A $150 Million Project Could Change Salem’s Riverfront
Salem’s riverfront has sat mostly dormant for years, but that could be changing in a big way. Developers are pitching a $150 million redevelopment of the former cannery site along the Willamette River, and framing it as more than a real estate project. The organization sees it as a test case for a bigger idea: that Salem has valuable assets it isn’t fully using.
The Cannery, as the project is known, sits on 13 acres of long dormant industrial land near downtown. The first phase calls for a 383 unit multifamily rental complex alongside roughly 60,000 square feet of retail and restaurant space. A second phase would add close to 400 more residential units and another 70,000 square feet of retail and dining.
What sets this proposal apart is the push for a new funding model, one inspired by Portland’s Prosper Portland approach to economic development. The concept would use city owned assets, including parking garages, development parcels, parks, riverfront property, and civic infrastructure, more strategically to generate new revenue.
The projected numbers are significant. Supporters estimate the model could bring in $13 to $34 million in revenue over five years, spur more than $100 million in private investment, and create up to 2,600 new jobs. By 2030, the city could see an additional $6 million to $12 million in annual revenue simply by rethinking how it uses assets it already controls.
For a mid-sized city working to revitalize its downtown core, a project like this offers a real world test of whether creative public private partnerships can move the needle on both housing supply and municipal revenue at the same time. If it works, expect other Willamette Valley cities to take notice.
New multifamily supply of this scale, paired with retail and dining, tends to shift how a neighborhood is perceived, often ahead of any actual construction being finished.
For buyers, sellers, and investors near Salem’s core, riverfront development at this scale is worth tracking closely. If you have questions about how a project like this could affect property values in your local market, reach out anytime. I am always happy to dig into the details with you!
