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AGENDA RECOMMENDATION |
Consent Calendar 6.H.
City Council Regular Meeting
- Meeting Date:
- 08/26/2024
Agenda Item:
Set October 15, 2024, as the date of public hearing for establishment of Development District No. 50 and Tax Increment District No. 50-1 (101 East Main Street, 121 East Main Street and 118 South 2nd Street).
Recommendation/Action(s):
Adoption of the attached resolution.
Summary:
Hotel Mankato, LLC is proposing to redevelop the property located at 101 East Main Street, 121 East Main Street and 118 South 2nd Street. It is proposed to demolish the two vacant buildings on the site and to construct two adjoining hotels totaling approximately 250,000 square feet with a total of 282 hotel guest rooms, a rooftop restaurant including an outdoor patio, a 168-stall underground parking garage and nine surface parking stalls.
The City Council approved the conditional use permit, certificate of design compliance and alley vacation for the redevelopment on August 12, 2024. The estimated total project cost is $92,710,000 and construction is anticipated to begin in late 2024 or early 2025 and be completed in 2026. It is anticipated there will be a total of 116 full-time equivalent jobs created for both hotels and the rooftop restaurant.
On August 12, 2024, the Economic Development Authority (EDA) reviewed the request for tax increment financing (TIF) for a redevelopment district and adopted a motion directing staff to prepare materials for a public hearing on October 15, 2024, regarding the establishment of Development District No. 50 and Tax Increment Financing District No. 50-1 and approval of a development agreement. Additional background information regarding the request can be found in the agenda item presented to the EDA on August 12, 2024.
The requested action is adoption of the attached resolution setting October 15, 2024, as the date of public hearing for the establishment of Development District No. 50 and TIF District No. 50-1. The draft TIF plan will be distributed to the taxing jurisdictions by September 13, 2024. The Planning Commission will review the development district on September 25, 2024. The TIF plan will generally consist of the information contained in the August 12, 2024, EDA memorandum.
The City Council approved the conditional use permit, certificate of design compliance and alley vacation for the redevelopment on August 12, 2024. The estimated total project cost is $92,710,000 and construction is anticipated to begin in late 2024 or early 2025 and be completed in 2026. It is anticipated there will be a total of 116 full-time equivalent jobs created for both hotels and the rooftop restaurant.
On August 12, 2024, the Economic Development Authority (EDA) reviewed the request for tax increment financing (TIF) for a redevelopment district and adopted a motion directing staff to prepare materials for a public hearing on October 15, 2024, regarding the establishment of Development District No. 50 and Tax Increment Financing District No. 50-1 and approval of a development agreement. Additional background information regarding the request can be found in the agenda item presented to the EDA on August 12, 2024.
The requested action is adoption of the attached resolution setting October 15, 2024, as the date of public hearing for the establishment of Development District No. 50 and TIF District No. 50-1. The draft TIF plan will be distributed to the taxing jurisdictions by September 13, 2024. The Planning Commission will review the development district on September 25, 2024. The TIF plan will generally consist of the information contained in the August 12, 2024, EDA memorandum.