INVEST ATLANTA South Downtown Redevelopment Eastside TAD ...€¦ · PROJECT DEVELOPER: Newport US RE (Jake Nawrocki and Katharine Kelley) DESCRIPTION: Newport US RE intends to renovate

INVEST ATLANTA South Downtown Redevelopment

Eastside TAD Ascension Fund Fact Sheet

PURPOSE: To authorize up to $8,000,000 from Eastside TAD tax increment to redevelop an

eight-block area in downtown into a $182 million mixed-use project. PROJECT NAME: South Downtown Redevelopment PROJECT OWNER: NEWPORT South Downtown Master, L.P. LOCATION: Various Council District: 4 NPU: M PROJECT DEVELOPER: Newport US RE (Jake Nawrocki and Katharine Kelley) DESCRIPTION: Newport US RE intends to renovate and adaptively reuse 38 buildings, totaling

410,000 square feet of existing space, in an eight-block area of south downtown into a vibrant mixed-income, mixed-use neighborhood with arts and entertainment.

o 225,128 square feet of retail o 173,053 square feet of office o 52 residential units (20% workforce units at 80% AMI) o 186 structured parking spaces (renovation)

Newport US RE has made additional acquisitions in the area that are not located within the boundaries of the Eastside TAD and, thus, not included as part of this application.

RESIDENTIAL PROGAM:

Type Mkt/ Workforce

Units

Avg. Size (Sq. Ft.)

Market Rent Workforce Rent

$/Mo $/SF $/Mo $/SF Studio 14/4 478/478 $976 $2.04 $976 $2.04 1BR 14/4 705/705 $1,260 $1.79 $1,045 $1.48 2BR 13/3 1308/1308 $2,159 $1.65 $1,255 $0.96 Total 41/11 812 $1,398 $1.77 $1,077 $1.37

SOURCES AND USES: USES Total % of Total

Land $60,091,242 33% Hard Costs $57,277,739 31% Soft Costs $64,761,483 36% Total $182,130,464 100% SOURCES Debt $88,240,780 48% Equity $74,739,820 42% Historic Tax Credits $11,149,864 6% TAD $8,000,000 4% Total $182,130,464 100%

BENEFITS: 1. Directly supports the vision articulated in the Eastside TAD Redevelopment Plan by ensuring that the City of Atlanta “continues its century old role as the dominant commercial, retail, residential, and tourist center of the metro region.”

2. Redevelops a collection of underperforming and/or obsolete properties into their highest and best use.

3. Attracts substantial new jobs to downtown. 4. Generates substantial new taxes to the City of Atlanta. 5. Provides new workforce housing to downtown. 6. Provides neighborhood retail necessities and specialty goods, as well as

new dining options that contribute to the long-term vision of establishing downtown as a shopping destination.

7. Provides office and studio space for arts-based organizations, as well as new information technology, media, and startup businesses.

8. Applies best practices in placemaking and urban design, including activation of the street level and the mixing land of uses to support a 24-hour environment.

9. Commitment to EarthCraft Sustainable Preservation green building certification.

10. Leverages proximity to two MARTA Stations (Five Points and Garnett). DEFINED ECONOMIC DEVELOPMENT BENEFITS:

• $182 million of direct capital investment in downtown • Total economic impact from capital investment of $260 million • 1,963 temporary jobs created from construction** • 2,300 new permanent jobs created**

o 1,000 office jobs o 1,250 retail jobs

• $2.7 million in incremental annual property tax generation to the TAD***

*Based on ImPlan analysis **Estimated by Applicant ***Estimated by Invest Atlanta PROJECT TIMELINE: Firm Financing Commitments December 2017 Start of Construction December 2017 End of Construction February 2020 Initial Occupancy September 2018 Stabilized Occupancy July 2021

Project Location (Looking northwest, properties in blue, blocks in red)

Site Plan (looking southeast)

Underground Atlanta

F

Existing Conditions (Block A/B looking south along Peachtree Street)

Project Rendering (Block A/B looking south along Peachtree Street)

Existing Conditions (Block C/D looking south along Broad Street)

Project Rendering (Block C/D looking south along Broad Street)

Existing Condtions (Block F looking southeast)

Project Rendering (Block F looking southeast)