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The Portland Development Commission believes the 511 Federal Building, constructed nearly a century ago, can become a link between two of the city’s distinct districts: Old Town/Chinatown and the Pearl District.

The PDC Board of Commissioners on Wednesday approved a $740,000 grant to help the Pacific Northwest College of Art pay for predevelopment costs to convert the building, at 511 N.W. Broadway, into an educational facility.

鈥淚t’s exciting for us because the school has a growing presence in town and we believe (it) can help substantially with our long-range plans along the Broadway corridor,鈥� said Anne Mangan, a spokeswoman for the PDC.

The 511 Federal Building was formerly a federal post office; it was added to the National Register of Historic Places in 1979. The school plans to transform it into office space, classroom and studio space, a resource center and a black box theater able to be used for lectures, installations and performances. The building will add more than 100,000 square feet of space to the campus; the school expects to be able to nearly double student enrollment and add about 50 employees in the coming years.

Gus Baum, director of institutional research for the PNCA, said the school became interested in the building because of the city’s plans around Northwest Broadway.

鈥淲ith a park being planned in the parking lot of the building by the parks department, and the potential redevelopment of the nearby post office buildings, the location of this building couldn’t be better,鈥� Baum said. 鈥淲e hope to be the catalytic project here and help get the area going.鈥�

The PNCA acquired the rights to redevelop the building, owned by the federal government, in 2008 after the General Services Administration listed the building as surplus property. The school was selected in a competitive proposal process.

The building is being used by the U.S. Department of Homeland Security as the Portland offices of the U.S. Immigration and Customs Enforcement. It’s planning to move to a building in the South Waterfront District, and the deed of the 511 Federal Building would then transfer to the PNCA at no cost as long as the school uses it for educational purposes for at least 30 years.

The PNCA must match the grant, which is coming out of the River District Urban Renewal Area. The school will use the $1.48 million over the next year to conduct all due diligence before acquisition of the building, prepare 20 percent construction documents for the project and begin developing a conceptual master plan for further expansion 鈥� including possibly a PDC-owned block across the street.

Mangan said the school plays a big role in the area, and is the type of entity the PDC likes to partner with. Plus, she said, all the money is contingent on a number of conditions being met. For instance, the PNCA must start its work before the end of the year and finish within 12 months.

Redevelopment of the 511 Federal Building is expected to cost approximately $26 million, but that amount could change because predevelopment work isn’t finished. The school has hired Howard S. Wright as the contractor, Allied Works Architecture as the architect and Gerding Edlen to oversee the project. The construction timeline is dependent on when the existing tenant moves out; however, school officials hope to occupy the building by 2014.

John Jay, executive creative director with Wieden + Kennedy, agrees with Mangan and Baum that the PNCA plays a vital role in redevelopment of the area, and the connection between Old Town and the Pearl District.

鈥淚n my opinion, PNCA and the 511 project is the catalytic development that will finally bridge the raw and dynamic energy of Old Town with the newly developed Pearl District,鈥� Jay wrote in a letter of support for the project. 鈥淚n addition to PNCA itself and (its) students, many arts, education and design partners across the city, state and region will benefit from the expanded programming the 511 Building will provide.鈥�