2015 Chamblee DDA Abatement for The Olmsted

8/19/2019 2015 Chamblee DDA Abatement for The Olmsted

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Chamblee Downtown Development Authority

October 22nd

, 2013

Chamblee Gateway South

Discussed to-date:

20 year tax abatement with a lease payment to be agreed upon from Chamblee Gateway South to the

Chamblee Downtown Development Authority with the possibility of extending the lease payment

through year 40.

Proposal:

$1,000,000 minimum in lease payments to the Chamblee Downtown Development Authority to paid

in 20 annual payments of the greater of $50,000/year or 10% of what the ad valorem taxes would have

been based upon the annual valuation of the property. Such payments to start in 2014.

Option:

$1,500,000 minimum in lease payments to the Chamblee Downtown Development Authority to be

paid in 30 annual payments of the greater of $50,000/year or 10% of what the ad valorem taxes would

have been based upon the annual valuation of the property. Such payments to start in 2014.

Rationale: If the Chamblee Downtown Development Authority desires to monetize the annual lease

payment income stream the possibility of amortizing a 30 year payment is no different than 20 years

whereas 40 years is less common and may therefore be less likely to be accomplished.


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2015 Chamblee DDA Abatement for The Olmsted

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