JACKSONVILLE, Fla. – The Mayor’s Budget Review Committee voted unanimously on Monday to support a proposed land swap between the City of Jacksonville and a downtown developer.
According to News4JAX news partners at The Jacksonville Daily Record, the committee’s endorsement would allow the Downtown Investment Authority (DIA) to submit legislation on the exchange of city-owned property at Riverfront Plaza to acquire the Interline Brands Co. building, which would be used for the University of Florida’s graduate center in LaVilla.
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Click here to read the full memo and legislation reviewed by the MBRC
In the proposed deal, Gateway Jax would receive a 1-acre development parcel in the plaza and an option on another piece of land to the east. As part of the exchange, Gateway has committed to building a 17-story tower that would include a hotel, condos, restaurants, retail and public spaces.
RELATED | ‘Another step closer’: City and UF make strides toward new graduate campus in downtown Jacksonville
But the land swap isn’t the only option on the table to acquire the property.
Jacksonville Councilman Ron Salem introduced a resolution on Tuesday to direct the DIA and city administration to buy the building and grounds outright for up to $8 million.
RELATED | Read Salem’s resolution here
Gateway purchased the Interline building in October 2024 for $4 million. The city values the two city-owned parcels together at $5.02 million, and an appraisal obtained in March by the DIA placed the value of the Interline property at $6.75 million, the Jax Daily Record reported.
Mayor Donna Deegan has long supported the land swap deal. On Tuesday, she told News4JAX it’s the option that makes the most sense.
“If you look at the analysis of what the land is worth, it’s a great swap,” Deegan said. “It’s a great opportunity for us. Or we can take millions of dollars out of out of a coffer that really is pretty bare right now and do it that way and possibly end up with the same result, only out a bunch of money. So, to me, the swap makes perfect sense for exactly what we want to accomplish on the riverfront.”
UF plans to invest $7 million to retrofit the Interline building for classroom use. Instruction would begin in the fall of 2025.
