City Council will consider $3 million in taxpayer-backed incentives for a Tampa-based developer’s plan to revitalize the former Jacksonville Jewish Center in Springfield.
Developer Springfield Lofts LLC proposes a $14 million project with 78 market-rate residential units and 8,000 square feet of commercial office space for the 2.12-acre site at 1341 Pearl St., 235 W. Third St. and 205 W. Third St.
Council President Scott Wilson filed Ordinance 2020-0187 on March 4 at the request of Mayor Lenny Curry.
The development agreement drafted by the city Office of Economic Development attached to the bill proposes a $1 million, 20-year loan at 3% interest to the developer.
The agreement offers a $1 million Recaptured Enhanced Value Grant, which will refund 75% of the increase of the property’s ad valorem taxes for 10 years, and a $1 million grant when the project reaches substantial completion.
Council will have to waive public investment policy rules to issue the incentives. The project does not create the minimum 10 jobs required for a city REV grant and provides more than the 50% tax increment refund allowed in the policy.
The city public investment policy does not authorize the completion grant and development loan, which will require a Council waiver.
Springfield Lofts is a subsidiary of Tampa-based real estate firm GNP Development Partners LLC, which purchased the property in January 2016 through Fore Independent #15 Skyscraper Holding LLC and Springfield Lofts.
The former Jewish center is designated as a historic contributing structure in the Springfield Historic District north of Downtown and Henry J. Klutho Park.
Joshua Pardue is co-principal of GNP Development with Mark Gerenger.
In a Feb. 6 interview, Pardue said developers will renovate three structures and build two new buildings. Pardue hopes to begin construction by late 2020 and anticipates a year for completion. The entire project is 94,000 square feet.
The developer is considering office and co-working space for the project’s commercial component.
Pardue said he is considering a commercial fitness center accessible to Springfield Lofts residents and the public.
GNP Development is deciding what type of commercial uses are viable in the location.
“Springfield retail is tricky. Some of the businesses on Main Street have taken a little while to lease up,” Pardue said. “This is obviously not Main Street, so what you’re looking at are amenities for the local residents.”
Pardue said his firm began investigating the property in 2015 and found trespassers were breaking into the vacant buildings.
GNP Development worked with local businesses and residents on the site plan.
“When we got into it, there weren’t a whole lot of other people who were behind the concept,” he said.
“But when you drove around Springfield and met the people and saw everything going on, it’s obvious (revitalization) was happening,” Pardue said.
He said previous development started the movement.
“It’s just going to take a few people leading that push and get it over the edge. That was our observation,” he said.
Springfield Preservation and Revitalization Council Executive Director Kelly Rich said the nonprofit neighborhood group first engaged with the developer during rezoning in June 2016.
“We’ve had continual conversations with our residents to field their concerns with the developers,” Rich said Feb. 13 via email. “They have been wonderful listeners and have taken resident feedback and worked to lessen their concerns on the impact of the neighborhood. SPAR and the (Jacksonville) Historic Preservation Commission are in consistent conversation to work together on what is best for Springfield.”
Pardue said he seeks other projects in the neighborhood.
“We have to prove that (Springfield Lofts) is a success, prove the demand and kind of show everybody — despite some perception of Springfield — it’s at a tipping point. I think this will help push it over the top,” he said.
