Atlanta looks to repurpose land for housing 

Land: They’re not making any more of it.

That certainly holds true in Atlanta, where undeveloped land is becoming even more scarce, leading city officials to examine how publicly owned land could be repurposed for a range of uses, the Atlanta Business Journal reported.

The city plans to create a master plan for its real estate, shedding light on how government operations might be condensed or relocated to free up space for housing and community amenities. The study is expected to be completed by the fall, the outlet said.

Many of Atlanta’s facilities are strategically located along the BeltLine, a former railroad corridor that has become a popular multi-use path. Housing costs along the BeltLine have surged in recent years, and the study could reveal opportunities for the development of more affordable housing units near the corridor.

One potential redevelopment site lies south of Maddox Park near Donald Lee Hollowell Parkway, with the possibility of integrating it into broader plans for the area, where Atlanta BeltLine Inc. already owns land earmarked for housing, according to the outlet.

Earlier this year, Atlanta Housing collaborated with several agencies to establish the Atlanta Urban Development Corporation, which is tasked with creating mixed-income communities on publicly owned land, with enough market-rate units to support affordable housing options.

One of the corporation’s first projects could be in Midtown, at 170 10th Street NE, where Atlanta Fire Rescue operates from a building dating back to the 1980s. The city envisions developing a fire station beneath a 30- to 40-story apartment tower with at least 300 units, one-third of which would be affordable. On top of — literally — providing modern facilities for firefighters, the project would offer attainable housing options in an area where average rents currently reach $2,200 per month.

The approach allows developers to circumvent the challenges of high land prices, making it easier to provide affordable options in urban settings. Furthermore, private partners in AUDC-led projects can access low-interest loans from a revolving fund to help defray costs.

Several U.S. cities, including Chicago and Washington, D.C., are also exploring the densification of public sites, with initiatives like libraries with residential units and municipal building redevelopments that incorporate housing and retail spaces.

The study comes at a pivotal time for the city, with an uncertain development and office market. 

German real estate behemoth Newport RE recently announced a deal to sell its South Downtown portfolio, with over 50 buildings and several acres of parking lots across approximately 10 blocks of downtown Atlanta. 

The buyer is Braden Fellman Group, a well-known Atlanta developer with a reputation for revitalizing industrial properties, the Atlanta Journal Constitution reported.

The sale marks a significant development for one of the city’s largest adaptive reuse projects, which Newport had undertaken before the disruptions caused by the Covid-19 pandemic in the commercial real estate market.

Several years ago, Newport, initially little-known in Atlanta, set out with a bold plan to purchase historic yet neglected buildings south of the Five Points MARTA station. 

The project, called as South Dwntn, included the redevelopment of Historic Hotel Row, the 222 Mitchell Street building, and various surface parking lots earmarked for new apartment buildings.

However, global economic pressures resulting from the pandemic, prolonged conflict in Europe, and a recent rise in interest rates prompted Newport and its South Downtown investors to reconsider their capital investments. 

— Ted Glanzer

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