The Downtown Investment Authority on Aug 18 will consider giving Atlanta developer Jeff Fuqua $28.4 million in Recapture Enhanced Value grants for his plan to transform the former Florida Times-Union property along the Downtown Northbank into retail and residential spaces called One Riverside Avenue.
According to the term sheet provided Aug. 12 by the city, the estimated total development cost of the project is $182,214,847.
City incentives would be no more than $30,844,140, comprising the REV grants, property transferred from the city to the developer and a mobility fee credit.
Fuqua Development is under contract to acquire the 18.34-acre site at 1 Riverside Ave. in Brooklyn with closing expected by Dec. 31.
Following that closing, the city would purchase approximately 4.9 acres on the east side of that property for the uncovering of McCoys Creek and development of a park.
Fuqua proposes to develop the remaining west portion of the property, about 13.42 acres, in two phases.
Phase 1 comprises an estimated 39,256 feet of retail space, including a 23,256-square-feet organic grocery store and 16,000 square feet of speculative retail space; two multifamily residential buildings totaling 271 units; a five-story parking garage with 420 spaces and 195 spaces of surface parking.
Phase 2 comprises two mixed-use buildings with about 15,000 square feet of retail space; a riverfront restaurant; a multifamily residential building with 125 units; and parking.
The proposed REV grants total $28,419,169 and provide 20-year, 75% refund on the property’s tax growth. They comprise:
• Phase 1 retail: $2,757,711
• Phase 1 residential: $17,347,914
• Phase 2 mixed-use: $ 8,313,544
The appraised value of the park land is $7.76 million assuming a clear title and the ability to develop. There is a title issue that may impact value and development capacity. The park land is proposed to be acquired for $6.04 million, which reflects the cost savings to the McCoys Creek project.
If Fuqua is able to clear the title issue, the city will pay the developer a completion grant in the amount of the difference between the amount previously paid and full appraised value, shown at $1.7 million on the term sheet.
The city also will provide Fuqua $160,651 mobility free credit.
The term sheets states the city’s investment represents 15.6% of the total project cost.
Fuqua would start demolition of the existing structures by June 30, 2022.
In the multifamily development, TriBridge Residential would serve as co-developer.
The unit mix for the first 271 proposed units is shown as 165 one-bedroom units of 650 to 720 square feet at rents of $1,600 to $1,900; 102 two-bedroom units of 1,050 square feet at $2,900 a month; and four three-bedroom units at 1,350 square feet at $3,000 a month.
Those are rents of $2.22 to $2.76 a square foot.
The second phase of 125 units include one- and two-bedroom units at $1,500 to $2,600 a month, averaging $2.45 a square foot.
The DIA meets at 1 p.m. Aug. 16 in the Lynwood Roberts Room at City Hall and on Zoom here.
