In addition, the Economic Incentives Development Committee approved the city to create a $1. 5 million TIF plan to demolish homes and advertise buildings on a block on the northeast edge of downtown for redevelopment.
At its Tuesday, April 23 meeting, the committee approved the extension of the required completion date for the Midtown Market assignment through the end of 2025.
Developer Enclave has already remodeled much of Block 2,300 of South University Drive by building a 30,000-foot linear shopping center, 50 percent larger than the required 20,000 feet.
But the $1. 4 million TIF deal also required two of the three peripheral advertising “zones” to be developed with new buildings by Dec. 31, 2024.
Austin Morris, co-founder and CEO of Enclave Development, said that the structure of a standalone structure on a platform will begin in a few months. Another platform is in the “letter of intent” stage, Morris said, and the structure could begin as early as this fall. .
A third platform is south of the property, just west of a car wash, he said.
Enclave has declined to provide the names of the corporations that are building or making plans to build on the platforms’ sites.
Morris said it’s difficult to locate advertising tenants.
“The retail industry, as you may have noticed, is slower than we would like. We’ve run into this in the last 12 months, but we’re ahead of the spring, summer and fall rental season because it’s older than winter. “Morris said.
Jim Gilmour, the city’s director of research and strategic planning, said the TIF extension will have to get final approval from the city commission.
Kmart, formerly located at 2301 S. University Drive, closed at the end of 2019. The TIF for the redevelopment of this domain included $1. 3 million for the demolition and cleanup of buildings and grounds, as well as another $100,000 for public works infrastructure innovations.
A TIF district captures the wealth tax accrual resulting from a new progression and diverts that revenue to subsidize a portion of the costs of that progression.
Dave Piepkorn, president of EDIC, is a fan of Midtown Market.
“From my point of view, it looks great. I go through this almost every day. Compared to what it was, it’s kind of smart,” Piepkorn said.
To the west of the former Kmart site, Beyond Shelter is also on the verge of completing a gigantic senior housing project. The 39-unit community at 1376 Oak Manor Ave. includes 33 one-bedroom apartments and six two-bedroom apartments for low-income individuals. U. S. income age 55 and older.
A shuttered Burger King restaurant can be found in the neighborhood.
The other proposal that got DTIS approval is a plan to raze dilapidated or dilapidated homes and billboards on an entire block near Sanford Broadway Medical Center.
The block is northeast of the corner of 4th Street and 6th Avenue North. A well-known construction is Sahr’s Sudden Service gas station and repair shop at 601 4th St. N. , which closed in 2015.
DTIS members approved a request from developers John and Steven Lyngstad, whose company JS2L owns all the houses on the block, to erase it and prepare it for redevelopment.
The total value of the buildings and land is about $1. 62 million, Gilmour said.
The buildings constitute assets worth approximately $1 million. Demolishing them and laying the floor for the new structure would cost $500,000, Gilmour said. That would make JS2L eligible for about $1. 5 million in construction tax funds, he said.
Gilmour said JS2L would have one year to demolish the buildings and five years to rebuild the property. He said the city will work with JS2L to create the TIF plan and send it to the city commission for approval.
Some of the homes on the block are used for the formation of the Red River Valley SWAT team, Lyngstad said.
“We don’t have a real plan,” Lyngstad told the committee. We would like to get rid of visual pollution. That would give us a new canvas.
Lyngstand said demolition could begin this summer.