Sterick and Dermon buildings, Lowenstein House will get new life

By Sophia Surret – Daily Memphian

April 17, 2024

The Lowenstein House, Sterick Building, and Dermon Building developers have each received a $300,000 Tennessee Historic Development Grant.

On April 15, the Tennessee Department of Economic and Community Development announced recipients of the $5.7 million Historic Development Program approved by the General Assembly three years ago.

The three Memphis buildings were among 26 historic properties statewide selected for the program, which encourages investment in abandoned historic buildings. The funding is expected to generate more than $13 million in private investment.

Dermon Building OZ LLC will use its $300,000 grant toward a $22.3 million renovation of the 99-year-old Dermon Building into a 159-room Holiday Inn Express. The 99,960-square-foot building at 46 N. B.B. King Blvd. is expected to be completed in the first quarter of 2025. The project will include ground-floor commercial space, a basement with amenities, and a rooftop common area.

Sterling Hedrick LLC will apply its $300,000 grant to refurbish the 29-story Sterick Building at 8 N. B.B. King Blvd., originally built in 1929. The 340,000-square-foot building is planned for mixed use, potentially including retail space, multifamily units, and a boutique hotel.

Regents Park QOZB LLC will use its $300,000 grant to repurpose the 1891 Lowenstein House at 756 Jefferson Ave. into a co-working hub. The 2.5-story, 27-room mansion was purchased in 2021 for $750,000.