Lot X Site in Downtown Sacramento for Sale

Lot X, the site on Capitol Mall most recently planned for one or more residential towers, is on the market for sale.

Turton Commercial Real Estate announced on social media Friday afternoon that the 2.58-acre site on the southwest corner of Third Street and Capitol Mall in Downtown Sacramento is listed at $19.95 million.

“We are currently evaluating all of our options with Lot X, which includes potentially selling the site,” Jenna Lefever, vice president of public relations for the site’s current owner, Southern Land Company, said in an email. “We love Sacramento and look forward to making our mark in the city; it’s a matter of it being the right time and right circumstances.”

Brokers for Turton were not immediately available for comment.

With the listing, Southern Land’s most recent proposal for the site would appear to be in serious doubt. That plan, first announced in 2021 and revised the following year, would have developed a 26-story and 14-story tower, both residential, on the site.

The Nashville, Tennessee-based company originally proposed a 32-story tower of apartments and a five-story wood building of office space for the property. An address of 201 N St. Townhomes would be around the wood building.

But while Southern Land Company representatives said in 2023 they hoped to break ground on the site in mid-2024, city officials said the company last summer put the project on hold for entitlement processing. The company hadn’t been in contact with the city about the project since 2022, city records indicated at the time.

In 2023, Southern Land Company cited market conditions as the reason for pushing back the project schedule. A number of factors, including capital markets and overall construction costs, have remained tough or gotten tougher for many development projects since then.

Lefever said Friday the company has made recent improvements to the site, such as new LED lighting throughout the lot, tree trimming to provide better sight lines, restriped parking stalls, and the installation of new identification signage and wayfinding signage, to continue to use it for parking, in conjunction with Priority Parking.

Southern Land Company bought the property in 2021 from the Sacramento Kings for $16.75 million.