PENDLETON – Living in a gym isn’t usually an appealing prospect, but that’s just what Bruce and Margaret Gianotti intend to do.

The couple own the 100-year-old building that houses DG Gifts between Main and First streets on Southwest Court Avenue and are in the early stages of transforming the second floor into two loft-style apartments.

The upstairs area is divided into two cavernous rooms, including one side that used to house a gym, complete with a basketball court and a balcony with bleachers.

“They used to have basketball matches up here, and boxing and badminton,” Bruce said, adding that he believes St. Joseph’s Academy last used it.

Now all that remains of the court is barely more than some lines on the floor and it’s been several decades since spectators last sat in the balcony to watch a game, but there still is a locker room with fading names scrawled on the lockers.

“This is like going back in time,” Margaret said. “If there was a way we could preserve any of this it would be fun.”

The Gianottis hope to have the building completely renovated within a year and said they probably will end up living on the side that used to be the gym. Each unit will have two bedrooms, two bathrooms and office space and will feature upscale furnishings.

“We want to have nice floors, nice countertops and make it upscale,” Margaret said.

The unit for rent will be around 2,200 square feet, will rent for between $1,200 and $1,500 a month and features 14-foot ceilings. The side the Gianottis will reside in is about 2,800 square feet, including the indoor balcony space, and 24-foot ceilings.

“It’s kind of an open-living, loft-apartment concept,” Bruce said. “Kind of like in Portland. This is an incredible space.”

Bruce bought the building in 1992 with Raley Peterson and recently bought him out. Now retired, Bruce, 65, used to be a contractor and has renovated 35 houses in Pendleton since moving to the area in the early 1980s from Memphis, Tenn.

Margaret, 51, is the executive director of the Blue Mountain Community College Foundation. Margaret said the idea for the lofts came when Bruce was working on the second floor of Hamley’s.

“He said, ‘It gives me the dream that we can do it,’ ” Margaret said.

The couple is working with an engineer, the city and the Facade Restoration Committee to preserve the building’s history while bringing it up to date. They also are working with the city on the fire code, including adding the appropriate firewalls, entrances and exits and occupancy limits.

“The project is definitely in it’s infancy,” Bruce said. “But we’ve put some time into it already.”

Details like the windows are being carefully replicated with new materials, while the roof has already been replaced and a new sprinkler system and electrical system are on the way.

“The windows are being replaced. The window sash will be wood on both sides with a thermal pane. The Facade Committee doesn’t want vinyl,” Bruce said. “We’re not touching the exterior.”

Awnings will be installed and will be period-specific to the building.

There is space on the ground floor that will be turned into a foyer and about 800 square feet of commercial space that Bruce hopes a small grocery store or other shop will move into.

An elevator will be installed, and each apartment will have stair entrances and elevator access. The couple intends to spend between $250,000 and $300,000 on the project.

“As soon as we get our plans approved I’ll get a building permit and start framing,” Bruce said. “I do a lot of the work myself. I want to get started as soon as possible.”