City considering more than $150,000 in grants for The Hub Brooklyn

The money would aid construction of Alder & Oak restaurant and a Southern Grounds coffee shop.


  • By Max Marbut
  • | 1:33 p.m. October 2, 2023
  • | 5 Free Articles Remaining!
Southern Grounds plans to fill the retail spaces and kitchen at The Hub Brooklyn at Riverside Avenue and Forest Street. The development also includes office space.
Southern Grounds plans to fill the retail spaces and kitchen at The Hub Brooklyn at Riverside Avenue and Forest Street. The development also includes office space.
  • Government
  • Share

The Downtown Investment Authority Retail Enhancement and Property Disposition Committee is considering two Basic Retail Enhancement Program Grants for construction of The Hub Brooklyn, a restaurant and coffee shop center in the Brooklyn neighborhood.

The committee is scheduled to meet at 3 p.m. Oct. 9 in Conference Room G4 at the Main Library at 303 N. Laura St.

The city issued three permits Jan. 3 for Danis Construction LLC to build three shell buildings at 400 Riverside Ave. at a construction cost of nearly $2.46 million.

Hospitality Hub LLC paid $285,000 for the 0.21-acre site Oct. 1, 2022.

The project, at Riverside Avenue and Forest Street, is led by Jacksonville-based Southern Grounds & Co. owner Mark Janasik.

Alder & Oak is a restaurant concept that offers local and coastal-inspired wood-fired cuisine and Prohibition-style cocktails.

The three buildings comprise space for Alder & Oak restaurant and bar; a rooftop bar; loft space for CD+urban; and a Southern Grounds coffee shop and patio space.

Alder & Oak is Janasik’s restaurant concept that offers local and coastal-inspired wood-fired cuisine and Prohibition-style cocktails.

The grant being considered for the restaurant is up to $84,200.

The application states the proposed award is for tenant improvements for an approximately 2,600-square-foot air-conditioned space for interior dining and approximately 3,220 square feet of covered open-air dining in a courtyard.

The developer’s minimum total contribution for Alder & Oak is shown as $532,026 on the application.

According to the application, the $66,150 grant for Southern Grounds Coffee Brooklyn LLC is for tenant improvements for an approximately 3,415-square-foot coffee shop, bakery and fast-casual restaurant on the first floor (2,400 square feet indoors, 1,015 square feet outdoors) and an 800-square-foot, full-service, rooftop bar.

The minimum total capital contribution from Southern Grounds to remain eligible for the grant is $413,000 comprising direct costs of capital improvements to the property found in the general contractor contract or installed equipment or build-out costs.

Each award is structured as a forgivable, 0% interest grant that will amortize at the rate of 2.778% each month following closing for three years with the condition that Alder & Oak and Southern Grounds are in business at the location for three years.

 

×

Special Offer: $5 for 2 Months!

Your free article limit has been reached this month.
Subscribe now for unlimited digital access to our award-winning business news.