From the Jax Business Journal:
QuoteThis new partnership wants to bring more capital to Downtown development
Jax Chamber and the Jacksonville Civic Council are teaming up to help redevelop the urban core by creating an independent organization to provide patient capital for real estate investment.
The two organizations announced today their plans to form a private, independent investment entity designed to stimulate Downtown development by getting more money to real estate development efforts in the urban core.
Jax Chamber CEO Daniel Davis said the approach has worked well in other cities and he's confident it will work for Downtown Jacksonville...
A release from the two organizations said many Jacksonville business leaders have agreed to support this due diligence phase, and many have made tentative commitments to invest when the project moves forward. They will lend their expertise in various disciplines to ensure that such a venture can result in projects that provide a much-needed spark to Downtown development.
This effort will be led by Steve Crosby, president of CSX Real Property Inc., who will be loaned to the effort by CSX Corp. Crosby has already started creating the foundation for the organization and will start focusing his attention full time in October.
Full story: http://www.bizjournals.com/jacksonville/news/2014/09/29/this-new-partnership-wants-to-bring-more-capital.html
Potentially very, very good news. I put a lot more faith in those two organizations ability to make things happen than COJ's, not to mention they will likely have a lot more money to work with.
Agreedā¤“ Yay for team work!
This is great news. It will promote long-term organic growth seeded by local private capital. Downtown is indeed poised and ready.
I hope this bodes well for the Trio project in particular.
Here's the story from Jax Daily Record:
QuotePrivate fund targeted to help finance Downtown projects
By David Chapman, Staff Writer
Downtown projects could soon have a new opportunity to acquire much-needed funding, all without going to the bank.
The Jacksonville Civic Council and JAX Chamber announced Monday plans to form an independent investment entity, one with a focus on Downtown development. The mission is to provide capital for real estate investment in the urban core.
The idea would be for a group of private investors to support the concept, but Civic Council Executive Director Jeanne Miller wouldn't disclose how many already have signed on. She and Daniel Davis, chamber president and CEO, said the idea was still in preliminary stages.
Miller said more would be determined once Crosby comes aboard and creates a task force to further review the plan. Crosby was traveling this morning and unavailable for comment.
The purpose wouldn't be to fully fund a project, but instead to assist when public and other private dollars fall short, Miller said.
"It would be a complement ... we aren't going to be a developer," she said. "The mission is going to be a focus on jumpstarting these catalytic projects for Downtown."
Downtown Investment Authority Chair Oliver Barakat said given funding constraints for real estate projects, the entity could be a "critical piece" for Downtown revitalization.
Full story: http://www.jaxdailyrecord.com/showstory.php?Story_id=543984
I just hope they are not late to the game. I mean this has been discussed for well over a year and now we are just getting to the planning stages. And that stage always seems to take forever in jacksonville. So hopefully we see it implemented before the next downturn and see the momentum for downtown come to fruition.
Yet another planning, financing, strategy forming, collective interest group for Jacksonville.
We definitely have plenty of these in town.
Actions speak louder than press releases in this case.
Quote from: spuwho on September 30, 2014, 12:45:28 PM
Yet another planning, financing, strategy forming, collective interest group for Jacksonville.
There's a private sector fund for Downtown projects backed by many of the city's wealthiest leaders and the city's Chamber of Commerce?
Having the weight of the Civic Council and Chamber behind something is huge.
Having the collective brain power of the Civic Council dedicated to downtown development would be very beneficial....and if they want to invest even better. There are quite a few people in the Civic Council with a lot of knowledge and experience in real estate development.
At least this one has private financing already lined up and seems to have a few projects in mind.... Please, please, please be a good group and make something happen.
Certainly there is precedent in Jacksonville with private-public partnerships making major improvements happen before, with several of the large projects downtown in the early 80s.
Any indication about when this new entity will become active?
Quote from: Bill Hoff on December 10, 2014, 09:45:59 PM
Any indication about when this new entity will become active?
Good question. My guess is after we elect a new mayor. Every single major project in the Core (shipyards, berkman 2, Landing, trio...) is absolutely dead in the water. The mayor won't even bother to fund the environmental impact study on the shipyards. So now it's a game of money vs. politics.
I'm not so sure you can point all of the blame on Mayor Brown. Our 19th century city council isn't exactly willing to invest in downtown. Didn't the mayor propose much higher funding for DIA than what was actually given to them? I think if Aundra Wallace had more money to work with we would see more action downtown. Right now multiple projects are competing for a small pot of money.
^He proposed more money, based on his incompetent budget that had to be taken away from him. Without real money the result is the same. There's saying you're going to do something and there's doing it. Brown's good at saying things, not so much on doing things. Which is a shame, since we've continued to miss opportunities for real growth.
I agree with you about the incompetent budget part. ::)
That is where I put the blame on city council, though. Downtown development is not one of their priorities. They could have taken the money from somewhere else to fund DIA at a higher level. I feel the mayor and council are both really good at "putting on shows" and most of the time there is little follow through. They love to make headlines for dumb things, but aren't always based in reality.
Quote from: Bill Hoff on December 10, 2014, 09:45:59 PM
Any indication about when this new entity will become active?
Mike Field and I spoke with Steve Crosby the other night. He's been at the job for two months and has just started raising money and contacting folks for the investment fund
Quote from: brainstormer on December 11, 2014, 05:50:07 PM
I'm not so sure you can point all of the blame on Mayor Brown. Our 19th century city council isn't exactly willing to invest in downtown. Didn't the mayor propose much higher funding for DIA than what was actually given to them? I think if Aundra Wallace had more money to work with we would see more action downtown. Right now multiple projects are competing for a small pot of money.
If you blame CC instead of Brown you must support increasing the city's already unmanageable debt load. I would love to see all of the mayor's wish list come to fruition, but wouldn't like to see the debt explode. So what's the answer? More revenue. And who absolutely refuses to increase taxes? The mayor.
^yeah...
It will be interesting to see how this fund is used in the mayoral race by Curry. Particularly if the DIA can't make any big deals happen prior to the election.
Exactly, yet Jax is one of the least taxed city of it's size in the country. I have always thought the real problem is the inability of anyone in the city government willing to increase the tax rate for these kinds of investments in the future of DT. True at the state level also, which has impacted our ability to truly recruit the really large manufacturing plants such as Boing or the auto assembly plants. They require large incentives, but bring employment with good paying jobs.
^^I personally think the whole willingness to increase taxes for us downtown is a result of consolidation. You are basically asking people countywide to pay higher taxes for downtown when realistically many in the out reaches of our large county don't relate to downtown at all. To me it would be kind of like expecting people in Apopka located in Orange County to raise their taxes to benefit something for downtown Orlando. My guess is that would be a hard sale to have it happen. But our city council is made up of many representatives of these far reaching spots in Duval and many of those they actually represent could care less about downtown. Therefore the overall council has a hard time coming up with necessary votes to really invest in downtown. While I don't agree with that thought personally I do think it plays a part in the downtown issue. Which is why I always cringe when people say the hell with the people in Mandarin and their suburban lifestyles. Guess what, if you want to put alot of money into downtown Jax you are going to have to have the support of constituents in Mandarin and the Suthside, etc to make it happen.
Can it work? Yea and there is proof in cities such as Indy and Nashville, but for whatever reason it doesn't seem to here. Perhaps due to the shear size of our county in comparison to those cities?
Quote from: edjax on December 12, 2014, 02:10:18 PM
^^I personally think the whole willingness to increase taxes for us downtown is a result of consolidation. You are basically asking people countywide to pay higher taxes for downtown when realistically many in the out reaches of our large county don't relate to downtown at all. To me it would be kind of like expecting people in Apopka located in Orange County to raise their taxes to benefit something for downtown Orlando. My guess is that would be a hard sale to have it happen. But our city council is made up of many representatives of these far reaching spots in Duval and many of those they actually represent could care less about downtown. Therefore the overall council has a hard time coming up with necessary votes to really invest in downtown. While I don't agree with that thought personally I do think it plays a part in the downtown issue. Which is why I always cringe when people say the hell with the people in Mandarin and their suburban lifestyles. Guess what, if you want to put alot of money into downtown Jax you are going to have to have the support of constituents in Mandarin and the Suthside, etc to make it happen.
Can it work? Yea and there is proof in cities such as Indy and Nashville, but for whatever reason it doesn't seem to here. Perhaps due to the shear size of our county in comparison to those cities?
No, it is due to the leadership, or lack thereof. The Urban core of Jax USE to carry a very disproportionate share of the total property tax burden for Duval County. The taxes generated far exceeded the cost of services to DT proper. This provided a huge benefit to the county as a whole.
That is still the case in nearly all major cities but it is no longer the case in JAX. That is because as the values have fallen so much and not recovered. Understanding this benefit of a healthy core seems to be lost on JAX's leaders. It is not elsewhere.
Plus, while Duval is 840 Sq. miles, a good chunk of that is rural. The truly dense parts are not that much larger than Nashville-Davidson's 550 Sq. miles.
It doesn't help that the head of the CC is a First Baptist member who would just as soon see the sidewalks cleared and the bars closed. Oh, and the "porn" removed from the museums.
^ he isn't the head of anything...he is the City Council President for one year...and his year is almost half over
^so he's not in charge. He's just the president. Sounds familiar.
Quote from: downtownbrown on December 12, 2014, 03:24:45 PM
^so he's not in charge. He's just the president. Sounds familiar.
No, he is not in charge. The CC President is a figurehead, auto-signer for the most part.
The Mayor has infinitely more power, he just refuses to exercise it.
Quote from: vicupstate on December 12, 2014, 02:59:16 PM
Quote from: edjax on December 12, 2014, 02:10:18 PM
^^I personally think the whole willingness to increase taxes for us downtown is a result of consolidation. You are basically asking people countywide to pay higher taxes for downtown when realistically many in the out reaches of our large county don't relate to downtown at all. To me it would be kind of like expecting people in Apopka located in Orange County to raise their taxes to benefit something for downtown Orlando. My guess is that would be a hard sale to have it happen. But our city council is made up of many representatives of these far reaching spots in Duval and many of those they actually represent could care less about downtown. Therefore the overall council has a hard time coming up with necessary votes to really invest in downtown. While I don't agree with that thought personally I do think it plays a part in the downtown issue. Which is why I always cringe when people say the hell with the people in Mandarin and their suburban lifestyles. Guess what, if you want to put alot of money into downtown Jax you are going to have to have the support of constituents in Mandarin and the Suthside, etc to make it happen.
Can it work? Yea and there is proof in cities such as Indy and Nashville, but for whatever reason it doesn't seem to here. Perhaps due to the shear size of our county in comparison to those cities?
No, it is due to the leadership, or lack thereof. The Urban core of Jax USE to carry a very disproportionate share of the total property tax burden for Duval County. The taxes generated far exceeded the cost of services to DT proper. This provided a huge benefit to the county as a whole.
That is still the case in nearly all major cities but it is no longer the case in JAX. That is because as the values have fallen so much and not recovered. Understanding this benefit of a healthy core seems to be lost on JAX's leaders. It is not elsewhere.
Plus, while Duval is 840 Sq. miles, a good chunk of that is rural. The truly dense parts are not that much larger than Nashville-Davidson's 550 Sq. miles.
Well part of the leadership issue is that because many of the leaders represent parts of town whose constituents also do not see the value of a strong downtown. And lets face it failure after failure on accomplishing anything downtown decade after decade does not do much to change the minds of those that feel that way.
Quote from: jaxjags on December 12, 2014, 10:46:30 AM
Exactly, yet Jax is one of the least taxed city of it's size in the country. I have always thought the real problem is the inability of anyone in the city government willing to increase the tax rate for these kinds of investments in the future of DT. True at the state level also, which has impacted our ability to truly recruit the really large manufacturing plants such as Boing or the auto assembly plants. They require large incentives, but bring employment with good paying jobs.
Yes. People have to get over the mantra that a higher tax rate is always a bad thing. There are checks and balances on the spending of local money. We are taxed so low that we can't get off the ground.
There have been plenty of successes downtown. We just haven't kept the momentum going from one to the next or continuing to build. The last four years, especially, have been full of wasted opportunities.
How long was John Delaney Mayor? What about John Peyton? All of these projects were on the board during the tenure of both of these guys, and they didn't do anything either.
Well we did get a $400 million courthouse. Can you imagine what we could have done had we budgeted $100 million to renovating the existing courthouse and used the remaining $300 million to finish all the other projects downtown?
Also, our Chamber of Commerce, in regard to their goal of improving downtown, is a failure. That's about the only conclusion left to draw at this point.
That's not Jacksonville's style, MM. Around here it's always one 'transformative' pie in the sky after another. Building what makes sense, or what's affordable and doesn't destroy urban fabric, just isn't in the water here.
Quote from: MusicMan on December 13, 2014, 07:04:54 PM
How long was John Delaney Mayor? What about John Peyton? All of these projects were on the board during the tenure of both of these guys, and they didn't do anything either.
Well we did get a $400 million courthouse. Can you imagine what we could have done had we budgeted $100 million to renovating the existing courthouse and used the remaining $300 million to finish all the other projects downtown?
Also, our Chamber of Commerce, in regard to their goal of improving downtown, is a failure. That's about the only conclusion left to draw at this point.
to be more accurate, we also got a new arena, a new ballpark, and a new library under Delaney (finished under Peyton)....and Peyton funded a refurbished Friendship Fountain and Southbank Riverwalk (finished under Brown).
and, btw, the existing courthouse was woefully undersized for our consolidated government....in fact, we outgrew it in the 1970s.
There was genuine momentum under Delaney, but Peyton pulled the plug on DT projects and the JEDC was budget cut into impotence it seems. The crash killed off what little momentum was left. Brown is only paying lip service and looking for his next gig.