INVEST Redevelopment Eastside TAD Ascension Fund Fact Sheet

PURPOSE: To authorize up to $6,500,000 from Eastside TAD tax increment to develop the retail portion and related infrastructure of a $350 million mixed-use master- planned project in .

PROJECT NAME: Underground Atlanta

PROJECT OWNER: SKUAG I, LLC (an affiliate of WRS)

LOCATION: 50 Upper Council District: 1, 2 & 4 NPU: M

PROJECT DEVELOPER: WRS Realty, Inc. (Scott Smith)

DESCRIPTION: WRS Realty, Inc. (“WRS”) recently purchased Underground Atlanta form the and proposes to redevelop it into a new mixed-use master-planned project, featuring: • 325,000 square feet of retail (GLA) o 88,000 sf anchor grocery store o 115,000 sf junior anchors o 58,000 sf inline/ground floor o 64,000 sf renovation of underground Alabama Street into F + B Hall • 25,230 square feet of office (GLA) • 3,439 public parking spaces o 2,189 new structured parking spaces o 1,250 existing structured parking spaces

The total project costs for the WRS portion of the project are estimated to total $162 million. WRS will sell the development rights to a co-developer(s) to develop the following, estimated to total an additional $190 million: • 1,000 apartments • 320 hotel rooms

WRS PROGRAM/PHASES: USES Precon. Phase I Phase II Total Retail (SF) 38,818 248,155 38,083 325,056 Office (SF) 25,230 0 0 25,230 Multifamily (Units) 0 0 0 0 Hotel (Keys) 0 0 0 0 Parking (Spaces) 1,250 1,413 776 3,439

WRS PHASE I SOURCES AND USES: USES Total % of Total Land $34,875,000 22% Hard Costs $87,009,314 54% Soft Costs $39,632,044 24% Total $161,514,358 100% Land Sales $25,405,000 Total $136,109,358 SOURCES Debt $88,471,083 65% Equity $41,138,275 30% TAD $6,500,000 5% Total $136,109,358 100% * Total projects costs, including residential and hotel, are estimated to total approximately $350 million.

BENEFITS: 1. Directly supports the vision articulated in the Eastside TAD Redevelopment Plan by ensuring that the City of Atlanta “continues its century old role as the dominant commercial, retail, residential, and tourist center of the metro region.” 2. Redevelops an existing underperforming and/or obsolete property into its highest and best use. 3. Attracts substantial new jobs to downtown. 4. Generates substantial new taxes to the City of Atlanta. 5. Provides neighborhood retail necessities, including an anchor grocer, as well as new necessity and specialty retail, as well as dining options that contribute to the long-term vision of establishing downtown as a shopping destination. 6. Applies best practices in placemaking and urban design, including preservation of the existing street grid, activation of the street level, and the mixing land of uses to support a 24-hour environment. 7. Commitment to LEED green building certification. 8. Supports the long-term development of mixed-income housing adjacent transit.

DEFINED ECONOMIC DEVELOPMENT BENEFITS:

• $161,514,358 of direct capital investment in downtown (WRS only) o Estimated to leverage approximately $190 million of additional investment by third-party developers • Total economic impact from capital investment of $230,340,633* (WRS only) • 1,740 temporary jobs created from construction** (WRS only) • 750 new permanent jobs created** (WRS only) o 650 retail jobs o 100 office jobs • $2.8 million in incremental annual property tax generation to the TAD*** (WRS only)

*Based on ImPlan analysis **Estimated by Applicant ***Estimated by

PROJECT TIMELINE: Firm Financing Commitments October 2017 Start of Construction December 2018 End of Construction December 2022 Initial Occupancy August 2020 Stabilized Occupancy December 2023

PRYOR STREET PRYOR

Project Blocks and Phasing (Phase I = Block 2 and Block 3)

Ground floor Site Plan

Overhead Site Plan

Aerial View

Peachtree Street-level View

Alabama Street-level View