Sandy Springs Approves Financing Agreement For Windsor Parkway Improvements

The Sandy Springs City Council on Tuesday approved entering into agreements with the Sandy Springs Development Authority and companies associated with the JLB Gateway mixed-use redevelopment project regarding disbursement of bond monies to fund the road realignment project at Windsor Parkway and Roswell Road.

The agreements, which were approved during the final City Council meeting of 2014, will result in an allocation of roughly $4.7 million for the road project and other infrastructure improvements in the vicinity of the JLB Gateway Project.

Per the agreements, the Gateway Project Companies — JLB Chastain LLC (“JLB Phase I”), JLB Chastain Phase II LLC (“JLB Phase II”) — and Sandy Springs Gateway Owner, LLC will make contract payments to the Sandy Springs Authority, with the Authority paying an amount equal to the contract payment to the city for the realignment project.

The payment schedule would be:

• For the first year, an amount equal to 57.5 percent of the savings amount for the JLB Phase I and JLB Phase II projects and 41.5 percent of the savings amount for the Gateway Owner Project;
• For the second and third years, an amount equal to 100 percent of the savings amount for each year; and
• For the fourth through 10th years, an amount equal to 66 2/3 percent of the savings amount for each year.

Sandy Springs leaders in July approved an application from JLB Partners to rezone property on the west side of Roswell Road, approximately 135 feet north of the intersection of Windsor Parkway and Roswell Road.

During the same meeting, the Council adopted a resolution approving a proposal to realign the Windsor Parkway intersection, including a proposed budget for the project.

In August, the Development Authority approved a taxable revenue bond financing the Gateway Project of up to $169 million, which will result in a tax savings of approximately $6.3 million over the 10 ten years of the agreement.

The JLB Partners’ mixed-use redevelopment replaces two older apartment complexes with new apartment homes, office space, restaurants and retail. The project is anticipated to create hundreds of jobs during construction and at least 30 full-time jobs upon completion. The project is also expected to generate $4.5 million in new tax revenue over the next ten years, even with the tax abatement.

The project will be completed in phases.

The first is the retail phase to be developed by Sandy Springs Gateway Owner, LLC, with construction expected to begin in 2014.

The second phase, multifamily housing, will be developed by JLB Chastain, LLC and will also commence in 2014. The final phase, which is additional multifamily housing, will be developed by JLB Chastain Phase II, LLC and will begin in 2016.

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