Development Incentives
Given the long period of vacancy for this building, the City agreed to a two-tiered incentive for the redevelopment and reuse of this property. An Urban Redevelopment Tax Increment Financing (TIF) agreement was approved by City Council on October 5, 2015. The TIF captures payments equal to 75% of the taxes that would otherwise be owed on the value of the improvements to the property for a period of ten years. The TIF proceeds can be used to assist with the cost of installing fire suppression equipment and making the building accessible as required under the Americans with Disabilities Act (ADA). Taxes will be paid as usual on the base value of the property established prior to the proposed improvements and on 25% of the value of the improvements.
The City also approved an economic development grant through the Venture Grant program to encourage the anticipated $6,000,000 in payroll associated with the jobs that will locate in the renovated facility. The grant is payable in three annual installments of $78,800 provided the payroll commitments are met.
January 4, 2016 application and materials