Development

Why TIF financing just doesn’t add up

l3wis May 5, 2015 7Comments

Today in the Argus Leader, they did a story about theÂ Washington Square developers applying for a $4.6 million dollar TIF. They contend they deserve the TIF based on the fact that they will provide FREE public parking of 189 spaces (at night and weekends ONLY).

This is where the TIF funding does not add up. As of right now they pay about $7K a year in property taxes, after the project is completed they assume the property tax bill will be $500K per year. What they don’t tell you is when you subtract the TIF rebate value from that tax bill, the government entities will NOT be receiving these taxes until 9 years after the project is completed (around 2025-26).

We can talk tax benefits all we want, but when we don’t provide TIF’s and private investors figure out how to build these projects with their own money (remember last year we had record building permits with NO TIF’s issued), the community benefits from the property taxes immediately after the project is completed, not 8-9 years later.

Developers Development Planning Commission Sioux Falls

All Saints Neighborhood crying about nothing

l3wis April 1, 2015 10Comments

Touchmark has been trying unsuccessfully for years to expand on the corner of 18th and Phillips. The neighbors claim that it would ‘ruin the neighborhood’ and historical aspects.

First off, without the most obvious argument, Touchmark owns the land. Yeah, Yeah, I heard the same with the Walmart issue, except, Walmart DID not own the land, they only had an agreement to purchase, not even sure if they have bought it to this day.

Also, it seems besides a few nit-picking neighbors, the historical preservation board seems to be the only ones objecting, and they truly are powerless and advisory in nature. The Planning Commission and City Council CAN ignore their advice, and should.

Other then that, I actually think a building on that corner would be an improvement. I drive past that intersection a lot, and I have yet to see anyone utilizing the land for recreation that live at Touchmark. In fact, IÂ have never even seen a groundskeeper in the grove of trees.

Touchmark owns the property, and the expansion would improve the lives of their residents. Stop crying about a couple of trees and let them expand.

Developers Development Sioux Falls

Interesting TIF discussion

l3wis March 18, 2015 0Comments

At the Land Use Committee meeting yesterday (FF to Item C) there was a lot dancing going on, but it wasn’t like Irish Riverdance, more like something from Cinco De Mayo.

While directors from the community development office were doing one dance, councilors Jamison and Erickson were trying to figure out the beat while Anderson went into full defense mode of the city blaming developers for the reason TIFs have NOT been awarded in 27 months.

While confusing at times, it is clear that the power structure of developers is shifting. I guess what I am saying is that the former developers who used to be able to get about anything from city hall are finding out they are being turned away.

Why? Not sure, but remember a salesman only makes decisions based on who will pad their wallet the most.

Developers Development Sioux Falls

New Development, 85th & I-29

l3wis March 7, 2015 10Comments

There seems to be a lot of talk about what is going to be done at this intersection.

A South DaCola foot soldier tells me that 2016 is the year that the SD DOT plans for the overpassÂ and this year they are planningÂ to extend lanes that stop at 57th down to the Tea exit and they also will be building temporary items for when the bridge/overpass construction starts.

So the bigger question is, if the State and Feds are working on this project, why isn’t the city of Sioux Falls getting more involved?

Developers Development Sioux Falls

TIF 19 gets approved by Planning Commission for ‘workforce’ housing

l3wis March 5, 2015 2Comments

You will have to watch the meeting yourself, but I got a goodÂ chuckle out of how they are claiming that ‘workforce’ housing is similar to affordable or low income housing. It’s NOT. It pretty much means they don’t have to charge low rents like affordable housing. They use a tax credit that makes them eligible to charge rents comparable to 60% of the median income. Make no mistake, this apartment building is just that, an apartment building, nothing special about it, and certainly not deserving of a TIF.

I also take issue with developers that live out of state getting property tax rebates. At least when Dunham or Lloyd get a TIF, they put the money back into our community.

I hope the City Council grows a sack and denies this TIF, it’s not a blighted area and it’s not affordable housing.

Why TIF financing just doesn’t add up

All Saints Neighborhood crying about nothing

Interesting TIF discussion

New Development, 85th & I-29

TIF 19 gets approved by Planning Commission for ‘workforce’ housing

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Trust

I have been telling council this stuff for over a decade

First Ave Doc, many memories