Festival Street, Arts Alley and a Climbing Hub: Rio Grande District Salt Lake City Gets a $14.5M First Phase

Salt Lake City has a preliminary estimate of a little more than $14.5 million for the first phase of Rio Grande District infrastructure: two new streets, an arts alley and a rebuilt 300 South "festival street" between 500 West and 600 West. The work is built around USA Climbing's planned national training center, which a city project manager said could break ground as early as next spring. The city has not set a construction date for the streets themselves.

Here's what's planned, how it would be paid for and what to watch if you are eyeing downtown Salt Lake City condos or investment property.

THE FUN PART: WHAT PHASE 1 INCLUDES

A festival street you can drive on

Instead of a standard road, the city is designing a "unique shared space" with curving, non-linear lanes shared by cars, bikes and pedestrians, according to Wayne Mills, senior project manager for the Salt Lake City Community Reinvestment Agency (CRA). Plans call for large canopy trees, planters, overhead catenary lights, electrical outlets, tent anchor points and bollards that can close the street to cars.

"We're just telling people it's a really cool plaza you can drive on for the time being," Mills told the CRA board, KSL reported.

The district plan calls the 660-foot block a "curbless central urban square flanked by shops and restaurants spilling out at the edges," with clear views to the historic depot, and lists ideas like farmers markets, food truck Fridays and holiday markets. The official name is still being debated.

An arts alley built for hanging out

Arts Alley South will sit between the climbing center and the new Woodbine Court, a passive hangout space with trees, planters and turf. It borders the historic Salt Lake Mattress building, which is being rebuilt as part of the USA Climbing project with a ground-floor cafe opening onto the plaza. A more programmable north plaza comes in Phase 2.

USA Climbing's national training center

The USA Climbing facility in Salt Lake City is planned on CRA-owned land at 300 South and 500 West. The sport's governing body is still fundraising and in building permit review, Mills said. Its April permit application describes a three-story, nearly 103,000-square-foot facility with indoor and outdoor walls, expected to cost nearly $49 million, according to Building Salt Lake. It would double as a commercial climbing gym, and USA Climbing expects about 400,000 visitors a year.

Two new streets and the "backbone"

Market Street and Woodbine Court will run south and west of the facility. Both get on-street parking and street trees every 20 to 30 feet, and Market Street will have a curbless north side to improve access for para-athletes. Phase 1 also buries overhead power lines and adds new electrical service, water and sewer upgrades and telecom conduit.

WHERE THE RIO GRANDE DISTRICT IS AND WHAT THE PLAN COVERS

The Rio Grande District is a two-block area between 200 South and 400 South and 500 West and 600 West, sandwiched between the Rio Grande Depot and UTA's Salt Lake Central Station. The CRA owns about 11 acres there. The CRA board endorsed the Rio Grande District Vision and Implementation Plan in December 2024, and in March 2026 the City Council named the district a catalytic downtown project in the Downtown Master Plan.

The plan calls for dense development with active ground floors, with housing, commercial space, hotels and parking structures eventually wrapping around the climbing center. "In some ways, it's going to be a mini city," City Council Chair Alejandro Puy told KSL.

The Rio Grande Depot's role

The depot anchors the district's east edge, and the plan keeps clear views to it down the festival street. The building is still closed for renovations and seismic retrofitting after the 2020 earthquake. The state transferred ownership to the University of Utah earlier this year, and how it will be used is still unclear. UTA is also planning to redevelop Salt Lake Central Station on the district's west side.

HOW PHASE 1 WOULD BE PAID FOR

The estimate is based on designs only 40% complete. A CRA staff memo says the bond would be backed by tax increment from the Station Center Housing and Transit Reinvestment Zone, and the bond and impact fees still need City Council approval. That memo, prepared for an earlier advisory committee briefing, put the total at about $14.9 million, so expect the numbers to move. Options to close the gap include reallocating funds, city contributions and value engineering. Board members also flagged a tight budget and safety concerns about shared lanes on the festival street.

WHEN CONSTRUCTION COULD START

There is no construction timeline for the new streets yet. The CRA's next step is 70% construction drawings. The clearest date is USA Climbing's possible groundbreaking next spring, depending on fundraising. The CRA expects to offer district land to developers next year, through ground leases rather than sales.

Nearby: the Parry Block proposal

Just north, on 100 South between 600 West and Dansie Drive, Ulysses Development Group pitched 116 homes for the CRA's 2.33-acre Parry Block on Oct. 13. Fifty-eight would be for sale at projected prices of $365,000 to $440,000, Building Salt Lake reported. The developer offered $2.5 million for land appraised at $12.18 million, and the board held off, asking for an updated appraisal.

WHAT THIS MEANS FOR DOWNTOWN SALT LAKE CITY REAL ESTATE

• The district is mostly vacant land today. Phase 1 has a price tag, not a construction schedule.
• The climbing center is the anchor to watch. Its groundbreaking is the clearest sign of momentum.
• Downtown Salt Lake City development keeps pushing west. Compare this area with the Power District.
• New for-sale housing here is still a proposal. Downtown Salt Lake City condos for sale today are in existing buildings nearby.

FREQUENTLY ASKED QUESTIONS

What is the Rio Grande District in Salt Lake City?

It is a planned mixed-use neighborhood on downtown's west edge, between 200 and 400 South and 500 and 600 West, next to the Rio Grande Depot and Salt Lake Central Station.

What is the Salt Lake City festival street?

It is a planned rebuild of 300 South between 500 West and 600 West into a curbless, tree-lined shared street with overhead lights and event hookups. Bollards could close it to cars for markets and festivals.

When will the USA Climbing facility in Salt Lake City break ground?

A city project manager said it could break ground as early as next spring. USA Climbing is still fundraising and in permit review, so that could change.

How much will the first phase of the Rio Grande District cost?

The preliminary estimate is a little more than $14.5 million, including a 20% contingency. Committed CRA money, a revenue bond and impact fees cover about $13.7 million, leaving a gap of roughly $800,000.

Are there condos for sale in the Rio Grande District?

Not in the new development yet. The CRA has not offered its district land to developers, and a nearby Parry Block proposal with 58 for-sale homes has not been approved. For now, buyers shop existing downtown condos.

READY TO BUY NEAR THE RIO GRANDE DISTRICT?

Whether you want a downtown condo within walking distance of the future festival street or an investment property ahead of the climbing center, timing matters. Red Sign Real Estate Team has helped Utah buyers since 2008 and has earned 1,950+ five-star reviews. Search current downtown listings, then connect with our team to compare buildings, HOAs and rental rules before you offer.

Sources: Carter Williams, KSL.com, "Salt Lake City outlines $14.5M first phase of Rio Grande District infrastructure," Oct. 17, 2026 (ksl.com). Salt Lake City Community Reinvestment Agency, Phase One Public Improvements staff memo (Oct. 2026) and district plan (Dec. 2024). Building Salt Lake, Apr. 7 and Oct. 13, 2026. USA Climbing (usaclimbing.org).

Rendering: Salt Lake City Community Reinvestment Agency