Fairview approves $62,130 Crescent Studios urban renewal grant; agency votes to suspend program for guideline rewrite

Fairview’s Urban Renewal Agency approved Aug. 6 a development grant to Crescent Studios and later the Council moved to pause the city’s urban renewal development grant program to rewrite guidelines that staff and board members said lacked clear expectations for landlord contributions.

What happened: the agency adopted the resolution approving a grant to Crescent Studios for tenant improvements to a 1,530-square-foot vacant space at 1610 Market, with a final approved grant amount of $62,130. The agency later passed a motion to suspend the development grant program and schedule a work session to bring back proposed guideline changes.

Why it matters: staff described the grant as supporting a local business seeking to expand into a vacant downtown storefront, fund studio-specific plumbing, electrical and HVAC work, and create space for an adjoining makeup artist and eyelash technician to sublease — uses the presentation said would help activate the streetscape. Several board members supported the business expansion but expressed frustration that program rules do not require landlord contributions for tenant improvements such as HVAC or restrooms. The suspension motion is intended to allow staff and council to add clearer parameters on what taxpayer funds can cover.

Project and budget details presented: staff said the grant request had been reduced from a prior version. Presentation slides and staff remarks reported that total project costs were trimmed from over $100,000 to just under $80,000; the tenant-improvement portion requested aligns with the program’s usual allowance (tenant-improvement construction costs typically fit within a $65,000 figure cited in program guidance). The updated application increased the applicant’s cash contribution from $10,000 to $15,000 (about 19% of the revised project cost), and the property owner agreed to pay $2,628 for the electrical subpanel installation. The applicant’s revised grant request was described in the presentation as $62,258; the motion and vote recorded the approved amount as $62,130.

Board debate and concerns: several councilors said they supported the business expansion but criticized the lack of program guidance that leaves large tenant improvement costs to the urban renewal budget. Councilor Dennerlein said tenant improvements such as air conditioning and bathrooms were typically owner responsibilities and that taxpayers should not be subsidizing those costs. Councilor Todd and others said they would support the Crescent Studios request under existing program rules but insisted on revising program parameters before future awards.

Formal actions taken: - The Urban Renewal Agency approved the Crescent Studios grant and authorized the grant agreement and promissory note procedures; the approved grant amount recorded at the meeting was $62,130. - Separately, the agency/council approved a motion to suspend the urban renewal development grant program and schedule a work session for staff to return with revised guidelines and options; that suspension motion passed by voice vote.

Next steps: staff will prepare the grant agreement and promissory note so the applicant can begin reimbursable work once milestones are met. Staff will also draft guideline options and return to the board in a scheduled work session to propose clearer landlord and applicant contribution expectations for future awards.

Quotes in this article come from staff presentations and council remarks at the Aug. 6, 2025 Urban Renewal Agency/City Council meeting.