$300 million mixed-use development anchored by Moffitt moves forward in downtown St. Pete
A $300 million mixed-use development proposed for 800 2nd Avenue South in downtown St. Petersburg took a step forward after presenting to the Community Benefits Advisory Committee (CBAC).
Initially proposed in August 2021, the project is a result of an unsolicited offer from Moffitt Cancer Center, UPC Insurance Holdings Corp., and developer TPA Group. The group envisioned a mixed-use campus that is anchored by a 75,000 square foot Moffitt Cancer Center outpatient building on a 4.59-acre site at 2nd Avenue South and 8th Street. As part of the development, 2nd Avenue South between 8th Street and Dr. MLK Jr. Street will be vacated.
A massive, shared parking garage will provide parking for the development and will include public parking on nights and weekends.
Moffitt plans to offer comprehensive cancer care for the first time in Pinellas County. Services at the site will include clinical trials and research studies, medical oncology, hematology oncology, radiation therapy, infusion, advanced imaging, and screening and diagnostic services.
The cancer center will be complemented by a 30-story residential tower with 350 units and a 14-story hotel along with a massive, shared parking garage. Ground floor retail is not mentioned in the plans.
On the southern portion of the lot, which currently houses a surface parking lot, would be a future development pad for a new UPC Insurance headquarters building.
The $300 million campus will include residential units, a hotel, a parking garage, and a cancer center.
The site is owned by the City of St. Petersburg and must go before the CBAC under a community benefits agreement program which passed City Council in July 2021.
The program requires developers to provide community benefits for projects that receive public assistance greater than 20% of the overall construction cost (for projects valued at more than $2 million) or more than $10 million in public assistance.
While the proposed development at 800 1st Avenue South is not directly receiving any public funds, the land is being sold for $5 million and most recently appraised for $24 million. As a result, the city is effectively contributing $19 million to the development.
The proposed development will sit on a city-owned 4.59-acre site at 800 2nd Avenue South.
As part of the package of community benefits, the development team is pledging 15% of the apartments (about 50 units) as income-restricted workforce housing for households making between 80% to 120% of area median income (AMI).
This reflects an increase from the team’s initial proposal of 10% when the plan was first submitted to the city. However, many residents at the CBAC meeting still questioned why more affordable or workforce housing wasn’t included.
Nate Pramik, Principal of TPA Group, explained that increasing the number of affordable or workforce housing units could impact the financial feasibility of the project.
Other community benefits include 300 free public parking spaces in the garage on nights and weekends, a reconfiguration of the road network, and onsite sewer infrastructure improvements.
In addition to a Moffitt Cancer Center outpatient building, a 30-story apartment tower is proposed and is expected to be among the tallest apartment buildings in the city.
An estimated 3,500 construction jobs and 260 permanent jobs are expected to be created because of the development. The group is aiming for 20% diversity inclusion in the project and has selected Black-owned Horus Construction, one of the largest black-owned construction firms in the Southeast, as the general contractor.
The proposal will go before a formal CBAC meeting on May 17th and ultimately must be approved by St. Petersburg City Council.
A timeline for construction has not been announced but the development team expects to close on the purchase of the site later this year.