Dec. 17, 2024 – Members of the Duval County School Board approved the district entering a five-year contract with the Trinity Commercial Group (TCG) at its Dec. 9 meeting. District leaders say working with the commercial real estate firm will support future efforts to buy properties, sell buildings, and facilitate other real estate transactions in its Five-Year Capital Plan. The contract also opens the door to the potential sale of the district administration building on the St. Johns River.
“Long before I joined the district, the possibility of selling this property has been a point of discussion in our community, and recent efforts were made toward this goal but did not come to fruition,” explains Superintendent of Schools Dr. Christopher Bernier. “However, this time, we’re taking an approach that I believe is more fiscally responsible for our taxpayers, our district, and our community.”
The Rationale Behind Selling the District Administration Building
Dr. Bernier points to the recent, ongoing development of the Southbank for commercial and residential use as an indicator of the land’s value. By selling the building, Dr. Bernier says the district can use money from a sale to support classrooms and increase reserve funds, while supporting economic development in Jacksonville.
Previous Attempts to Sell
The district’s most recent attempts to sell this building involved hiring a consultant and combining the potential deal to sell with a district commitment to lease or buy another property.
“The problem with this approach was that it came at a high price to the district,” says Bernier. “We were not just paying a consultant firm for its services, but we were also facing the reality of paying a very high lease on a new location. Our current location has no lease or mortgage cost.”
A New Real Estate Strategy
Knowing the district’s plans to move forward with school consolidations, new school builds, and the procurement of land and properties, Dr. Bernier’s leadership team presented a new approach at the School Board’s Sept. 17 workshop –– hire a commercial real estate firm. According to Bernier:
A commercial firm can help the district buy and sell properties and seek out new land.
A commercial firm can help district leaders better understand the market value of the administration building and help the district move to another location.
The agency’s payment would solely come from the commission on the sale of the building, only getting paid if the district sells.
Selecting a Commercial Real Estate Firm
The district initiated this process in late September by issuing an ITN, or an Intent to Negotiate, in search of a commercial real estate firm. After conducting interviews in October, the district selected Trinity Commercial Group (TCG), a Florida firm with a Jacksonville office. TCG is experienced in working with other school districts, schools, and government entities in the state.
What’s more, TCG’s compensation would solely come from commissions tied to successful real estate transactions; TCG doesn’t charge for advisory services, site selection, transaction coordination, or strategic consulting.
The district is entering a five-year contract with TCG, aligning with its Five-Year Capital Plan. Next steps include developing a plan for the potential sale of the administrative building.
“There are still some unknowns to the process of selling the administration building. Where would we relocate? Would we need to remodel an existing location? Would it be better for us to lease?” shares Bernier. “At this point, we don't have those answers. But what I can confidently say is that we are open to doing what’s in the best interest of the district, our taxpayers, and ultimately our students.”