Parker Drive and Wall Street.
A significant portion of the parking stalls in the three- to four-deck ramp will be designated for Helgesen Building tenants, with the remainder open for public parking.
“Without the parking ramp, that building would stay like it is forever,” Schwartz said.
Gale Price, manager of Janesville’s Building and Development Services, said that if Schwartz is successful in landing a major tenant for the property, the Helgesen Building will become another anchor in the revitalization of downtown Janesville.
“It’s exciting to see someone who wants to take on that building and do a significant reinvestment,” Price said. “If they get a major tenant, it would bring a locked core of people downtown who will patronize downtown businesses and come to realize that the area has other attractions other than just a place to work.”
Schwartz agrees that the Helgesen Building could be a downtown anchor.
“I’ve always said that if the city is really interested in fixing that downtown, someone’s got to do that building the right way with the right tenants,” he said.
Jul 3, 2008 at 11:27 a.m.
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I am not sure about the baby boomer genoration. My parents are 60 and AFRAID to go downtown at night. they hardly go out to even spend any money unless it is $20 at the casino . Theyre not even willing to try anthing new. I bought them a gift cert for Fusion 5 they had used it for lunch twice for fear of parking at night. They got a tuna sandwich , come on try something different!!!!!
Jul 3, 2008 at 1:13 a.m.
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This is an incredibly positive development for the downtown and I hope that all the elements come together for a successful renovation.
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It's funny to think that "101" was the newest and most advanced building in Janesville when I was a kid. Honest, it wasn't that long ago! A lot has changed and many cities have found ways to adapt. If this structure becomes a new focal point it could influence other improvements downtown, which would be fantastic. At the very least it might help keep occupancy rates high in the other nearby office structures.
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I don't think I'm alone in thinking that even with the GM news, the downtown has seen some of the most positive news over the last couple of years since I've been alive. It has often seemed one step up and two steps back, but maybe forward is gaining on backward this time.
Jul 2, 2008 at 11:22 p.m.
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MrBlack: YOU SOUND LIKE YOU HAVE SOMEONE IN YOUR BACK POCKET,PACK WHAT?? YEA ANOTHER MAYBERRY WOULD BE NICE!!
Jul 2, 2008 at 8:36 p.m.
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Lets all just hope that WOODSMAN is to old to be the future of Janesville. If he is then we are really in trouble.
Jul 2, 2008 at 5:07 p.m.
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18.27 per square foot seems to be a good transaction for both parties. Good Luck! Aftr its fully leased and improvements are made, I hope the investors earn a ton of money!
One of the great things about America-those willing to risk their capital can earn big rewards!
Jul 2, 2008 at 4:34 p.m.
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Heck, why only GM as a waterpark ~ why not the entire city. We're already 1/2 way there.
Jul 2, 2008 at 4:23 p.m.
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woodsman-what's wrong with the ice irena?
Jul 2, 2008 at 4:11 p.m.
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leostime36: Just you keep skipping,who the h-ll do you think you are?? PERFECT?? headache that you are,if you realy need to pick on something,PICK YOUR NOSE! GO AWAY!!!
Jul 2, 2008 at 4:03 p.m.
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At a time with so much uncertainty and bad news, it is refreshing to hear that a company is investing significantly in downtown Janesville. Moreover, this investment could inspire other companies to invest in the down town area in the future. Consequently, I see this as a big step forward for Janesville’s down town and a nice beginning for Janesville’s overall recovery.
Jul 2, 2008 at 4:03 p.m.
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To ALL; I DO,even if some some think i'm negative about the future of downtown,i realy hope it works for all,i loved to walk downtown & shop,ugly is everywhere,lets just wait and see. One thing that realy gets my goat is the ice arena,alot of the ones that run this town are bussiness people,that investment hasn't made one dime,has always been in the red,taxes keep paying the bills. My point is make investments that atleast have a chance,don't keep following madison around,you can see how much their in debt.
Jul 2, 2008 at 4:01 p.m.
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ap2533-I just skip over woodsman's postings...gives me a headache. Not sure which is worse, the spelling or the incoherent run on sentences.
Jul 2, 2008 at 3:47 p.m.
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Well said, irishbychoice.
Jul 2, 2008 at 3:40 p.m.
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I hope this is one of many steps to bring life to downtown Janesville. The river is this city's biggest asset, and I don't mean for those with noisy powerboats. Other cities have developed their waterfronts with walkways, parks, restaurants, and more FACING the river, so all can enjoy it. Let's keep thinking forward.
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And, I, for one, appreciate the ability to communicate clearly and effectively via the written word.
Jul 2, 2008 at 3:31 p.m.
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Slow at work....reading this is just the best entertainment!
When I was a kid I remember Mr. Helgesen standing on the top of this building to watch the Soap Box Derby. Those were the days.......
Jul 2, 2008 at 3:15 p.m.
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woodsman--when was the last time you were in the downtown area during business hours? There are plenty of people doing business downtown that are NOT dealers, punks, gangs, etc. as you so assert. You're more likely to see this demographic at the Janesville Mall than downtown! As for the "stinky rock river", i'd rather smell a river than all the exhaust/fighting traffic on Milton Avenue and Hwy 14.
Jul 2, 2008 at 3:11 p.m.
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Woodsman: I guess I don't see the issue. The city is entering into a quasi-partnership with a developer to help bring business to the downtown area. It seems as if that goal is something that you share with the city, i.e., revitalize downtown. The investment in a parking ramp will pay for itself through parking fees to the public and through leased parking spaces to the tenants (if the city decides to charge). And, if the city chooses NOT to charge, the investment will still pay for itself through an improved downtown area. This isn't "overspending." This is investment.
Jul 2, 2008 at 3:09 p.m.
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garyprimer should be here soon to make a comment as to whether the building is half-full or half-empty.
Jul 2, 2008 at 3:07 p.m.
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Super,Dave, it might be you they're looking for his site.
http://www.gazettextra.com/news/2008/jul...
Jul 2, 2008 at 2:45 p.m.
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ap2533: Another one worrying about someones spelling,you're all a joke to worry about small things,but then again that gose along with a small mind! 50 years ago we had a very nice downtown,well times changed,the malls and such. The same city government thought that was a great idea to let them in,well what we lost was our down town,NOW they want to turn things around,WHY?,because of the river front incentive? But for people to want to shop & do bussiness downtown,the dealers,drunks,punk gangs,and the stinky rock river has to be addressed,one stop mall,dah let me think witch place to go. When i was a kid,downtown was great,but city let it turn into all of the above,slowly. I WISH i had more confidence in the city planning commity,but i've watched for years them letting the city go to crapppp. By the way ap2533jvl, in my day we went into the military to serve our country at a young age,spelling wasn't high on our lists back then,you must've been one of the lucky one's that got to enjoy a full education,my serveing my country was worth more then learning how to spell words right!! I LIKE WOODS:::
Jul 2, 2008 at 2:39 p.m.
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If you don't like what Janesville is doing or becoming -- then move. Go and see if the grass is greener on the other side. I'm all for Janesville bringing more business (jobs, customers, visitors, dollars)
Jul 2, 2008 at 1:27 p.m.
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lol the city should turn GM into a waterpark
Jul 2, 2008 at 1:18 p.m.
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Considering the financial blows this community has been served up recently, this is AWESOME news! Hannah and Nero have it right. Though there are many things the city government has done I don't agree with, this is one for them. The city is making the right decision to make the investment of the parking ramp, which by the way has been in the works for some time now. If you have read the articles, one has nothing to do with the other. The Helgesen building potential has not served the downtown for many years and we are fortunate to have a developer with the vision to create something great. It's time the people of Janesville to get an education and look beyond "what's in it for me". What's in it for you, is a vibrant and profitable downtown that can eventually be something this city can be proud of. It's time to start rebuilding our community and this is a great place to start!
By the way woodsman, get out of the woods and get an education. You obviously need to work on your writing ability.
Jul 2, 2008 at 1 p.m.
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Now is the time when someone posts that the city should turn GM into a waterpark....wait for it, wait for it....
Jul 2, 2008 at 12:38 p.m.
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Opin's: If people like you all had your ways,everybody should be takeing a nap,so we can just be plain out of controll like madison and be spent crazy,you must be one of the lucky ones that dosen't have to worry about your next pay check to foot the pills for these out of controll spending in this town,now is not the time to over spent,the city should lay low to see how janesville will handle the lost revenue it's going to incure. You can go back to bed know!!!
Jul 2, 2008 at 12:27 p.m.
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So let me get this straight. The building is less than half full at the moment. The city decides to build a parking garage adjacent to it. As a result of that decision, a private business decides to purchase the building, renovate it and then lease the now more attractive and more desirable space(s) to other private business. Those businesses then sell goods, provide services, provide jobs and turn a profit and reinvest that money right here in Janesville. Isn't that how it's supposed to work? Build it and they will come, right?
Jul 2, 2008 at 12:22 p.m.
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woodsman- there was an article about this building before and a company buying it and doing another parking ralm like it was before because of the ramp accesable doorway that obviously arent used at this time.
maybe you should read all the articles in the paper before you say CITY is doing things behind your back.
Jul 2, 2008 at 12:18 p.m.
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So is it goinna be a big box store or business offices or what. Would be nice since they want to revitalize downtown to have a name brand store go in there doesnt it?????? dont hold your breath though!
Jul 2, 2008 at 11:53 a.m.
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woodsman it sounds like the city is trying to improve things in Janesville. They kept this a secret cause of cry babies like yourself who think they need to know every little thing the city does. Now go take a nap
Jul 2, 2008 at 11:34 a.m.
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Now the tax payers know why the city wanted the new parking ramp,see they didn't tell the people about a "DEAL" they made for the sale of this landmark!! The tax payers don't want this parking ramp,but the city is makeing DEALS behind your back,what other kind of deals is the city doing behind our backs????? MAKES YA WONDER WHAT KIND OF KICK BACKS LOCAL GOVERNMENT IS GETTING???
Jul 2, 2008 at 10:12 a.m.
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I believe it's spelled "Bear Realty", not "Baer Reality". Notice both words are misspelled. Sigh.
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