1:41One notable issue addressed during the meeting was the proposal to amend the lease terms for the 1,500-square-foot grocery space in the Carbon development at Bloomington Central Station. The space, previously occupied by Allendale Market, had seen a brief occupancy, resulting in a need to reevaluate the existing recapture agreement. The city had invested approximately $22.9 million in the development through tax increment financing. Concerns over the financial sustainability of previous tenants prompted a reassessment of the lease structure to attract and retain a new grocery tenant.

20:43The proposed changes centered around transitioning to a base plus bonus rent model. This new structure aims to eliminate the previous business reserve fund and introduce a two-year stabilization period during which the new tenant would only incur operating expenses for common area maintenance and property taxes. Rent payments would begin in the third year. This approach is designed to provide financial feasibility during the startup phase, with a bonus rent clause allowing the Port Authority to recapture revenue if tenant sales exceed projections. The discussion acknowledged past challenges with tenant sustainability and emphasized the need for effective community engagement and marketing strategies to ensure the new tenant’s success.

A potential tenant, identified as a Latino market, is expected to offer a grab-and-go dining option, making the space a destination grocery store. Insights shared during the meeting highlighted the positive impact of recent businesses like Back Story Coffee in the area.

The grocery space discussion also touched on logistical aspects, such as the absence of a drive-up window but the availability of grab-and-go options for quick-service food to facilitate a convenient shopping experience.

38:09In addition to the grocery space lease, the meeting addressed the allocation of local affordable housing aid funds, following feedback gathered in a previous session. The aid funds, amounting to over $500,000 for 2024 and projected to reach $1 million annually, are derived from Metro Sales legislation passed in 2023. These funds are designated for affordable rental housing and ownership projects. The proposed allocation divides the funds evenly between ownership projects and affordable housing development and preservation, mirroring the administration of Community Development Block Grant (CDBG) funds within the city.

Commissioners stressed the importance of maintaining adaptability while ensuring that the allocation aligns with emerging community needs. The proposed allocation structure received prior approval from the Housing and Redevelopment Authority (HRA) and is set for presentation to the Council on March 3rd.

The meeting further included budget discussions, focusing on the Port Authority’s Economic Development Strategic Plan. The plan, in development for several years, aims to prioritize the Port’s work as it expands services throughout the city. Key themes from the planning process emphasized supporting small businesses, adapting to supply chain needs, and fostering innovation and talent attraction. The strategic plan encompasses guiding principles such as inclusive and equitable growth, sustainable development, collaboration with various partners, and a commitment to accountability in tracking progress.

56:28The discussion on economic development included an emphasis on business retention and recruitment, with a focus on engaging large employers and supporting small businesses. Real estate and infrastructure development were also prioritized, with strategic land banking and infrastructure expansion initiatives highlighted.

In workforce development, the commission explored initiatives aligned with the state’s “Star of the North” campaign to enhance Bloomington’s appeal as a destination for workers. Collaboration with educational institutions and the provision of wraparound services for employees were identified as critical to workforce stability.