QuoteBaptist Health is planning to add a 15-story, nearly $110 million hotel to its campus on the Downtown Southbank, a representative told a Jacksonville City Council committee Jan. 12.
Land-use and governmental affairs attorney Steve Diebenow of Driver, McAfee, Hawthorne & Diebenow, who is representing Baptist, said the 226-room hotel is planned at Palm Avenue and Gary Street.
The 1.82-acre site at 1051 Palm Ave. is now a parking lot.
In a presentation to the Special Committee on the Future of Downtown, he said Baptist Health would own the hotel and North Carolina-based Concord Hospitality Enterprises would operate it.
QuoteA presentation slide listed the development cost of the hotel at $109.7 million. Plans include a 5,000-square-foot rooftop restaurant and terrace open to the public, plus 130 parking spaces.
Diebenow said the hotel partner would be a single company with multiple brands.
He said property would include an extended-stay element and a four-star boutique hotel, operated under dual brands. He said Baptist Health was close to announcing an agreement with a brand that "everybody will recognize."
QuoteDiebenow and Tarbert said Baptist Health would seek a $21 million incentives package to develop the property, comprising a $12.9 million Recapture Enhanced Value grant and an $8 million completion grant that would be divided into two $4 million payments.
Full article: https://www.jaxdailyrecord.com/news/2026/jan/12/baptist-health-planning-nearly-110-hotel-on-downtown-southbank/
Didn't have this on my radar. I like the idea of another 4 star hotel despite the fact that - aside from the hospital or Sherwoods - you're not walking to anything from there.
That said there's potential for development just south of 95 on San Marco Blvd and it eliminates a surface parking lot.
But...I hope they don't let this $8M completion grant slide in and then slam the door on a completion grant for something in the core.
JBJ has more details on the flag:
QuoteBaptist Health aims for the building to include two hotels within the Marriott family: one boutique and one extended-stay.
"As our city continues to evolve, high-quality accommodations play a crucial role in welcoming guests," the spokesperson told the Business Journal. "By enhancing the local hospitality landscape, we are fostering an environment where people can connect, recharge and experience the best Jacksonville has to offer."
One hotel will be an Element by Westin extended-stay hotel, offering space for families seeking longer stays, the spokesperson said. The other will be within the Tribute Portfolio — a collection of Marriott's independent boutique hotels — uniquely named to spotlight historic aspects of Jacksonville.
Even if the ROI is positive, there's an opportunity cost here in terms of that $8 million competition grant from the general fund. I'm sure it's a great project, but looking at the location, I'm not sure this one really moves the needle in terms of downtown redevelopment. It's essentially an extended stay + hotel for Baptist. Important, but not something the city should be subsdizing with taxpayer cash. Save that $8 million for Laura Street. Or for the Friendship Fountain restaurant. Or the sports & entertainment district. If the economics don't make sense for Baptist, let them rework the project in a way that does make sense. If it still doesn't make sense for them, we have plenty of other downtown hotels that can accommodate Baptist in a way that stimulates foot traffic for more strategic downtown corridors.
Tribute is cool to see for the urban core. The goal of that brand is to highlight the local area, which if they do it right that's awesome.
I still don't think the $8M is the best use but it seems like a cool project.
When does the City cross a threshold that we don't give out completion grants anymore? I think we have been "marked" by developers as "easy." I have always said this is especially true for riverfront projects. That is premium real estate in any other city and we just "give it away."
No one gave Related incentives to build the luxury oceanfront Azure condo project at the beach, where each unit sold for multiple millions. And, the project sold out in a reasonable time. And, now we are giving them millions to build on the riverfront?!
That hotel will be used in a way for people out of town especially families with children of medical problems that would be treated many times and business people for baptist not always in kind for regular visits to stimulate for that area somewhat probably to come like houston medical city for medical tourism.
What's the ultimate vision for the Southbank and in particular, San Marco Boulevard and Hendricks Avenue? If there ever was a need to designate retail or pedestrian scale oriented streets and uses on that side of the river, these two corridors make sense, as they are direct links with pedestrian scale strips in San Marco. If that's the case, I'd be interested to see what the ground level looks like along San Marco Boulevard, in addition to Palm Avenue.
Quote from: thelakelander on January 12, 2026, 11:08:26 PM
What's the ultimate vision for the Southbank and in particular, San Marco Boulevard and Hendricks Avenue? If there ever was a need to designate retail or pedestrian scale oriented streets and uses on that side of the river, these two corridors make sense, as they are direct links with pedestrian scale strips in San Marco. If that's the case, I'd be interested to see what the ground level looks like along San Marco Boulevard, in addition to Palm Avenue.
Like the rest of Downtown on the north side, it appears that the City has no master plan for the south side either. Just continuing to ping pong around any projects developers come along with because we are "hungry" for any investment at all, standards be damned.
Not much there to make walkability on the other side of san marco a line of medical that would be for medical and the other side southbank that whole area for medical purpose only. adding retail or restaurants not much need for that area since it's primary place is for treating patients and can't be walkable alot when you have a csx line right there cutting right through with trains running through out the day. Not a place for walking.
I would imagine the dead area from 95 to Mart Street would put retail on Palm.
Medical districts can also be walkable and mixed use. IMO, flood as much density as we can on certain corridors. Especially near Skyway stations and major significant pedestrian scale investments like the Fuller Warren Bridge path. It looks bleak today (but better than it did 20 years ago) but it doesn't have to stay that way with whats going on in the vicinity. Fill up the remaining surface parking lots with good design and there will be some life. Would love to see something similar near UF Health along West 8th Street.
A mixed use path from Friendship Fountain to 95 would really help. Has there been any talk of a real Masterplan from the new head of DIA? Seems like it should of been a high priority for him.
^San Marco Boulevard is about the only logical connection to tie the Friendship Fountain area with the proposed Southbank Riverwalk near Baptist and the Fuller Warren Bridge.