Underground Atlanta owner Lalani Ventures has partnered with Exact Capital to build a 30-story apartment tower at the Downtown landmark.
The tower will be the site’s first new development in decades, fulfilling Lalani’s goal to create a mixed-use and mixed-income community at the historic site.
The site for the tower is at Underground’s fountain plaza, bordered by Peachtree Street to the west, Wall Street to the north, Pryor Street to the east and Upper Alabama Street to the south. Architect Niles Bolton is handling design, engineering and permitting.
The tower will include 405 units, with 163 earmarked as affordable to households at or below 60% of the Area Median Income. All units will be in one tower and share the same amenities. The developers plan to break ground before the end of 2025.
Invest Atlanta approved an inducement for a $40 million tax-exempt bond issuance to help finance the project on Sept. 19. The Invest Atlanta board will have an opportunity to review the project again before providing its final resolution in advance of the project closing on its construction loan next year.
The $160 million tower will be developed by two minority-owned firms: Shaneel Lalani, CEO of Lalani Ventures and Underground’s owner, and Craig Livingston and Michael Callaghan of Exact Capital lead the effort.
“We’re grateful for the support of Invest Atlanta and the City of Atlanta. The vote on Sept. 19 was an important step in the process. Going vertical allows us to build a beautiful new residential community in downtown Atlanta at Underground,” Lalani said in a press release. “This is part of our overall vision to create Atlanta’s top arts and entertainment community. Having residents live right here will create more vibrancy for this beloved property with historic roots, which in turn will have a great impact on downtown Atlanta.”
New York-based Exact Capital’s most recent project in Atlanta was Skyline, a transit oriented development on the Atlanta BeltLine in Summerhill.
Lalani Ventures’ Senior Vice President of Development David Tracht added, “We’ve been working hard at Underground to bring new life and energy downtown by focusing on the arts, creatives, performances and events – celebrating Atlanta culture. The addition of residences is desperately needed downtown and is a natural next step for Underground as we look to create a dynamic experience and community downtown.”
Lalani has been slowly revamping Underground since purchasing the property in 2020. Along with the relocation of nightclub/concert venue The Masquerade, Underground has also become the home to burlesque theatre/speakeasy Pigalle by Paris on Ponce and nightclub MJQ Concourse is completing renovations on the former Dante’s Down the Hatch space.
Underground’s list of tenants also includes the LGBTQ restaurant/bar FUTURE; Dolo’s Pizza Co.; cat cafe/listening lounge The Frisky Whisker; Lunchbox bar; Insomnia Night Club; Utopia Restaurant Bar & Lounge, and Atlanta Comedy Theatre.
Other tenants include Fulton County’s Public Arts Future Lab, an innovative artist residency funded by Microsoft; MARTA Artbound (MARTA’s public art program) and Arts & Entertainment Atlanta; YELLE Beauty, a Black woman-owned and operated beauty concept by Yandy Smith-Harris; Dancing Crepes, a new dining concept also by Yandy Smith-Harris; and Daiquiriville, a 2,200-square-foot indoor/outdoor restaurant and bar with karaoke and other entertainment, owned and operated by Colombian-native Luisa Duran.