The Subport parking lot across from Centennial Hall on the corner of Egan Drive and Whittier Street will close Monday as demolition crews move in to create a staging area.
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The nearby Subport Warehouse Building is scheduled for demolition this fall in preparation for future development of the prime waterfront site.
Owned by the Alaska Mental Health Trust Authority, the building and parking lot provide income to state metal health services.
The trust's Executive Director Harry Noah said there is no formal plan for developing the site after demolition.
Deputy City Manager Kim Kiefer said the city once developed a master plan for the waterfront including the Subport properties. The work conceiving development of the Subport was done in partnership with the mental health trust, she said.
The city's Long Range Waterfront Plan, developed in 2003, calls redevelopment of the Subport and properties surrounding it "the largest and most ambitious effort in the plan." The concept includes moorage for 105 vessels, a fish and food market, hotel, office, residential and retail space.
"But we don't have any control of development there," Kiefer said.
With no date set for the demolition to begin, Noah said the lot would return to its former use until development begins.
Most recently, the parking lot has been used as overflow parking for the U.S. Coast Guard, Noah said.
"In the short term, it will revert to parking," he said.
Chief Petty Officer Barry Lane said the loss of parking presented no trouble for the men and women working in the nearby station.
"They will just park on the wharf and walk to work," he said.
Contact Greg Skinner at 523-2258 or email@example.com.