Khan, Jaguars expect Lot J development to begin early 2020

[thelakelander]

Would love to see Flex N Gate at Lot J. That would make me a huge cheerleader because that would be a real economic coup for Jax and the Stadium District. I doubt that happens though.

Other than that, while I don't believe what has been proposed is any more game changing than a couple of RISE Doro style projects being built next to each other (I really hate when Jax leaders over sell these type of projects), I'm good with infill market rate development at Lot J (and any other place in the city), as the ROI is positive and doesn't hurt existing downtown businesses or drain public funds for more worthwhile community investments.

[Ken_FSU]

I didn't think the City Council members could commiserate on an issue without holding a publicly noticed meeting.

City Council met privately with Iguana last week.

[blizz01]

Link?

[marcuscnelson]

A lot to say about that Ken, but I'm gonna see what they've got here.

Here's an estimate from Ben Becker:

https://twitter.com/BenBeckerANjax/status/1313131610905157632

Just in: Sources tell me this is the breakdown of the Lot J deal the City will announce at noon:
$450 million total
$150 million city
$300 million Shad

[thelakelander]

That's a smaller incentives request than previously proposed. Any idea if the development plan has changed?

[thelakelander]

Live: https://www.jacksonville.com/story/news/local/2020/10/05/city-jaguars-unveil-latest-lot-j-development-plans/3621450001/

[thelakelander]

Only caught the end of it. Lot J construction timeline is dependent on city approval. The groundbreaking date thrown out was early 2021. Whenever construction actually begins, it would take 36 months to construct.

[marcuscnelson]

News is trickling out now. From Mike Mendenhall:

$450 million development at Lot J with a boutique hotel, two residential for-lease buildings with 400 units, 40,000 square feet of class A office space and a Live! entertainment Arena.

The city will pay for its $152.7 million incentive deal for the project through a bond.

[Steve]

I saw the whole thing, but no site plan renderings, etc. Obviously the economics are better in terms of city investment but I'd need to see some more details in order to comment.

One number that seemed unimpressive was 40k SqFt of office space - that's pretty small considering. Now, I'm not suggesting they should build a 500k SqFt high-rise with no commitments, and I'd like to see the rest of the details in order to comment fully.

[Ken_FSU]

That's a smaller incentives request than previously proposed. Any idea if the development plan has changed?

Major changes appear to be:

- Residential scaled back from 700-750 units down to 400
- More restaurant/retail than originally proposed
- Reintroduction of limited Class A office space (40k sf) into Phase I
- Some changes to parking (I thought I heard two garages?)

I need to re-listen, I might be wrong, but it sounds like the $60 million grant in the original proposal that the city would gift the developers has turned into a 20-year, $60 million loan that the City would extend to Cordish/Iguana instead.

New breakdown appears to be much closer to what I originally wanted to see (a 33/33/33 partnership between Jacksonville, Iguana, and Cordish, rather than a 50/50 public private split, with Coridish and Iguana each only chipping in 25%).

Video renders looked pretty rad, though value engineering will rear its head I'm sure.

Won't be a new urban neighborhood, but it will add a lot of vibrancy to the sports & entertainment district that should help keep Florida/Georgia pumping and bring in some new events as well.

[blizz01]

Did I hear that Khan was kicking in $300 million?

[Ken_FSU]

P.S. The Q&A was fun.

So rare to see Khan, Lamping, and Curry up there with an open mic.

Nate Monroe tends to get all the accolades, but Christopher Hong is really great too.

[Ken_FSU]

Did I hear that Khan was kicking in $300 million?

Khan and Cordish will split that $300 million (plus overruns).

So, roughly $150 million from the city, $150 million from Shad Daddy, and $150 million from Cordish.

[marcuscnelson]

...an equitable agreement? This is sounding a great deal more reasonable.

I can imagine that money would be magic anywhere else in downtown, but if we have to spend it out there there are certainly worse ways to have made this deal. Shame about no guarantees on the team staying or stadium stuff though.

[Ken_FSU]

Here's the presser:

https://twitter.com/Jaguars/status/1313147957978501120?s=20