Fort Lauderdale developer proposes to build affordable housing in downtown St. Pete
/Alexander Goshen has offered to lease a city-owned lot at the corner of 3rd Avenue South and Dr. Martin Luther King Jr. Street South to build an affordable housing community. Third Lake Partners offered to purchase the same lot in April | St Pete Rising
Fort Lauderdale-based real estate developer Alexander Goshen has submitted a letter of intent to lease a city-owned lot in downtown St. Pete with the aim of constructing an affordable housing building.
The letter of intent comes in response to the City of St. Pete seeking alternative proposals to a bid from Tampa-based Third Lake Partners LLC, which in April offered to buy the 1.53-acre parcel at the corner of 3rd Avenue South and Dr. Martin Luther King Jr. Street South from the city for $6 million.
The property is currently in use as a surface parking lot but in 2021 it was part of a $200 million mixed-use proposal, submitted by UPC Insurance, Moffitt Cancer Center, and TPA Group, that would have included a 75,000-square-foot Moffitt Cancer Center facility, a 30-story residential tower, and a 14-story hotel.
That project was rejected by Mayor Ken Welch, who said it lacked sufficient affordable and workforce housing. The developers had proposed designating 17.5% of the residential units as affordable and workforce housing, but Welch wanted at least 30% to be deemed affordable.
Alexander Goshen has proposed to lease a city-owned lot (outlined in red) to construct an affordable housing building. Third Lake Partners offered to purchase the same lot in April. The lot was previously part of a larger development site that Moffitt Cancer Center, UPC Insurance, and TPA Group had identified for a $200 million mixed-use project in 2021.
With that proposal not moving forward, Third Lake Partners acquired the neighboring UPC headquarters property in November 2022 for $10.5 million.
Additionally, in May, a joint venture between Feldman Equities and PMG submitted an unsolicited bid to purchase the north side of the block, which was also part of the original UPC Insurance, Moffitt Cancer Center, and TPA Group project.
In the letter of intent from Alexander Goshen Principal Miles Alexander III, the company proposes to lease the 1.53-acre property from the city and build affordable housing on the site. Its plan calls for “a modern-style, residential mid-rise, consisting of high-quality, attainable housing.”
Fifty percent of the units will be set aside for workforce housing catering to renters who make 80% of the Area Median Income and below.
Alexander Goshen’s proposal says it will lease the property for 99 years at an annual rate of $75,375, adjusted every five years for increases in the Consumer Price Index. The City of St. Pete will maintain ownership of the property. Additional details about the proposed housing development were not included in the letter.
In addition to offering to lease the city-owned lot at the corner of 3rd Avenue South and Dr. Martin Luther King Jr. Street South, Alexander Goshen also submitted a bid in March to purchase the former Tomlinson Adult Learning Center from the Pinellas County School Board to construct a mixed-use development with affordable housing for teachers.
As well as proposing to develop the subject lot, Alexander Goshen also submitted a proposal to redevelop the 1.3-acre Tomlinson site near Mirror Lake in downtown St. Pete.
Their proposal for the Tomlinson site calls for constructing a tower with 225 total residential rental units, 30% of which are to be designated as workforce housing for households earning 90-120% of AMI, specifically those employed by the Pinellas County School District.
In April, the Pinellas County School Board announced that Alexander Goshen’s proposal was one of the two shortlisted proposals.
As for the 1.53-acre parcel at the corner of 3rd Avenue South and Dr. Martin Luther King Jr. Street South, City staff will review the proposals submitted by Third Lake Partners and Alexander Goshen to determine which, if any, to move forward with. If a proposal is selected, a term sheet will need to be approved by St. Petersburg City Council.
