He said that stretch of the Beltline lacks Class A offices made of steel and glass, estimating that the new building will likely cost at least $120 million to construct.
“We want to keep pushing the envelope on how nice and how architecturally significant we can make the building,” he said.
The property consists of three parcels spanning from Irwin Street to McGruger Street. The land and existing structures have an appraised value of nearly $1.7 million, according to Fulton County records.
Portman paid $12 million for the land, according to Alan Wexler at DataBank, a real estate information company.
The property has a few tenants, including Atlanta Bicycle Barn, Lingering Shade Social Club, Yay Beignet and Bistro and Jake’s Ice Cream.
John Morrison owned the parcels, along with Ladybird Grove 7 Mess Hall and a series of creative offices and lofts just to the north, for decades — well before the Beltline transformed the area along the Old Fourth Ward neighborhood.
Morrison said Portman is the right developer to bring new value to that corridor.
“I knew it would make the area special if they did a project there,” he said. “I paid more attention to (Portman) than a lot of the other developers that were looking at the property. And believe me, they all looked at the property.”
He added that he plans to hold on to Ladybird and the other properties.
Greene said Portman’s newly acquired parcels will not need to be rezoned. Construction will not begin soon, since phase one has yet to open or finish leasing. The existing tenants will be given six months’ notice before any construction begins, he added.
He estimated that Portman likely won’t begin pursuing required design review and building permits until next summer.
Credit: Portman Holdings
Credit: Portman Holdings
Greene said the expansion presents an opportunity to improve the Irwin Street intersection with the Beltline, adding better traffic lights and pedestrian infrastructure.
“If we could turn that Irwin Street-Beltline crossing into a raised table with plaza-type features and connect the two (Junction Krog) buildings together, it would be a win-win-win for everybody,” he said.
Portman is pursuing multiple projects along the Beltline Eastside Trail. In April, the developer announced a plan to redevelop Amsterdam Walk, a 9-acre shopping center along the Beltline and Piedmont Park, into apartments and new commercial spaces. Another Portman project called Ponce & Ponce, near the popular and expanding Ponce City Market, is also leveraging its Beltline access.