The Downtown Investment Authority is giving developers of The District on Downtown’s Southbank a 90-day extension to obtain financing.
In a Jan. 10 letter to developer Elements of Jacksonville LLC Managing Partner Peter Rummell, DIA CEO Lori Boyer agreed to grant the proposed $600 million, mixed-use project an extension on its full performance schedule, according to WJCT News partner the Jacksonville Daily Record.
Boyer’s letter was in response to a written request from Rummell dated Jan. 9 for a six-month extension from the DIA. Rummell told Boyer that Elements would miss the Jan. 13 deadlines to secure The District’s $31.1 million in Community Development District bonds and bond insurance needed to pay for public infrastructure that will support the development.
In his written request, Rummell said long-term equity capital for the project has not been secured. Elements hired commercial real estate services firm Jones Lang LaSalle to run a national marketing campaign to attract investment.
“Our intent was to have this resolved months ago so that we could remain on the current timeline as outlined in our agreements with the City. However, due to the drawn-out marketing process and the fact that this is a complicated mixed-use urban project, we find ourselves in a position of not being able to meet the upcoming deadline of January 13th as outlined in the Redevelopment Agreement (RDA) with the City,” Rummell wrote.
Additional details about the future of the deal are in an expanded version of this story at JaxDailyRecord.