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Major change is expected for a southwest corner of Downtown Long Beach after the city’s planning commission approved permits and plans to convert the 1970s-era Union Bank building into housing.

It’s the latest development poised for the city’s Downtown, where leaders are looking to repurpose a surplus of vacant or underused office space amid low demand following the coronavirus pandemic.

“We’re excited to bring 275 new units of residential housing to a sleepy end of Long Beach here to rejuvenate this area,” said Matt Wister, a project manager with Studio One Eleven.

Built in 1975, the building at 400 Oceangate Avenue is nearly 50 years old. Known locally as the Union Bank building for the sign that adorned it, the 14-story tower is considered a landmark along West Ocean Boulevard and formerly housed “premiere law firms, philanthropies and businesses.” The storied and well-connected local law firm Keesal, Young & Logan — which owned the building until selling it earlier this year — had its headquarters there for many years.

But demand remains staggeringly low for office space, city planners wrote in Thursday’s report, as COVID-19 “almost overnight, dramatically reduced demand for office space, particularly for urban office space other than new highly amenitized Class A+ space.”

Once converted, the building will house 200 apartments — from studios to family-sized spaces. Another 75 apartments will be built atop the adjoining parking structure next door to bring the total to 275 housing units, including 66 studios, 130 one-bedroom apartments, 76 two-bedroom units and three family sized spaces.

Parts of the roof would be turned into an outdoor recreation patio for tenants and office windows would be refitted with balconies. Other recreational facilities available to tenants will include a swimming pool, spa, dog park, gym and juice bar. It will be surrounded by more than 23,000 square feet of open space, have about 7,600 square feet of indoor common space and at least 275 on-site parking spaces.

The Union Bank building, and its parking structure on the right, in Long Beach, Monday, Sept. 9, 2024. Photo by Thomas R. Cordova.

Officials were pleased to say the building’s character will be kept mostly intact, through its use of the local Adaptive Reuse Ordinance — a local rule that streamlines the conversion of old and vacant buildings while also preserving their look and feel.

The ordinance has been used for several Downtown structures, including most recently the conversion of the former Verizon building at 200 West Ocean Blvd. into an 11-story apartment building in 2022. The Ebell Women’s Club, Walker Building and Edison Building were also conversions.

Plans provided show the exterior will be repainted, given new windows and metal paneling. The homes built atop the garage next door will have a white and dark gray cement plaster exterior.

There is, however, no guarantees for affordable housing in the project, due to the contractual obligations in place, officials said.

Its approval last week is another example of how virtually empty office buildings in Downtown Long Beach’s historic core could be converted into housing, but with that comes the need to procure amenities — parks and grocery stores — which are far more important to residents, as opposed to 9-5 workers.

“We’re really excited about what this means for Downtown and what it means for the West Gateway,” said Austin Metoyer, president and CEO with the Downtown Long Beach Alliance.

“That’s going to be a real need for residents who move into this neighborhood,” Metoyer said.