00:39The CityWalk Apartments project was presented as a solution to revitalize a blighted area characterized by underutilized and vacant buildings. It aims to enhance both traffic and pedestrian safety while addressing the demand for housing, including affordable options. The development is strategically located, adding market-rate and naturally occurring affordable housing units to the area’s inventory. The project’s viability hinges on its TIF plan, which would facilitate the redevelopment of the structurally substandard site.

11:41During the public hearing, council members scrutinized the necessity of the parking provision, given the site’s proximity to public transit. The developer clarified that the parking requirements were driven by lender and investor needs, emphasizing that without meeting these mandates, securing funding would be challenging. This sparked further discussion about the project’s dependence on such requirements and whether flexibility could be introduced.

15:53The meeting also delved into the broader implications of TIF usage. Some council members voiced skepticism about the rationale for granting TIF incentives to every new development project. Concerns were raised regarding the sustainability and fairness of relying heavily on TIF districts, with some expressing the need for stricter policies that tie TIF allocation to tangible community benefits, such as affordable housing. The projected transition of TIF projects valued between $130 million and $121 million out of the program in the next three years was highlighted.

One point of contention was the “but for” test, a componet of TIF justification. Some members questioned if the CityWalk project could realistically proceed without public assistance. There was a call for more rigorous assessments to determine the necessity of TIF support, with apprehensions that such funding might become normalized for developments that could otherwise succeed independently.

The meeting also covered logistical concerns, including ensuring accessibility for pedestrians and cyclists during the construction phase. It was assured that coordination with existing projects would mitigate access issues. Discussions on the duration of TIF agreements revealed that a 25-year term was influenced by the project’s inclusion of affordable housing components, without which a longer term might not be feasible.

12:56The CityWalk project, initially approved in 2022, has evolved in both density and scope. The meeting noted that $500,000 had already been allocated to the project from the DMC Main Street Grant for public realm improvements. Council members sought clarity on the integration of naturally occurring affordable housing units, owned by different entities, within the TIF framework. Concerns about deferred maintenance in these units were acknowledged, with an emphasis on addressing these issues in future agreements.

27:10The council’s engagement with Baker Tilly for financial analyses of the projects was mentioned, with assurances that findings would be shared with members as needed. As discussions concluded, a motion to adopt the resolution for the economic development plan related to the CityWalk Apartments project was made, followed by questions regarding timelines for agreements with Sherman Associates.