A subsidiary of developer Corner Lot Development Group is asking the city for a $7.5 million property tax break on a proposed 320-unit apartment project near Jacksonville International Airport and the Amazon fulfillment center.
The Mayor’s Budget Review Committee is scheduled to consider a request March 27 from the Office of Economic Development to file legislation to award the tax incentive for the estimated $64.9 million development along Duval Road.
A city project summary says Avion MF Partners LLC requests a 10-year, 75% Recapture Enhanced Value Grant property tax refund capped at $7.5 million.
According to the summary, 96 units, or 30%, would be set aside as workforce housing with rent capped for the first four years.
After the initial period, annual rent increases on the Avion workforce housing units would be capped at 2%, according to the summary.
Documents in the filed with the budget review committee did not state a time frame for the capped increase.
The workforce units would be leased to tenants making up to 100% of the area media income set in 2022 by the Florida Housing Finance Corp., according to the summary. The Avion would comprise one-, two- and three-bedroom units.
A March 17 memo from the city Office of Economic Development says legislation would be introduced to Council on April 11.
Corner Lot, through Avion MF, bought 13.23 acres undeveloped acres March 10 from FPK Ltd. for $6.046 million, according to the Duval County Clerk of Courts.
CEO Andy Allen and COO George Leone lead the Jacksonville-based multifamily and real estate development.
The site is bounded by Duval Road, Biscayne Boulevard and Interstate 295. It is across the street from the Amazon fulfillment center.
The city’s public investment policy does not include REV grants for multifamily apartment projects outside of the Northbank and Southbank Downtown Community Redevelopment Areas.
A legislative fact sheet says the apartment project is not a targeted industry and does not meet the investment policy requirement to create 10 new jobs to qualify for a REV grant.
City officials said in the fact sheet the project justifies the tax incentive because it meets the Council’s goal of building more affordable housing in Jacksonville and that Avion is an investment near a growing employment area.
The bill would have to waive the policy for Council to award the tax refund.
The summary says construction is expected to cost $56.887 million.
Construction is scheduled to start Dec. 31, 2023, and be completed in December 2025.