Jacksonville-based developer Live Oak Contracting is boldly moving to purchase and revitalize the iconic Laura Street Trio. This historic trio, comprising the First National Bank Building, the Bisbee Building, and the Florida Life Building, has long been a symbol of the city's rich past. Live Oak's potential acquisition of these properties marks a significant step towards their restoration and reintegration into the heart of downtown Jacksonville.

Live Oak is actively pursuing a deal to purchase these properties from the current owner, SouthEast Development Group, led by Steve Atkins. This potential acquisition is a critical step toward revitalizing the area and preserving its historic structures, which have long been overshadowed by neglect and deterioration.

A Proven Track Record

Live Oak Contracting has a strong reputation for delivering high-quality projects across Northeast Florida. Their one current in-progress project in Jacksonville is the high-profile $83 million One Riverside multifamily construction on the former Florida Times-Union building site. Their portfolio of completed Jacksonville and Nocatee projects includes a diverse range of developments, such as:

• Multifamily: Barlow, Olea E-Town, Olea Beach Haven, The Hendricks, Cadence at Nocatee, The Reef at Atlantic Beach, Olea at Nocatee, Saddle Brook Landings, The Exchange, and The San Marco Promenade.

• Commercial: Live Oak's New Office, New Vision Properties, Lakewood UMC Sanctuary, San Marco Cross Training, The District at Kernan, Watson Martial Arts, and Vaughn Motor Group.

Navigating Challenges

Acquiring the Laura Street Trio presents an exciting opportunity with significant challenges. The properties are burdened with substantial code compliance fees, and ongoing foreclosure proceedings further complicate the deal. Live Oak is actively working with city of Jacksonville officials to negotiate a waiver or abatement of these fees, a crucial step towards securing the property.

The recent discussions have gained traction, bringing to light a series of challenges that must be navigated, particularly concerning code compliance fees and a looming foreclosure lawsuit. During a recent meeting of the City Council Special Committee on the Future of Downtown, Paul Bertozzi, CEO of Live Oak, detailed the ongoing negotiations with Atkins. Live Oak recognizes the historical significance of the Trio buildings and is committed to transforming them into spaces that benefit the community—an aspiration that requires collaboration and support from various city stakeholders.

The proposal includes not only the sale of the properties but also an impending request to waive the code compliance liens that currently encumber them. To facilitate a rapid closing, which Bertozzi hopes to achieve by December, the City Council would need to approve legislation eliminating these compliance fees. These liens stem from municipal code violations amounting to over $800,000, a heavy financial burden that complicates the sale and future development plans.

During the City Council meeting, the request to waive these fees was met with a mixed response. While some members supported Live Oak’s vision, there were reservations regarding the implications of forgoing the fees. The City administration, led by Mayor [Name], has shown reluctance to support the waiver, citing concerns about maintaining accountability for property owners. The Mayor’s chief of staff indicated that the administration would likely not endorse the measure without substantial justification.

Another layer of complexity to this situation is the city’s recent decision to initiate foreclosure proceedings against the current owner, naming Laura Trio LLC and Red Oak Capital Fund II LLC as defendants in the lawsuit. This decision highlights the long-standing frustrations that the city has experienced regarding the development (or lack thereof) of these historic properties. For years, SouthEast Development had promised a comprehensive plan to renovate and revive the Trio buildings, proposing a mixed-use development incorporating hotel spaces, restaurants, bars, and apartments. However, the city has frequently reiterated that these promises have remained largely unfulfilled, leading to a tense atmosphere.

A Collaborative Effort

As the conversation surrounding the proposal continued, an alternative suggestion raised during the City Council meeting garnered attention. It was proposed that the code compliance fines be abated over several years, contingent upon correcting any violations during this period. This concept aims to create a more favorable environment for the developer while emphasizing accountability and a commitment to restoration.

The administration has signaled a willingness to entertain this idea. The Jacksonville City Council and the Mayor's office are closely monitoring the situation and trying to negotiate a deal that balances their commitment to historic preservation with code enforcement and financial considerations. The city aims to revitalize and integrate the Laura Street Trio into the downtown community. The success of this project will depend on collaboration between Live Oak Contracting, city officials, and other stakeholders.

As negotiations continue, the future of the Laura Street Trio remains uncertain. However, with Live Oak's proven track record and commitment to high-quality construction delivered on time and on budget, there is hope that these iconic buildings will be restored to their former glory and become a vibrant part of Jacksonville's future.