According to the disposition and development agreement, Developers John Carroll and Homer Williams will pay $3.68 million for the 40,000-sf site after the grocer moves to a neighboring property. The duo will then proceed to develop an 18-22-story condominium tower with at least 180 units and 10,000 sf of ground floor retail. As part of the project, Madison Street will be vacated and developed into a pedestrian plaza and parking entry.

The DDA also requires that construction methods meet the green building LEED certification standard, that 20% of the units be affordable to middle-income households, and that the project have a minimum of 225 parking spaces.

The project is part of Museum Place, a $100-million mixed-use redevelopment project on a three-block area between 10th and 11th streets just west of the downtown core. Safeway will move one block south to Museum Place South, for which Portland-based Sockeye Development recently secured a $28-million loan from U.S. Bank to develop 140 market-rate and affordable loft-style apartments above a new 47,000-sf Safeway.