Thursday, September 5, 2013

Palladium-Item Reports Developer Backs Away from EDIT Funds in Richmond

From the Richmond Palladium-Item:

Investors in the retail development Crossroad Commons told the Richmond Common Council on Tuesday night they could not live with the terms of the ordinance that asked the city to provide $375,000 in Economic Development Income Tax Funds (EDIT) to the investors’ company. Council then dismissed the ordinance.

Eastside Commercial Park LLC had asked the city for $375,000 to build a road and lighting from National Road East south 1,100 feet into the planned shopping center near Interstate 70. Richmond Mayor Sally Hutton already pledged the investors of the 60-acre, 40-unit development $500,000 in EDIT funds.

Since the ordinance was introduced, council members have revised it and added clawback terms. Council members expressed disagreement about whether EDIT dollars should be used to lure retail instead of manufacturing jobs.

Developers had said when the project is complete, it will include a $60 million investment and create 600 jobs.

“We appreciate everything that you’ve put into this,” said investor Danny Stamper, speaking on behalf of Eastside Commercial Park LLC. “The ordinance, as written, is not acceptable to any of us. We surely appreciate your input. We didn’t want this to become a mud-slinging contest.”

Stamper said the investment group focused on creating a retail development after a Buxton study, commissioned and paid for by local economic development officials, recommended it as an avenue to pursue to increase economic development in the community.

See the full article here: