In a new public announcement, Atlanta Beltline, Inc. leaders laid out a list of problems, including ballooning costs, shrinking plans and delayed development that led to the eventual cancellation of a contract with Culdesac Inc. to redevelop Murphy Crossing.
The Jan. 10 cancellation announcement took many by surprise. Atlanta’s highly-anticipated project was set to transform the 20-acre formerly industrial site on the Westside, with plans for a multi-use and car-free complex with affordable housing and retail along the Beltline.
But with little explanation the Atlanta Beltline said the deal was scrapped and the search for a new developer must begin again. Now Beltline officials are coming forward with a lengthy list of reasons why it didn’t work out, all pointing at one actor — Culdesac.
Arizona-based developer Culdesac and local group Urban Oasis Development were selected as development finalists in September 2022. The developers were approved by Invest Atlanta in March 2024 based on a “shared ideal to create a high-density, mixed-use, transit-oriented development.”
The developers were expected to do four things, according to an official Beltline statement: develop a master plan for the site, complete all preconstruction work like securing permits and entitlements, secure financing and manage construction in a timely manner.
Atlanta Beltline, Inc. representatives claim Culdesac failed to deliver on the expectations, resulting in the contract’s termination on Dec. 30. The organization was legally barred from speaking in detail about the situation until February.
In a lengthy public announcement, Atlanta Beltline, Inc. Vice President of Policy and Development Dennis Richards, Jr. laid out exactly what went wrong with the project and the “difficult decision” to cancel.
According to Richards, the project was under-delivered and was full of delays. Throughout early development, it grew from a two-phase project to a six-phase project. The developers also reportedly requested an inspection period increase from 120 to 280 days and delayed preconstruction steps like rezoning and financing, which pushed the whole project timeline back.
But Beltline officials paint a picture of a project that consistently underdelivered. In the statement, Richards said the developers didn’t secure enough funding for the massive project. The Beltline and Invest Atlanta offered grants, but the developers never sent in an application. At one point, the Beltline offered a $10 million “incentive package” to speed up phase one of development.
Instead, Richards said the number of planning residential units kept falling while the requests for money kept coming. Plans shrank from 310 residential units to 105 units, but developers allegedly asked for $12 million in public incentives and put in an “ambiguous request” for $38 million in funds.
Despite the termination, Beltline officials remain optimistic about Murphy Crossing’s future. This is the second cancellation for the location’s remake, after a scrapped project with another development team in 2020.
“ABI remains committed to advancing its redevelopment of Murphy Crossing,” Richards said in the statement.
Moving forward the Atlanta Beltline plans to hold a number of meetings to explain what the future plans for Murphy Crossing’s redevelopment might be. The organization still plans to break ground on the first phase of development in 2026.
On Feb. 19, 2025 at 6:30 p.m. ABI will host a Murphy Crossing Stakeholder Advisory Committee meeting. The public can attend the meeting, but only committee members will be able to comment or ask questions. ABI will host a larger public meeting on March 11 at 6:30 p.m. to discuss what the community can expect.
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