Approval paves the way for first phase of $2 billion project to break ground in October 2024
August 14, 2024 — JACKSONVILLE, Fla. — Gateway Jax, a Jacksonville-based commercial real estate development firm sponsored by JWB Real Estate Capital and DLP Capital, has received unanimous approval from the Jacksonville City Council for a redevelopment and incentive package for its Pearl Street District project. The package, filed as Ordinance 2024-0495, was passed during the Council’s meeting on August 13, 2024.
This approval paves the way for Gateway Jax to break ground on Block N11 of the Pearl Street District by October 2024, pending receipt of city permits. The other blocks of the District would start in subsequent months.
“Gateway Jax and our sponsors, DLP Capital and JWB Real Estate Capital, are honored to join forces with the City of Jacksonville and the Downtown Investment Authority to bring our transformational development vision for the Pearl Street District to life. This vote of confidence from the City Council speaks to our shared commitment to energizing the urban core of Downtown,” said Bryan Moll, CEO of Gateway Jax.
The Pearl Street District is Gateway Jax’s debut development in Downtown Jacksonville. The mixed-use plan will deliver more than 1,000 new residential units; more than 100,000 square feet of leasable retail space; vibrant new public spaces, including widened and shaded sidewalks; lush park spaces surrounding the historic Porter House mansion; and a signature curbless festival street on Pearl Street with abundant outdoor dining. Anticipated retail tenants include a full-service grocer, a high-end fitness club, restaurants, and daily service providers like salons and shops.
To date, Gateway Jax has acquired real estate holdings that span 25 blocks in Downtown Jacksonville. The company plans to deploy an estimated $2 billion in private development investment over the next decade. Gateway Jax’s redevelopment is expected to directly create approximately 2,700 permanent jobs and spur over $750 million in annual economic impact at full build-out. When factoring in the follow-on demand induced by the catalytic nature of development at this scale, Gateway Jax’s development pipeline could generate over $475 million in annual tax revenues to the City of Jacksonville upon full completion.
Gateway Jax is led by real estate professionals with experience managing similarly complex, mixed-use, public-private projects in Tampa, Florida and Washington, D.C. This firsthand knowledge, coupled with Gateway Jax’s sizable portfolio and strong financial backing through its capital sponsors, were important factors in the legislation’s review and approval.
The legislation authorizes the Downtown Investment Authority (DIA) to execute redevelopment agreements with the City of Jacksonville and Gateway Jax for four planned blocks of the Pearl Street District (Blocks N4, N5, N8 and N11); grants a tower crane license agreement in support of the project; and approves an incentive package totaling $98.5 million, comprised of $59.6 million in Recapture Enhanced Value (REV) grants over 17 years and $38.9 in completion grants, which are not paid until the projects are complete and on the City’s tax rolls.
“Throughout this project’s evolution, the Gateway Jax team has demonstrated their commitment to delivering a visionary project that truly creates a new and vibrant Downtown neighborhood and generates a positive return for the entire City. We are eager to see this transformational project break ground in the fall,” said Lori Boyer, DIA’s Chief Executive Officer.
For more information on the project and Gateway Jax, visit gatewayjax.com.
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About Gateway Jax
Gateway Jax is a Jacksonville-based investment and development firm, created and sponsored by JWB Real Estate Capital and DLP Capital. Founded in 2022, its leadership brings decades of experience in urban real estate development across North America, focusing on developing dynamic, interconnected, and vibrant projects in walkable, mixed-use environments.
Gateway Jax is committed to working in collaboration with residents and communities to build future-forward ways of working, living and playing. Learn more at gatewayjax.com.