The city of Jacksonville Neighborhoods Department is proposing that the city award a $5 million low-interest loan to The Vestcor Cos. for development of a 240-unit affordable housing community along south Beach Boulevard near St. Johns Bluff Road.
As described in a memo to the Mayor’s Budget Review Committee, the completion loan would support construction of the eight-building project on 11 acres of vacant land at 11000 Beach Blvd. All units in the three-story buildings would be reserved for renters with 60% of the area median income.
Should the city approve the loan, Vestcor would contribute $5 million in direct investment and would pay approximately $7,350,000 for the land, according to the memo.
The property at the address comprises two parcels totaling 13.38 acres, according to the Duval County Property Appraiser’s Office. They are owned by Pamela Equities Corp., a real estate company based in New York City.
There are two 12,000-square-foot buildings at the front of the properties. Dollar Tree, Little Caesars Pizza and Happy Hound Dog Resorts are tenants. A strip mall that sat behind those buildings was demolished.
East of the apartment site is the St. Johns Square shopping center owned by Sleiman Enterprises. To the west is the Countryside Village manufactured home community.
Vestcor is set to begin the permitting process for the property once the city would approve the $5 million loan, according to the memo. The permitting process, which would last six months, would be followed by 14 months of construction and another six months of stabilization. The project will be funded with a mix of private money and the city’s tax credit financing.
Terms call for the loan to be paid back at a 1% simple interest rate over 20 years, according to the memo, with a payment of any outstanding principal balance paid back at the conclusion of the loan. The loan would be financed through the city’s general fund.
The total development cost is listed at $56.5 million. Construction is set to begin by Sept. 1, 2026, and be completed by May 1, 2028, according to an economic development agreement attached to the memo.
Plans for the community include 96 one-bedroom units, 96 two-bedroom units and 48 three-bedroom units, according to the memo. It will also feature a clubhouse, pool and dog park. Projected rents are $1,082 for a one-bedroom, one-bathroom unit, up to $1,504 for a three-bedroom, two-bathroom unit.
The proposal passed the seven-member Mayor’s Budget Review Committee unanimously Feb. 9, with member Brittany Norris absent. With MBRC approval, the item is set for consideration by City Council.
Jacksonville-based Vestcor has developed multiple affordable apartment communities in Northeast Florida. It’s website shows 17 in Jacksonville, including several Lofts properties.