Nashville, Tenn. — Hensler Development Group, in conjunction with Stiles, has unveiled plans to develop Peabody Union, a 625,000-square-foot mixed-use project in Nashville.
At full build-out, the development will feature 105,000 square feet of retail, 170,000 square feet of Class A office space and a 25-story, 350,000-square-foot residential tower overlooking downtown and the Cumberland River. The retail space will include flagship anchors, health and fitness concepts, local artisans and restaurants. In addition, Peabody Union will showcase local artistry and technology from the neighboring Entrepreneur Center.
The joint venture paid $16 million to the Metropolitan Development and Housing Agency (MDHA) for the five-acre site, situated on the northern bluff of Rolling Mill Hill, and will contribute an additional $1 million toward affordable housing in Nashville. As part of the deal, MDHA will commit $17.5 million in tax increment financing (TIF) to fund construction of approximately 400 MDHA-controlled garage spaces, as well as traffic signalization, streetscapes and greenway improvements along the Cumberland River.
Peabody Union, along with neighboring retail and office developments, will establish a new “Design District” on approximately 15 acres along the Cumberland River. Upon completion of all phases in 2023, the new Design District will feature roughly 1 million square feet of office, retail and residential space.