CIM Group Inc. purchased 16.3 acres in The Gulch area of Atlanta for $115 million from Norfolk Southern Corp., the Atlanta Business Chronicle reported, citing local real estate information firm Databank Inc.

The land sold encompasses parking lots and railroads between the Mercedes-Benz Stadium and State Farm Arena.

According to the report, CIM Group received approval from the Atlanta City Council to transform the Gulch into a mini-city of office buildings, residential units, hotel rooms, shops and restaurants. To aid the Los Angeles developer, the council approved up to $1.9 billion in public financing for the redevelopment effort.

Norfolk Southern is reportedly using the land sale proceeds to invest in its new Midtown headquarters, the publication added.