Portman Seeking $5M Property Tax Break Over 10 Years For Third Midtown Office Tower
The developer of Midtown's high-performance computing tower and Anthem's new IT building is readying for a third helping of office in the same area — thanks to potential incentives.
Portman Holdings is heading before Invest Atlanta, the city's economic development arm, for approval of a $110M lease bond incentive, a move that will allow the developer to offset property taxes over a decade. Portman plans to develop 712 West Peachtree, a 345K SF office tower in Tech Square next door to the under-development 740 West Peachtree St. — known as the Anthem Technology Center — and Coda.
The net result: Portman is predicting that the new tower will create more than 2,300 permanent jobs and have a more than $220M economic impact on the city. In exchange, Portman will save more than $5M in taxes over 10 years.
While the job number prediction appears specific, it could be accounting for the average of 150 SF per employee for a midsized office user that the industry has been seeing in this cycle. Officials with Portman did not return calls as of press time.
This is Portman's third at-bat with office in the immediate area. It already secured Georgia Tech as a primary tenant at Coda, and earlier this year, it snagged a pre-leasing deal with Anthem — which operates Blue Cross Blue Shield of Georgia — at the 21-story tower for its IT hub. Invest Atlanta is expected to vote on the incentive this Thursday.
CORRECTION, SEPT. 19, 10:30 A.M. ET: A previous headline of this story misconstrued the actual value of the tax break incentives. The headline has been updated.