Carnation Mall redevelopment moving forward with TIF approval from Alliance

Alliance City Council recently passed multiple ordinances to help the Carnation City Mall redevelopment project move forward, including a tax increment financing (TIF) program, The Alliance Review reports. Mayor Alan Andreani said, “[m]any people think TIFs are pure abatements, (but) what happens is that the entities still pay their taxes but they go to a service fund,” which will be set up by the county, according to the article. Council also approved an agreement with Meijer for that company’s plan to construct a nearly “160,000-square-foot store on 25 acres of the former mall site.” City officials “hope the redevelopment project will bring new activity to the mall property.” For more, read the full article

Economic Development, Financial Incentives, State Updates

Downtown Newark Arcade project awarded $1M from the state

The Ohio Facilities Construction Commission recently approved $1 million for the redevelopment of the historic Arcade in downtown Newark as part of the state’s capital budget, the Newark Advocate reports. Newark Development Partners executive director Fred Ernst said that money will be used “toward the atrium area where we’ll have a winter time farmers’ market and other things,” according to the article. The 44,000-square-foot Arcade, which opened in 1909, “will be rehabilitated for restaurant space, art studios, retail, commercial, offices and 19 market-rate apartments.” The project, which was awarded $1.5 million in tax credits earlier this year, has received “about $6.5 million in federal and state tax credits” overall. For more, read the full article

Economic Development, Financial Incentives, State Updates

Grant and TIF package approved for Worthington’s High North project

Worthington City Council has approved “an economic-development grant and tax-increment-financing package to facilitate” the High North project proposal to “rebrand and redevelop the Shops at Worthington Place mall” into a mixed-use commercial space, The Columbus Dispatch reports. Council “earmarked a $2.5 million grant to help developer Direct Retail Partners with construction,” to be paid in “five installments of $500,000” toward the six-story, 75,000-square-foot class-A office building, according to the article. Economic development director David McCorkle said the grant is a payroll grant based on the expectation that the office building “would generate at least $30 million in annual payroll,” which would generate $750,000 per year in income-tax revenue for the city. Council approved a tax increment financing (TIF) package to divert a portion of the developer’s property taxes each year “to help pay for the [public parking] garage, which is expected to cost about $12.1 million.” For more, read the full article

 

Economic Development, Financial Incentives, Project Finance, State Updates

Columbus reforming tax incentive program to require more affordable housing

The City of Columbus is working on changes to a tax relief program to incentivize developers “to diversify housing stock and build in neighborhoods that need a boost,” WOSU.org reports. Jeremy Druhot, of the city’s Department of Development Housing Division, said the program “now divides the city into three categories — ready for market, ready for revitalization and ready for opportunity,” according to the article. Areas in the ‘market ready’ category are “more or less fully developed” and do not need tax abatements for projects to be profitable, so those areas “have the most stringent affordability requirements in exchange for the tax break on improvements to the property.” Areas that need development the most “have fewer requirements for the developer.” For more, read the full article.

Economic Development, Financial Incentives, State Updates

Nearly $85M West Carrollton river district project could be “catalytic”

West Carrollton City Council recently “unanimously approved a development services agreement with Woodard Development and Dillin LLC” for a “potentially catalytic” $84.8 million project to create a river district on city-owned land adjacent to the Great Miami River, the Dayton Business Journal reports. Per the agreement, the developers “will formulate a master plan for the new mixed-use development” that will include “a whitewater park, housing, medical and office facilities, a hotel and retail/restaurants,” according to the article. An existing Tax Increment Financing (TIF) district will finance the city’s development cost. The project is expected to generate $2.5 million in new real estate taxes, $319,000 in payroll taxes, $478,000 in sales taxes and $160,000 from a new community authority annually. For more, read the full article (subscription may be required). 

Economic Development, Financial Incentives, State Updates

Developer seeks state tax credit for $107M downtown Cincinnati project

NewcrestImage LLC, the developer that wants to transform the three-building Fourth & Walnut Centre complex in downtown Cincinnati into a dual-branded hotel, is seeking a second $5 million Ohio Historic Preservation Tax Credit for the $107 million project, the Cincinnati Business Courier reports. NewcrestImage was awarded $5 million in tax credits for the project in December 2018, according to the article. Cincinnati City Council “unanimously approved a property tax abatement” for the project in January 2019. Fourth & Walnut includes a 19-story tower “designed by famed architect Daniel Burnham’s Burnham & Associates” that dates to 1903, “a four-story building built in 1937 and a six-story building built in 1961.” The state historic tax credit “would allow NewcrestImage to move forward with plans.” For more, read the full article

Economic Development, Financial Incentives, Project Finance, State Updates

Public/private partnerships fueling economic development surge in Painesville

Painesville is experiencing a “surge in economic development” largely due to public/private partnerships, according to City Manager Doug Lewis, Cleveland Magazine reports. Lewis said “the city is laying the groundwork to attract developers” by “creating concept plans for available properties, passing more business-friendly legislation, making infrastructure improvements and establishing an economic development fund,” according to the article. The city has also used tax increment financing (TIFs) in strategic districts. “Working together benefits everyone. . . .[i]n the 13 years I have been with the city, I have not seen as much interest in development as we have seen recently,” Lewis said. One of the biggest projects is the redevelopment of a former Chase Bank property into dormitories for Lake Erie College, “funded through a $14.5 million investment from the developer, along with several outside grants.” For more, read the full article.

Economic Development, Financial Incentives, State Updates

Downtown Cincinnati apartment project gets initial approval for tax incentive

The Fourth and Pike Apartments project across from Lytle Park “received a vital show of support at City Hall” as the budget and finance committee voted in favor of a 15-year, 52% tax abatement, WCPO.com reports. The city “projects the development will cost more than $19 million” and “would bring more people Downtown who would also contribute to the income tax base,” according to the article. Developer Eagle Realty Group is “remodeling the building into 30 refurbished apartments and making several other improvements to the 50-year-old property.” David Nevers, vice president of public relations for Eagle’s parent company, Western and Southern Financial Group, said the tax revenue the project will bring to the city “is going to grow and it’s going to grow significantly.” For more, read the full article

Economic Development, Financial Incentives, State Updates

ARPA Final Rule - The "B-sides collection": Affordable housing development

With the U.S. Treasury’s January 2022 release of its Final Rule in the use of American Rescue Plan Act (ARPA) funds, we began publishing this series of articles reviewing the lesser publicized aspects of that guidance (hence, the “B-sides” moniker). In this edition, we address the Treasury’s presumed eligible use of federal stimulus funding in the development of affordable housing, and the limited scope under which private, for-profit entities may receive transfers of ARPA funds to carry out such ends.  

For more, read the full article.

Economic Development, Federal Updates, Financial Incentives

ARPA cash: Demolition and capital expenses related to vacant and abandoned buildings

Much ballyhoo has accompanied the U.S. Treasury’s publication in January 2022 of its Final Rule in the use of American Rescue Plan Act (ARPA) funds. Local governments across the country are scrambling to deploy their stimulus funds in response to the pandemic, pay essential workers, provide government services, and invest in water, sewer and broadband infrastructure. Buried in the Final Rule and its 403-page clarifying guidance is an express authorization to use funds to address vacant and abandoned buildings, including commercial and industrial structures.  

For more, read the full article

Economic Development, Federal Updates, Financial Incentives
  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10