The City of Atlanta has reached a proposed agreement with CIM Spring St. for the development of the downtown area known as the Gulch. The agreement, which awaits review and approval by the Atlanta City Council includes both the exchange of real property and numerous public purpose initiatives that support the city’s goals with regard to affordable housing, public safety and economic development.
“This proposed agreement with CIM represents a once in a lifetime chance to bring much needed investment and redevelopment to the heart of downtown Atlanta. The planned development will not only increase the city’s tax base and help to attract new employers, it will bring us closer to our vision for One Atlanta through a number of significant investments,” commented Mayor Keisha Lance Bottoms. “I am hopeful that the members of the City Council will support this exciting and transformative opportunity for Atlanta.”
Public purpose initiatives agreed to by CIM Spring St. include:
- An investment of $28,000,000 into a trust fund that will be used to increase affordable housing citywide
- A commitment to construct a minimum of 200 residential units or 20% of the total built, whichever is greater, as affordable housing
- An investment of $12,000,000 into an economic development fund that will be used to encourage new investment citywide
- A commitment of $2,000,000 towards the implementation of the Atlanta Committee for Progress-designed workforce development plan
- The construction of a new APD mini-precinct, which will be leased to the city for $1/year
- The construction of a new, seven-bay fire station or $12,000,000 towards the cost of building a new station
- Numerous security enhancements in the area including public safety call boxes and cameras
- A commitment to lease office space for Invest Atlanta at 50% below market rate
- A commitment to host the annual Peach Drop for the next ten years at no rental cost to the event organizers
- Construction of a new Nelson Street Bridge at an estimated cost of $5,000,000
- Establishment of a commemorative marker recognizing Carrie Steele Logan’s creation of the first orphanage to serve African American children in Georgia
- A commitment to a goal of at least 38% utilization of minority and female owned businesses and to offer 10% equity to MBEs and/or FBEs
- An agreement to cover all customary fees associated with redevelopment projects
As part of the agreement, CIM Spring St. will renovate office buildings at 185 Spring Street and 160 Trinity Avenue. The developer will also demolish the building currently at 175 Spring Street, making the space available for parking along with the Packard Parking Lot, which will be resurfaced. In exchange, the City is giving a warehouse at 2 City Plaza and the 2 City Plaza parking lots on Fairlie Street to the developer. The end result will be approximately 35 usable acres of new infrastructure, roads, sidewalks, open space and city parks in a previously undeveloped area of downtown Atlanta.
The City Council is expected to vote on the proposed agreement on September 17, 2018.
City of Atlanta Secures $42,000,000 in Affordability Guarantees in Proposed Gulch Development was originally published on atlantadailyworld.com