Downtown Development Update: What's rising, what's delayed

[jaxlongtimer]

So it's safe to say that First Baptist has stifled much of DT Jax growth?

That's the feeling (and likely reality) for many in the City that have been around for a long time.  Especially alleged they fought any kind of entertainment or night life that was contrary to their conservative (e.g. no alcoholic beverages, nothing remotely sexual, including dancing, or LGBGTQ, etc.) lifestyle.  Pretty much eliminated most non-office related possibilities.

[jaxlongtimer]

Some good news for Downtown... but with no details on time or amount of space going forward.

EverBank renews lease to keep HQ Downtown
"Downtown makes the most sense to us," said a company executive to the Downtown Investment Authority in February.

Without disclosing full details, Jacksonville-based EverBank has decided to keep its headquarters space Downtown, but has not confirmed for how long.

"I can confirm that we have signed a renewal of our lease on West Bay Street," said Michael Cosgrove, senior vice president of corporate communications, July 9, referring to EverBank Center at 301 W. Bay St.

Asked for the size of the space involved, the length of the lease terms and the status of a rejected incentives request to the city to stay Downtown, Cosgrove replied: "We're not discussing any of the terms."

A second-quarter office market report by real estate company CBRE referred to key lease transactions that included EverBank as a renewal of 174,000 square feet of space at the 30-story Downtown tower.

The report gave no indication whether the lease was for the short term, which is considered two to four years in the market for a tenant that size, or for a longer term.

"We are happy that EverBank continues to be in downtown today and we'll do everything we can to keep them here," said city Chief Communications Officer Phil Perry in a July 9 email.

"Beyond that, we don't have any updates and refer you to the company for specifics."

Incentive request rejected

On Feb. 18, the Downtown Investment Authority board voted 7-2 against recommending approval of $9.8 million over 10 years to entice EverBank to stay at its offices at 301 W. Bay St.

EverBank said it requested the incentives to offset a cost differential in operating Downtown versus in a suburban office location.

The bank said it approached Mayor Donna Deegan's administration during 2025 as it began deciding whether to renew its 10-year lease in the Bay Street building, prompting negotiations that led to the proposed incentives.

DIA board members who voted against the recommendation expressed concern that it would create a precedent that would prompt other Downtown employers and property owners to request public assistance to stay Downtown.

The DIA board vote came on Resolution 2026-02-09, which called for the city to enter a Conditional Grant Agreement with EverBank to provide $980,000 annually to the financial institution over the 10-year term of the deal.

The funding would not be offered under a DIA redevelopment program, but rather would be drawn from the city general fund. Because a grant from the city fund would require Jacksonville City Council approval, several DIA board members said they did not believe the DIA's recommendation was necessary or appropriate.

That legislation was not filed with Council.

Terms of the deal included EverBank retaining a minimum of 139,000 square feet of leased and occupied space and investing $7 million in its space for tenant improvements.

In addition, the building owner would have been required to invest $7 million in EverBank's space and an additional $5 million in the remainder of the building for security, systems, amenities and site improvements.

Miami-based Amkin West LLC owns the building. It paid $47.4 million for the property in 2014.

Supporters of EverBank's request said the retention grant was needed to maintain the momentum of Downtown redevelopment.

DIA CEO Colin Tarbert said losing the bank's roughly 800-member workforce based Downtown would be a setback amid completion of such projects as riverfront parks and substantial progress on private developments such as the Four Seasons Hotel and Private Residences, the Whole Foods-anchored One Riverside mixed-use project in Brooklyn and Gateway Jax's $750 million-plus Pearl Square district in the North Core area north and west of City Hall.

During a discussion at a Feb. 9 meeting of the Council Special Committee on the Future of Downtown, committee members voiced opposing views, with some agreeing with DIA board members that the incentive would set a precedent in which other Downtown employers would seek public funding to stay put.

Downtown office vacancy

Downtown's office vacancy rate was 25% as of the second quarter of 2026, CBRE found in its market report. The Northbank, which includes EverBank Center, was 26.2% while the Southbank was 21.6%.

The suburban rate was 23.1%.

DIA board members questioned whether the property owner offered a competitive lease rate to EverBank, considering the high vacancy overall, the difference between rates Downtown and in the suburbs, and that a relocation by EverBank would leave the building more than 90% vacant.

Oliver Barakat, a former DIA board member who is senior vice president of CBRE, said in February that the property owner factored in the higher cost of building operations in Downtown compared with the suburbs, costs of the agreement and contributions for building improvements. The negotiated amount, he said, was competitive with other Downtown buildings.

Citizens Property Insurance Corp., which moved about 1,000 employees into the EverBank Center in 2015, is relocating to the former Florida Coastal School of Law building at 8787 Baypine Road in Baymeadows.

Mike Weinstein, Deegan's chief administrative officer, said in February that the mayor and administration "really wish we didn't have to do this," but felt offering the incentive was necessary.

"I think it's a very different picture five years from now," he said. "The parks will be done, the stadium will be done, some of the projects that you're wanting to do will be done."

A DIA analysis projected that EverBank's 800 employees would spend $1.66 million per year Downtown, based on an assumption that employees would work at least four days per week Downtown and would spend an average of $40 on goods and services there weekly. Over 10 years, the annual spending would amount to $16.64 million.

During the Feb. 9 meeting of the Council Special Committee, an EverBank representative said the bank determined that the annual cost of operating Downtown is $1.4 million higher than in a suburban commercial property.

Lawyer Steve Diebenow, of the Driver, McAfee, Hawthorne & Diebenow firm, said then that the proposed $9.8 million incentive was the product of negotiations between the bank and Deegan's office.

He said parking and security costs contributed to the differential.

Diebenow said EverBank employed seven security personnel Downtown. With a move to the suburbs, he said, the bank would likely only need to split the costs for one security guard with other tenants.

'Strong preference' Downtown

During the Feb. 18 DIA board meeting, EverBank executive Mark Gordon said the bank's "strong preference" would be to remain Downtown.

He said factors in that preference included EverBank's ties to the community, its proximity to the majority of its employees' homes and its connection to EverBank Stadium, the Jacksonville Jaguars' home stadium.

"Downtown makes the most sense to us," he said.

Responding to a question from DIA board member Sondra Fetner, Gordon said EverBank explored other offices Downtown but found them insufficient. Some fell short because of older infrastructure that would increase the bank's build-out costs, he said, and some had layouts that would require the bank to spread its staff across more floors when it wants to consolidate into a more contiguous stack.

EverBank moved its headquarters to 501 Riverside Ave. in 2006.

Six years later, EverBank Financial Corp. became the Bay Street building's anchor tenant and put its name at the top of what became EverBank Center.

After being acquired by TIAA Bank and then sold to a group of investment funds in 2022, EverBank's signage returned to the building in 2023.

In August of that year, the Jacksonville Jaguars stadium was named EverBank Stadium.

https://www.jaxdailyrecord.com/news/2026/jul/09/everbank-renews-lease-to-keep-hq-downtown/

[Aristocles]

So it's safe to say that First Baptist has stifled much of DT Jax growth?

That's the feeling (and likely reality) for many in the City that have been around for a long time.  Especially alleged they fought any kind of entertainment or night life that was contrary to their conservative (e.g. no alcoholic beverages, nothing remotely sexual, including dancing, or LGBGTQ, etc.) lifestyle.  Pretty much eliminated most non-office related possibilities.

Didn't know that but it wouldn't surprise me. I think, though, those days are either over or close to ending. There seems to be a big cultural shift in Jax over the last few years that's much more favorable for downtown development.

[jaxlongtimer]

So it's safe to say that First Baptist has stifled much of DT Jax growth?

That's the feeling (and likely reality) for many in the City that have been around for a long time.  Especially alleged they fought any kind of entertainment or night life that was contrary to their conservative (e.g. no alcoholic beverages, nothing remotely sexual, including dancing, or LGBGTQ, etc.) lifestyle.  Pretty much eliminated most non-office related possibilities.

Didn't know that but it wouldn't surprise me. I think, though, those days are either over or close to ending. There seems to be a big cultural shift in Jax over the last few years that's much more favorable for downtown development.

As an example, when the "Best Little Whorehouse In Texas" Broadway hit show came to the Performing Arts Center, there was an outcry from that corner of town about the language being on the marquee outside the building.  They wanted the City to remove it but it turned out they couldn't due to the contract with the show so it stayed on.

[jcjohnpaint]

I would imagine FBC will sell off most of their buildings to Gateway in the next few years.

[Jones518]

I'm glad that EverBank renewed their lease downtown (and without incentives), but they are singing an entire different tune from 6 months ago....


They cited "safety concerns" as an issue downtown.... Or was that more of a negotiation tactic for incentives ($$)? 🤨


or has the momentum downtown from the new riverfront parks, investments like gateway Jax, UF campus, street level improvements moving forward, and recent activity changed the company's outlook?


Either way, it's encouraging to see a major employer recommit to downtown.


I also hope EverBank maintains its policy requiring office employees to work in person full-time, as that will maximize the economic impact and presence of EverBank in downtown.

[Aristocles]

So it's safe to say that First Baptist has stifled much of DT Jax growth?

That's the feeling (and likely reality) for many in the City that have been around for a long time.  Especially alleged they fought any kind of entertainment or night life that was contrary to their conservative (e.g. no alcoholic beverages, nothing remotely sexual, including dancing, or LGBGTQ, etc.) lifestyle.  Pretty much eliminated most non-office related possibilities.

Didn't know that but it wouldn't surprise me. I think, though, those days are either over or close to ending. There seems to be a big cultural shift in Jax over the last few years that's much more favorable for downtown development.

As an example, when the "Best Little Whorehouse In Texas" Broadway hit show came to the Performing Arts Center, there was an outcry from that corner of town about the language being on the marquee outside the building.  They wanted the City to remove it but it turned out they couldn't due to the contract with the show so it stayed on.

Best Little Whorehouse - interesting. The reporter in the story, Marvin Zindler, was actually a real-life newscaster in the town I went to law school in. He was known for reporting on all the local restaurants that failed their health department inspections. He would always report on findings of "SLIIIIIIIIIIME IN THE ICE MACHINE!!!!!!!!"

It seems like Jacksonville's history is somewhat like Tampa's. Tampa's development was stifled for decades from 1940 until 1987 because Hillsborough County was controlled by the Mafia. The Trafficante family, led by Santo Trafficante Sr. and Santo Jr., basically had final say over economic activity there during that period. Santo Jr. died in 1987 and the descendants, though they still live in the Tampa Bay area, all have legit jobs now outside of the mob. So the Mafia doesn't control much there anymore.
It sounds like the church was essentially Jax's equivalent of Tampa's Mafia, having sway over what got developed. And, like what happened in Tampa, the church is losing its influence over Jax as time goes on.

[Ken_FSU]

Anyone thoughts on this demo? I'm skeptical of "investing" in any demo given our track record of redeveloping these spaces and surplus of vacant lots, but also don't know enough about this space to have a strong opinion.

https://www.jaxdailyrecord.com/news/2026/jul/15/downtown-investment-authority-board-votes-to-demolish-sax-seafood-building/

[acme54321]

I don't have a problem with it.  The place is an eyesore and is probably trashed anyway. 

[jaxlongtimer]

Anyone thoughts on this demo? I'm skeptical of "investing" in any demo given our track record of redeveloping these spaces and surplus of vacant lots, but also don't know enough about this space to have a strong opinion.

https://www.jaxdailyrecord.com/news/2026/jul/15/downtown-investment-authority-board-votes-to-demolish-sax-seafood-building/

I walked through it once after it was closed with a potential investor and it was a mess then, years ago.  I actually ate there when it first opened but didn't feel it was worth returning to.  Biggest location problem was it was literally an island by itself between two busy streets.  Great example of the benefits of clustering. 

Would be interesting if Gateway or others could move out the homeless shelter and extend its style of development  down Beaver to I-95 one day.  That is what it might take to make this location work best.

[Ken_FSU]

This one hurts more.



Adventure Landing is so sad to drive br these days too.

[jaxlongtimer]

^ Any effort to save the mural wall? 

When I look around most of Jacksonville's commercial areas today, I am hard pressed to find remnants of anything older than 30 years, often less.  Malls and strip shopping centers, government buildings, historic buildings, bank branches, entertainment venues, corner gas stations, restaurants, etc. gradually disappearing before our very eyes.

Not just downtown.  Drive down any state road (Roosevelt, San Jose, A1A, University, Emerson, US1, Blanding, Kings Rd, Main, Southside Blvd, 103rd, Normandy, etc.) and most sections are unrecognizable from 30 or less years ago.

Anyone who left Jax just a few years ago may feel lost returning now.

I think the transformation in modern times is unparalleled with our past.  Clearly related to our growth, but also our lack of tolerating the status quo, preservation or history.

[thelakelander]

Anyone thoughts on this demo? I'm skeptical of "investing" in any demo given our track record of redeveloping these spaces and surplus of vacant lots, but also don't know enough about this space to have a strong opinion.

https://www.jaxdailyrecord.com/news/2026/jul/15/downtown-investment-authority-board-votes-to-demolish-sax-seafood-building/

I walked through it once after it was closed with a potential investor and it was a mess then, years ago.  I actually ate there when it first opened but didn't feel it was worth returning to.  Biggest location problem was it was literally an island by itself between two busy streets.  Great example of the benefits of clustering. 

Would be interesting if Gateway or others could move out the homeless shelter and extend its style of development  down Beaver to I-95 one day.  That is what it might take to make this location work best.

No way you ate there. The building was never completed. Are you taking about the restaurant that was open for a hot second in the Urban League building across the street?

[thelakelander]

Anyone thoughts on this demo? I'm skeptical of "investing" in any demo given our track record of redeveloping these spaces and surplus of vacant lots, but also don't know enough about this space to have a strong opinion.

https://www.jaxdailyrecord.com/news/2026/jul/15/downtown-investment-authority-board-votes-to-demolish-sax-seafood-building/

I don't have a problem with it. Whatever goes on that site needs to have some density.

[jaxlongtimer]

Anyone thoughts on this demo? I'm skeptical of "investing" in any demo given our track record of redeveloping these spaces and surplus of vacant lots, but also don't know enough about this space to have a strong opinion.

https://www.jaxdailyrecord.com/news/2026/jul/15/downtown-investment-authority-board-votes-to-demolish-sax-seafood-building/

I walked through it once after it was closed with a potential investor and it was a mess then, years ago.  I actually ate there when it first opened but didn't feel it was worth returning to.  Biggest location problem was it was literally an island by itself between two busy streets.  Great example of the benefits of clustering. 

Would be interesting if Gateway or others could move out the homeless shelter and extend its style of development  down Beaver to I-95 one day.  That is what it might take to make this location work best.

No way you ate there. The building was never completed. Are you taking about the restaurant that was open for a hot second in the Urban League building across the street?

Rethinking it, I may have looked at it with a potential investor and either didn't eat there, just sat inside, or maybe, had a sample meal there by the owner to demonstrate their planned menu.  Too many years since to recall exactly.  Needless to say, the investor passed on it and the rest is history.