City, developers close deal on 1059 Willamette

from Lindsay Selser, Eugene Planning and Development, and staff reports

The city of Eugene is excited to announce that 133 new apartments are moving forward at 1059 Willamette Street, transforming the long‑empty former Lane Community College building into Eugene’s first mixed-income, mixed-use housing project.

The city and the development team, led by deChase Miksis and Edlen and Company, closed on the deal this week, transferring the property from the city to the team that will soon start demolition of the building, with construction slated to begin this winter.

Of the project’s 133 units, 65 will be market-rate and 68 will be income-qualified for households earning up to 80% of area median income (AMI). The income-qualified units will remain affordable for 35 years.

In addition, 10 units will be set aside for survivors of domestic violence, who will be supported through a partnership with Hope and Safety Alliance, a local nonprofit providing services and financial assistance.

The $38.3 million, six-story project will also include ground floor space for commercial use, a public art gallery, and will be all-electric.

The project is located across the street from the Lane Transit District’s downtown Eugene Station, providing easy transportation access to the downtown cultural scene and nearby employers. A seven-minute EmX ride takes you to Hilyard Station and the University of Oregon campus.

“This project has taken years of persistence, creativity and collaboration to get to this point,” shares Mark Miksis, principal at deChase Miksis. “We’re incredibly excited to begin construction and grateful to the city of Eugene and all of our partners who stayed committed to finding a way to make 1059 Willamette happen. It’s a great example of what can be accomplished when the public and private sectors work together to create more housing and invest in downtown Eugene.”

To support this project, the city and its urban renewal agency will invest $10.5 million. $10.1 million will come from urban renewal (tax increment) funds and the remaining $400,000 from the moderate-income housing fee collected through the city’s Multi-Unit Property Tax Exemption (MUPTE) program.

The land was provided to the developer at no cost and the Eugene City Council approved a MUPTE for the project in 2024.

Equity financing for this project came from MSquared, a New York-based, women-led equity firm that focuses on building mixed-use, mixed-income projects with an emphasis on public-private partnerships.

“Supporting mixed-income housing is one of the most powerful tools cities can use to respond to rising costs while strengthening long-term economic resilience,” said Alicia Glen, Founder & Managing Principal of MSquared.

“1059 Willamette underscores how public-private partnerships can deliver for the community by bringing affordable and workforce housing to a transit-rich downtown. We’re proud to work with the city of Eugene and a team of women-led and local developers to bring this landmark project to life.”

Increasing the amount of housing downtown is a top priority for the city, addressing a number of urgent community needs, including reducing the cost of housing, reducing per capita greenhouse gas emissions, and increasing positive activity downtown.

“The redevelopment of this site brings us closer to a long-standing community vision for a vibrant downtown. This innovative mixed-income, mixed-use project will bring 133 new households, new activity and renewed vitality to a key downtown block—supporting local businesses and creating a more lively, walkable and connected city center. We’re excited to see this project move from years of planning and problem-solving into construction,” says Jenny Haruyama, Eugene city manager.

The Sept. 30 closing follows five years of collaboration between the city and development team. The city bought the building from Lane Community College in 2020 using federal Community Development Block Grant funds, which require the property be used for housing with at least 51% of the units affordable to households at or below 80% of AMI.

Construction is expected to take approximately 19 months, with some impacts to traffic and on-street parking along 11th Avenue and Willamette Street.

The formal groundbreaking event is planned for this winter.