|
| |
|
| |
|
|
|
August 10, 2002Commissioners OK renaissance zoneBy BILL O'BRIENRecord-Eagle staff writer TRAVERSE CITY - After some early apprehension city commissioners have agreed to endorse the proposed expansion of the tax-free "renaissance zone" area at the Grand Traverse Commons campus. At a special meeting Thursday the commission voted 5-0 for a request from The Minervini Group asking the Michigan Economic Development Corp. to add almost 15 acres to the renaissance zone area at the Commons. The zone was established by the state three years ago, but included only the "footprint" of massive Building 50. If approved by the state, the expanded zone would include 15 other buildings at the Commons besides the 300,000-square-foot Building 50. Most of the affected land and the additional buildings are located in Garfield Township, which has already endorsed the proposal. The Grand Traverse county board is also supporting the expansion. Expanding the tax-free zone, which waives nearly all state and local taxes for residents or businesses which locate there, got a cool reception from city commissioners when it was originally discussed last month. Officials said they were concerned about the loss of poten tial tax revenue at the same time the city will provide more city services to the Commons campus. After hearing the city's concerns, developers decided to scale back the proposal to include only a small, triangle-shaped piece of city property within the expansion. The parcel includes half of Building 58, which is currently used by Munson Medical Center as a day-care center. The building, known as Building 66, is the old fire house structure. Despite the scaled-back request, both the city treasurer and assessor continued to oppose the renaissance zone expansion. "It should be considered the incentive of last resort, as any location with the renaissance zone designation is going to have a considerable marketing advantage over current and new business areas," assessor Deb Chavez said in a memo to the commission. Treasurer Bill Twietmeyer also warned against the proposal even if most of the land and buildings are located in Garfield Township. The designation could make the Commons land remaining in the city but not within the renaissance zone less attractive to potential developers. "I share those concerns," Commissioner Anne Melichar said. "I don't want us moving ahead with the cottages at the expense of Building 50." But representatives of The Minervini Group assured commissioners that Building 50, which is within the city limits, will continue to be at the center of the company's marketing efforts for redeveloping the Commons campus. "If you look at our (promotional material) the only picture that you see is Building 50," said James Reardon, one of the partners in The Minervini Group. "It is the centerpiece of this redevelopment, there's no question." Reardon said developers are also asking the state to expand the time frame for the original renaissance zone surrounding Building 50 by three years so both areas would be under the same 15-year, tax-free window which would eliminate the economic incentive for being in the expanded zone. Commissioner Linda Smyka said she's "convinced" that developer Ray Minervini is committed to restoring Building 50 and felt the city should endorse the request. "If we can give some help where we can, I think that's terrific," Smyka said. Developers said it could be several months before the state decides on the request. It's a two-step process in which the company has to submit a "notice of intent" to the state by Sept. 30 outlining the proposed expansion. The agency will decide the issue after that. |
|
