Commission backs DDA support for Amlee mixed‑use redevelopment, cites grocery and inclusionary units

Angela Threadgill, assistant city manager and executive director of the Decatur Downtown Development Authority, and Connor McNally, DDA chair, presented details of a draft economic development agreement for a proposed mixed-use redevelopment at 720/750 Commerce Drive.

Threadgill said the project would include up to 361 residential units (density bonus assumption) and roughly 13,000 square feet of ground-floor retail that the DDA and developer say will include a qualifying grocery store. The DDA proposal sets aside 36 inclusionary housing units for households at or below 80% of area median income, to comply with the city's inclusionary housing ordinance.

McNally described the tax-incentive structure as a "usufruct" or use/rental arrangement in which the DDA would take ownership of the real estate and improvements and the developer would operate the property under a rental agreement with pilot payments (payments in lieu of taxes) over a 10-year term. He said the DDA negotiated a schedule of pilot payments, clawbacks, inspection rights and penalties intended to ensure the public benefits are delivered — including a requirement that a grocery lease be in place prior to bond closing and penalties of $56,000 per month if a committed grocery does not open within six months of the agreed in-service date.

McNally and Threadgill said the DDA also negotiated public benefits such as a Commerce Drive multi-use path, cemetery connections and a publicly accessible paseo plaza. The DDA presented an economic-impact assessment and said construction spending and recurring local retail spending were part of its analysis.

During questions, commissioners asked for clarity on lease timing, the definition of a "qualified grocery store," public access to the plaza and how pilot payments would be distributed among DeKalb County, the city and the school system. Staff said pilot payments would be distributed pro rata as taxes currently are, and reiterated that bond validation in DeKalb Superior Court and a secured grocery lease are prerequisites before bonds close and construction begins.

The commission voted to adopt a resolution expressing support for the DDA decision, enabling the DDA and developer to proceed with bond documentation, court validation and subsequent steps while preserving the DDA's inspection and enforcement rights spelled out in the draft agreement.