A Transformational Economic Engine for Downtown Sacramento
Sacramento State is advancing a first-of-its-kind downtown economic development initiative within the California State University system: a transformative 2 to 5 million square foot mixed-use development located steps from the California State Capitol. This landmark project will establish a new downtown State Capital Campus, integrating public and private uses that support education, housing, workforce development, innovation, hospitality and cultural vitality while serving the needs of downtown Sacramento and the broader region.
This development project will create a dynamic and future-focused downtown campus that strengthens Sacramento State’s statewide impact, accelerates downtown economic activity, and establishes a national model for public-private university-led economic development in the heart of the capital city.
See AnnouncementMessage from Sacramento State
President Luke Wood and Chief of External Relations and Interim Sr. Asociate Vice President for University Communications Michelle Willard
About the Project
Funding
The State of California and the Department of General Services (DGS), in partnership with Sacramento State, secured a substantial donation from a private sector industry partner towards starting the development project. The donation of funds will go to DGS to demo and abate underutilized and obsolete state-owned buildings and reimagine the site as a vibrant, modern urban campus.
Land Transfer Agreement
Last year, DGS and Sacramento State announced they are operating under an Exclusive Negotiating Agreement (ENA), providing the University with one year of exclusivity to negotiate a land transfer.
Advancing Sacramento State's Mission
The project will serve students, faculty, staff, and the community while advancing Sacramento State’s mission as a flagship university deeply connected to California’s civic, economic, and policy leadership. This development is envisioned as a transformational economic engine for downtown Sacramento, supported by business leaders, elected officials, and community stakeholders who recognize its potential to catalyze long-term growth and revitalization.
Potential Uses
Student Housing
Student housing: Housing solutions that support downtown revitalization, featuring market-rate housing alongside affordable housing for Sacramento State students, faculty, and staff.
School of Public Affairs
A new state-of-the-art School of Public Affairs, strategically located adjacent to the State Capitol to serve the world’s fourth-largest economy. The school will connect education, public policy, innovation, and leadership, building on Sacramento State’s nationally recognized State Capitol Fellows Program.
Performing Arts
A mixed-use performing arts and music venue designed to serve both the campus and the broader community, enhancing downtown’s cultural and creative economy.
Artificial Intelligence Center
An Artificial Intelligence Center supporting a new bachelor’s degree in AI Business Management, positioning Sacramento State at the forefront of workforce development for industries of the future.
Hotel
A boutique hotel to accommodate visiting students, families, research partners, and university guests, while contributing to the much-needed hotel capacity to strengthen downtown tourism and business travel.