Mayor Mike McGinn declared his decision to grant $7.66 million to renovate the 29,000 square foot East Precinct police parking lot on 12th Avenue into a three-story mixed-used housing and art complex.

McGinn made the announcement about the future construction site on the rainiest day of the month. Neighbors and business owners, supporters for almost a decade of the 12th Ave Arts complex, as it has come to be called, were there to hear the plans finally set in motion.

Capitol Hill Housing's plans for the complex will offer an estimated 88 affordable homes at $450 per month, two theaters, studio and retail space, as well as an underground police parking lot.

The project is slated to be completed fall of 2014 with the help of the entire Seattle community. Neighbors, businesses, the state and McGinn have all come together to support the cause and grant money to Capitol Hill Housing (CHH), raising $10.66 million out of the $38 million needed to complete the complex.

In June a $500,000 anonymous donation started off the funds for the art complex. This was followed in September by local businesses, such as Molly Moon's Ice Cream and Caffé Vita, who managed to raise $122,000.

However, the funding granted by McGinn may be lessened depending on the amount of funding CHH can raise.

"We like to fill the gap," Rick Hooper of the Mayor's Office of Housing said about the objectives of CHH. They grant money to organizations to provide low income housing but only as much as is needed.

"We thought it was a terrific project to fund," said Hooper. "We really like the units that would be created and it is a great location."

The art complex will not only provide affordable housing but will also created "badly needed" performing arts space as Hooper said, as well as a more secure location for the East Precinct police parking lot.

However, CHH still does not have all the funding for the complex. New market credit will be coming in the winter said Michael Seiwerath of CHH, leaving another $10 million to be raised.

"This is going to transform and activate an under-resourced arts space.... It will activate the block acting as a lynch pin for progress on Capitol Hill... as well as provide a more secure facility for the Seattle police department," Seiwerath said.

McGinn agreed with those sentiments, echoing his approval of the space.

"This is a win for lower-income Seattle residents, community space, and the Capitol Hill neighborhood.... We are taking action to help support such a vibrant Seattle neighborhood," said McGinn.

With arts acting as a "driver in our city's urban development and a benchmark of our city's viability," as Seattle City Council member Nick Licata said, the arts complex will attempt to plant a seed in the already flourishing Capitol Hill neighborhood.

Katie may be reached at kgilbert@su-spectator.com