By AUSTIN WALSH
SANTA CRUZ -- The federal government gave the Santa Cruz redevelopment agency a $4.7 million grant Tuesday for the next phase of the Tannery Arts Center that officials hope will stimulate construction jobs and provide long-term high-tech opportunities.
The funds will be used to renovate the Tannery's Tanyard and Beam House buildings to create digital media work spaces for local artists to lease.
"We're grateful that the EDA has decided to make such a significant investment in our economy," said Bonnie Lipscomb, Santa Cruz's economic development director. "Through our efforts at the Tannery, we hope to generate high-paying, permanent jobs in Santa Cruz in digital media and creative arts as well as cement the region's reputation for innovation and entrepreneurship."
The Economic Development Administration allocated the funds as part of the federal government's stimulus effort to create jobs and boost development in parts of the country hit hard by the recession.
"I think we will be able to keep a lot of our talent that lives here working here, instead of commuting over the hill," said county Supervisor Neal Coonerty.
Building renovations will create a number of redevelopment and construction jobs at the Tannery, near the intersection of highways 1 and 9, beginning later this year, Lipscomb said. Eventually, the studios will provide opportunities for permanent positions in product and industrial design, digital arts and new media, she said.
The studios will eventually offer 30,000 to 35,000 cubic feet of studio space for local artists, according to George Newell, the project director of the Tannery Arts Center, which is on the site of the former Salz Tannery, which operated from 1856 to 2001.
The renovation effort will focus on maintaining the structural integrity of the landmark buildings, and upon completion will feature an exhibit telling the site's historic significance to Santa Cruz.
"It's a great thing to preserve our local history and invest in future economic engines in the art industry," said Newell.
Phase two looks to be finished by 2011, according to Newell. The first phase established low-cost living quarters at the Tannery for local artists. The Tannery Lofts doors opened in March. The third stage will create an onsite performing arts studio.
The project, which has a running budget near $40 million through two phases, is being developed by Minneapolis-based Artspace. Construction is expected to begin on the last phase of the center in 2010.
"We are really excited to have other artists come in and work on site," said Kirby Scudder, a resident artist at the Tannery.