The Developer is projected to spend $41M on this project and is seeking $1.36M total over five years in Tax Increment Financing (TIF) incentives in addition to the Main Street Parking lot, valued at $1.845M. The reconstruction and expansion of the public parking lot at an estimated cost of $3M is also a financial benefit to the public and will be Village owned once the improvements are complete. The Developer will also improve the streetscape on these blocks of the downtown in conformity with the new streetscape design to be completed soon.
The project is projected to generate $7.3M of increment to the Village after incentives are paid out over the life of the TIF. The project would grow the Equalized Assessed Value (EAV) and benefit all taxing districts once the TIF expires, generating approximately $700K in property taxes by the end of the TIF. The Village’s consultant has vetted the developers proforma and believes the estimated return on costs of approximately 6.5 percent is reasonable given that market return on cost benchmarks are near 7 percent.