Fallon master development agreement: 99-year lease, affordability targets and infrastructure responsibilities explained to East Bank board

Metro staff provided the East Bank Development Authority an informational briefing on the master development agreement with the Fallon Company for the first 30 acres of Metro-owned land in the East Bank central waterfront.

Staff described the 30-acre area as selected for proximity to the stadium and existing infrastructure availability. The agreement is a 99-year ground lease; Metro retains land ownership and a fair-market rent will be set by appraisal, with an annual increase mechanism until ground is broken and a fixed rent thereafter.

Affordable housing: The development agreement ties residential milestones to affordability commitments. Staff summarized that if Fallon builds the minimum number of housing units in the agreement (1,550 units), 695 units would be affordable under the agreed benchmarks, representing a substantial share of the minimum. Affordability levels were described in terms of area median income (AMI); staff noted AMI is defined by federal rules across a multi-county area and that percentages of AMI translate differently for Nashville residents than for the larger AMI geography. The agreement includes a 99-year affordability term for committed units.

Infrastructure and phasing: Fallon's infrastructure commitments in the exhibit shown to council place primary responsibility for key…