On Thursday, the Invest Atlanta board of directors approved a bond resolution that will provide a tax incentive of almost $15 million to the controversial Amsterdam Walk redevelopment spearheaded by Portman Holding.
Tax incentive details
Invest Atlanta Senior Vice President of Community Development Phil Perkins explained that the developers will pay $39 million in property taxes over the first ten years, rather than the $54 million that would have been due without the incentive.
The reduction is intended to offset the developers’ projected loss of revenue. In exchange, Portman Holding has agreed to preserve 39 of the 539 apartments – roughly 7 percent of the total – at rents set at 80 percent of the Area Median Income (AMI) for the next 198 years. An individual earning 80 percent AMI makes about $64,000 a year.
Affordable‑housing commitments
Portman estimates the arrangement will cost more than $225 million in potential rent over the next 99 years. The redevelopment will also include 135 units priced at 60 percent AMI, bringing the overall affordable‑housing share to about 25 percent of the 539 units, which Portman says exceeds the city’s Beltline requirements.
Atlanta’s Beltline policy requires adjacent properties to set aside either 10 percent of units at or below 60 percent AMI or 15 percent at or below 80 percent AMI, though developers may pay a one‑time fee to waive those requirements.
Project scope
The 11‑acre site has been rezoned for up to 1,100 apartments and roughly 150,000 square feet of commercial space across two phases, along with several public plazas.
Opposition and concerns
While the board approved the incentive by a 6‑2 vote, several neighborhood representatives voiced strong opposition. Resident Ben Terry urged the board to stop “throwing money at the Amsterdam Walk project,” criticizing the traffic plan and the affordability approach. Another resident questioned whether the developers would honor the affordable‑housing promises for the next phase.
Opponents have long cited traffic concerns, high density, and rezoning controversy. The project did not receive endorsements from Neighborhood Planning Unit F or the Morningside‑Lenox Park Association, though Perkins noted that the Virginia Highland Civic Association offered “some positive support.”
Fiscal impact concerns
Critics argue that the tax break reduces city revenue, ultimately shifting the cost to taxpayers. “If you give property tax breaks to developers, that means less revenue for the city, and eventually it will trickle down to taxpayers,” said opposition leader Charlie Kaften.
Atlanta Public Schools Vice Chair Ken Zeff, also a board member, voted against the bond, noting that an estimated $7 million of the tax break would have gone to APS funding.
Context
This incentive follows Invest Atlanta’s recent approvals of $19.3 million in tax‑exempt bond financing and $2 million in Beltline Tax Allocation District grant dollars for 135 multifamily units set at 50‑80 percent AMI.
The Amsterdam Walk decision reflects the ongoing tension between development incentives aimed at expanding affordable housing and community concerns over fiscal responsibility and neighborhood impact.
Original reporting: SaportaReport — read the source article.
