City Council approved $49.7 million in incentives 11-8 on Nov. 10 for a 259-unit tower with a Publix on Laura Street. Construction is due to start within eight months of the law taking effect.
Jacksonville City Council votes Tuesday on whether to give up to $49.7 million in incentives to a downtown apartment tower built around a Publix grocery store.
Updated Nov. 11: City Council approved the deal 11-8 on Tuesday, Nov. 10, after a floor amendment saying $19 million of the completion grant should come from other downtown projects. How each member voted and what changed.
The deal reaches the full council without a recommendation from its Finance Committee. That committee split 3-3 on Wednesday, so the motion to approve failed. The council president then discharged the bill from the committee, according to the council agenda for Nov. 10.
The bill is Ordinance 2026-541. It was introduced in June at the request of the Downtown Investment Authority, the city’s downtown redevelopment agency.
What would be built
The site is a 1.52-acre block known as N7. It is bounded by West Union Street, North Laura Street, West Beaver Street and North Hogan Street, according to the Downtown Investment Authority’s term sheet attached to the bill.
The term sheet commits the developer to:
- a building of at least 14 floors
- about 259 apartments: 21 studios, 207 one-bedroom and 31 two-bedroom units
- about 37,000 square feet of ground-floor retail
- at least 30,000 square feet of that for Publix, or another well-known regional or national grocer the authority approves
- a club room, fitness center and outdoor pool for residents
The developer is 119 Beaver St W LLC, managed by Gateway Companies LLC. It has committed to a minimum private investment of $140,156,500, according to the council’s legislative summary.
What the city would pay
The bill has two parts.
- A property tax rebate of up to $21,412,000. This Recaptured Enhanced Value (REV) grant returns 75% of the new property taxes the building generates, paid over 17 years. It comes from the Downtown Northbank Community Redevelopment Area trust fund. The legislative summary says it is not a debt of the city.
- A $28,250,000 completion grant. This comes from the city’s General Fund. It is not in the bill’s money: council would have to approve it again in separate legislation.
Together that is $49,662,000, by our sum of the two figures.
A committee amendment in October split the completion grant in two, according to the amendment text:
| When | Amount |
|---|---|
| The building is finished and a 10-year grocery lease is signed | $26,090,000 |
| The grocery store opens to the public | $2,160,000 |
The same amendment waives the city’s Public Investment Policy, adopted in 2024, to allow a completion grant that size. The amendment justifies the waiver by the $140,156,500 minimum investment and the authority’s downtown plan.
In return, the developer would pay the city a share of the project’s cash flow above a 20% return on its equity, the legislative summary says.
How the committees voted
| Date | Committee | Result |
|---|---|---|
| Oct. 5 | Neighborhoods, Community Services, Public Health and Safety | Approved with amendment, 5-1 (Chris Miller against) |
| Nov. 4 | Finance | Failed, 3-3 |
At Finance, council members Rahman Johnson, Randy White and Michael Boylan voted yes. Council members Will Lahnen, Rory Diamond and Mike Gay voted no, and Miller was excused, according to the Finance Committee vote record. The Finance Committee had deferred the bill six times since August.
The bill’s required public hearing was held July 28.
The timeline if it passes
The term sheet sets these deadlines:
- the city, the authority and the developer sign the agreement within 30 days of the law taking effect
- construction starts within eight months of the law taking effect
- the building is substantially complete within 36 months of the start
The authority’s chief executive can extend the start and finish dates by up to six months without going back to council.
What it means for you
Adding a major new grocer downtown is one of the goals in the authority’s downtown plan, and the bill’s legislative summary names it directly. The other goal it cites is more housing downtown.
The cost falls on two pots of money. The rebate comes only from new property taxes the tower itself would generate. The $28.25 million completion grant would come from the General Fund, which pays for city services, and council would have to set that money aside in a later vote.
You can speak at Tuesday’s meeting. It starts at 5 p.m. in the Council Chamber on the first floor of City Hall, 117 W. Duval St. Public comment comes after the economic development bills. Speaker cards are due within 60 minutes of the start, and each speaker gets up to three minutes, according to the agenda.
More on downtown is on our downtown Jacksonville guide. Building activity across the city is on our building permits and zoning page.
Frequently asked questions
Where would the downtown Jacksonville Publix be?
On the block known as N7, bounded by West Union Street, North Laura Street, West Beaver Street and North Hogan Street. The address in the city’s legislation is 119 W. Beaver St. The grocery would take at least 30,000 square feet of the ground floor of a tower with about 259 apartments.
How much would the city pay for the downtown Publix project?
Up to $49,662,000 in total: a property tax rebate (REV grant) of up to $21,412,000 over 17 years from the Downtown Northbank CRA trust fund, and a $28,250,000 completion grant from the General Fund that City Council would still have to appropriate in later legislation.
Did City Council approve the downtown Publix deal?
Yes. City Council approved Ordinance 2026-541 by 11-8 on Tuesday, Nov. 10, after a floor amendment on how to fund the completion grant. The bill went to the mayor for signature.
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