Author Topic: A Brief Look at the Laura Street Trio Incentive Package  (Read 21252 times)

thelakelander

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #60 on: April 11, 2024, 12:11:42 AM »
^Atkins had possession of the Trio well before Boyer joined the DIA.
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AdamsOnAdams

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #61 on: April 11, 2024, 06:49:54 AM »
It’s way past time for Lori Boyer to retire, collect her gold watch and ride off into the sunset. The DIA hasn’t accomplished much under her leadership. Atkins isn’t much better. He’s like Lucy holding the football - just when you think he’s been given an incentive package that will enable him to get started on the project, he yanks the football away and demands a sweeter deal. Downtown will be better off when both are no longer involved in its renewal.

Steve

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #62 on: April 11, 2024, 11:37:17 AM »
Councilman Peluso this morning calling for eminent domain of the Trio.

DIA staff called the proposals from SouthEast “untenable”:

https://www.bizjournals.com/jacksonville/news/2024/04/09/laura-street-trio-untenable.html

There is some precedence for this....thinking of the building that now houses Cowford Chophouse. The issues there were a little different as that guy was trying to actively demolish the building and Atkins does not.

This is frustrating because I believe Atkins really wants to do the right thing here and develop the buildings. But, he clearly doesn't have the money to do it and he doesn't want to take on another investor.

One point I was mistaken on. The Bostwick Building wasn't taken through Eminent Domain. It was taken through a code enforcement lean.

Jax_Developer

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #63 on: April 11, 2024, 03:34:12 PM »
If the restoration of the trio was isolated, then the discussion would be much different. Having a new construction portion to the project really should be "another" project all together.

Moreover, if the buildings were in that much disrepair, & the community wanted them saved, he could just be completely transparent on the engineering & condition of the building(s). It's not the finishes that sway project costs so drastically. Hard to imagine there isn't some reporting to justify a crazy high budget per door.
« Last Edit: April 11, 2024, 03:35:44 PM by Jax_Developer »

vicupstate

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #64 on: April 11, 2024, 04:50:57 PM »
Letting Aundra Wallace go over to the C of C seems like a big mistake at this point.  Getting someone with the credentials that Nate Monroe wants is going to be difficult. DT JAX has a decades long history of failure that preceded Boyer. Anyone seeking the position would have to think it is a systemic problem. And the thing is, they would be right to think that. I think Deegan has a real shot to get the ball rolling but she won't be in office but seven more years and that is if she is lucky. 
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Zac T

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #65 on: April 12, 2024, 08:01:38 PM »
DIA committee keeps door open to future negotiations with SouthEast Development

Quote
A Downtown Investment Authority committee opted not to recommend closing the door on conversations with the developer of a project to resurrect the Laura Street Trio.

The Strategic Implementation Committee voted 5-0 on April 12 to defer a resolution aimed at ending negotiations with Steve Atkins, principal of SouthEast Development Group, on his most recent proposal to redevelop the cluster of historic buildings in the heart of Downtown Jacksonville.

Instead, the committee directed DIA staff to amend the resolution to emphasize that it applied only to the current proposal and would not preclude further negotiations with Atkins on the project. The full DIA board will consider the revised resolution at its next monthly meeting, scheduled for April 17.

https://www.jaxdailyrecord.com/news/2024/apr/12/dia-panel-leaves-door-open-for-atkins-on-laura-street-trio-redevelopment/

marcuscnelson

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #66 on: May 09, 2024, 11:34:06 AM »
New proposal from SouthEast:

https://www.jacksonville.com/story/news/local/2024/05/09/developer-makes-new-request-for-laura-street-trio-in-jacksonville/73585217007/

No more loan guarantee, but the ask is for $49 million in cash grants (including $21 million that would be paid upon closing of financing), $22 million in Downtown Preservation and Revitalization Program loans, and another $2 million forgivable loan, as well as a 75% property tax rebate for 10 years.

Overall project cost is now $191 million.
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jaxlongtimer

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #67 on: May 09, 2024, 12:06:51 PM »
Well, it looks to be less than the 50% contribution the Jags are asking regarding the stadium so, obviously, a good deal for the City  8).

I want the Trio to be restored but hope the City is doing proper due diligence on terms and costs of the project.  Paying $21 million upon closing financing seems over the top... should be paid out as the City's portion of percentage-of-completion payments approved up by a third party assessor and invoices from the design and construction vendors with 10% retention.

Ken_FSU

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #68 on: May 09, 2024, 12:20:07 PM »
New proposal from SouthEast:

https://www.jacksonville.com/story/news/local/2024/05/09/developer-makes-new-request-for-laura-street-trio-in-jacksonville/73585217007/

No more loan guarantee, but the ask is for $49 million in cash grants (including $21 million that would be paid upon closing of financing), $22 million in Downtown Preservation and Revitalization Program loans, and another $2 million forgivable loan, as well as a 75% property tax rebate for 10 years.

Overall project cost is now $191 million.

It's a lot of public money ($50 million in cash), and very risky/potentially sets a bad precedent to pay Southeast $21 million upfront upon them securing financing.

RE: Lori Boyer's quote here:

Quote
"It is a big number," Downtown Investment Authority CEO Lori Boyer said. "It's a big city investment in the deal, and I think that's a policy decision for City Council and the mayor's office about the importance of this building and how it fits into the bigger picture of city expenditures. But from the standpoint of whether this is what it takes to get this deal done — probably."

If it's the best we can do and this is what it will take, I think we've got to pinch our nose and do it, just to get this thing done and avoid restarting from scratch or letting the property get tied up in litigation for years.

It's obvious that it's a lot of city money to build it.

What's less obvious but equally important is how much money we're losing, both in opportunity and in high subsidies, by having this blight in the heart of our CBD.

Do what we gotta do, get her done, and then move on from Southeast.

Costs and wackiness aside, it's a great mix of uses, will bring life to Laura Street and complement our investments on periphery, and is a fifty times better use of $40-$50 million dollars than subsidizing the Related high rise on the Southbank.
« Last Edit: May 09, 2024, 12:22:20 PM by Ken_FSU »

jaxoNOLE

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #69 on: May 09, 2024, 03:14:24 PM »
Costs and wackiness aside, it's a great mix of uses, will bring life to Laura Street and complement our investments on periphery, and is a fifty times better use of $40-$50 million dollars than subsidizing the Related high rise on the Southbank.

Atkins owes Related a huge favor, because their ask makes his request seem reasonable. The up-front cash is concerning, and something along the lines of jaxlongtimer's suggestion seems very reasonable. Outside of that, it's time to get the Trio going and move on. The Related deal can wait if need be.

Ken_FSU

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #70 on: May 09, 2024, 04:30:59 PM »
Costs and wackiness aside, it's a great mix of uses, will bring life to Laura Street and complement our investments on periphery, and is a fifty times better use of $40-$50 million dollars than subsidizing the Related high rise on the Southbank.

Atkins owes Related a huge favor, because their ask makes his request seem reasonable. The up-front cash is concerning, and something along the lines of jaxlongtimer's suggestion seems very reasonable. Outside of that, it's time to get the Trio going and move on. The Related deal can wait if need be.

Totally agree.

You do these five things well:

Riverfront Plaza with a restaurant and cafe
VyStar garage retail (Brewery + Pizza Restaurant)
Laura Street Trio
Hemming Park Redesign (hopefully a better version than what we've seen)
Main Library Retail bays reopening

That's a really, really solid start, and you can probably start backing off tossing cash completion grants at everything in the vicinity.



Steve

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #71 on: May 09, 2024, 06:18:22 PM »
Are they seriously looking at the library retail bays? I always thought they were designed stupidly-no reason the doors on either side of the center door couldn’t open directly into the retail bays so they could keep separate hours from the library.

Ken_FSU

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #72 on: May 09, 2024, 07:49:07 PM »
Are they seriously looking at the library retail bays? I always thought they were designed stupidly-no reason the doors on either side of the center door couldn’t open directly into the retail bays so they could keep separate hours from the library.

Wishful thinking on my part, but nothing that I know.

Same with Snyder Memorial.

Should be JWJP’s showpiece restaurant/bar. Instead, it’s sitting off the taxrolls in the city’s possession for decades.

vicupstate

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #73 on: May 10, 2024, 08:35:45 AM »
If I were voting on this I would approve it, if I knew that this was it. by that I mean it's finally going to get done and in a timely manor, and without additional asks or 'value engineering' or reduction of uses/scope.  But there is no such guarantee, especially with this developer. 
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Ken_FSU

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Re: A Brief Look at the Laura Street Trio Incentive Package
« Reply #74 on: May 10, 2024, 09:04:41 AM »
If I were voting on this I would approve it, if I knew that this was it. by that I mean it's finally going to get done and in a timely manor, and without additional asks or 'value engineering' or reduction of uses/scope.  But there is no such guarantee, especially with this developer.

If we're writing Southeast a $21 million check upfront, I think they should be wiling to put the Trio up as collateral.

If the project isn't completed or stalls mid-way, the city takes ownership of the property.