The $5 Billion Plan to Rebuild Downtown Atlanta

The Gulch, a challenging and undeveloped area in downtown Atlanta, is being transformed into Centennial Yards, a $5 billion project. This ambitious undertaking aims to revitalize downtown Atlanta, which has seen power and investment shift outwards since the 1960s. Centennial Yards will feature 6 million square feet of development, including 1 million square feet of retail, 5,000 apartments, and a half-million-square-foot entertainment district, with some components opening in time for the 2026 FIFA World Cup. The project faces significant hurdles due to the Gulch's location over active rail lines and its lack of infrastructure. Building on the site requires massive structures on stilts, 40 feet up, to match the street grid, an estimated $400 million cost just for the elevated construction. An additional $300 million is estimated for basic infrastructure like electricity, water, and sewer. Despite these challenges, Tony Ressler, who bought the Atlanta Hawks in 2015, envisioned "LA Live" for the site, believing in the potential for downtown Atlanta's transformation. Atlanta's downtown, once a thriving hub anchored by Auburn Avenue and a cradle of the Civil Rights Movement, saw a decline after the 1960s due to "White flight" and suburbanization. While the city grew with new skylines and became a global influence in hip hop, entertainment, and business, its original downtown struggled. The 1996 Olympic Games were expected to revive the area, but the momentum was not sustained, leaving the 40-acre Gulch undeveloped and disconnecting key attractions. Ressler's vision for Centennial Yards emphasizes inclusivity and diversity. He assembled an all-star team of investors, including Grant Hill, Arthur Blank, 2 Chainz, Usher, and Shaquille O'Neal. Ressler's brother, Richard Ressler, chairman of CIM Group, a company with experience in large, complex downtown developments, also became a key partner. To make Centennial Yards a reality, Ressler and CIM Group needed the city's support, which involved a deal where the city would issue bonds for the project, with no initial monetary investment from the city itself. This deal faced both support and opposition, particularly concerning the use of tax dollars and the impact on affordable housing. To address these concerns, a $28 million affordable housing trust fund was established, funded by a contribution from the developers when they did not meet certain affordable housing targets. A Fulton County judge upheld the bond issuance, allowing the project to proceed. Centennial Yards is expected to create upwards of 10,000 jobs and build the city's tax base through property and sales taxes, with the developers' repayment tied directly to the generation of these taxes. Construction began in 2021, and while completion is years away, several developments, including a 5,300-seat Live Nation concert hall and Cosm, are underway to showcase the project during the 2026 FIFA World Cup. The project aims to connect various communities and attractions, fostering a sense of unity and shared experience, ensuring that all residents can be a part of this transformative vision for Atlanta's future.