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EDIC reviews draft commercial-redevelopment pilot to encourage infill and mixed-use

5714791 · August 27, 2025
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Summary

Committee discussed a draft pilot policy that would let certain commercially obsolete buildings apply for up to 10-year PILOT incentives to support redevelopment compatible with the city’s growth plan; no formal vote was taken.

The Economic Development and Investment Committee reviewed a draft commercial-redevelopment pilot policy aimed at encouraging redevelopment of underused or obsolete commercial properties into higher-value, higher-density or mixed-use buildings. The committee did not take final action and asked staff to bring the draft back for more detailed review.

Jim Gilmore introduced the draft policy, which would create a path for commercial property owners to apply for a pilot of up to 10 years when properties meet eligibility criteria such as sustained vacancy or demonstrable economic obsolescence. Gilmore said the policy is intended to help implement the city’s growth plan and core-neighborhood objectives by directing incentives toward sites where higher density, infill and mixed uses are desired.

Mark Williams of the City of Fargo planning department said the draft lines up with the city’s growth plan, core neighborhood plans and the broader land-development-code rewrite now underway. Williams said the planning office and CZB, the consultant rewriting the land-development code and incentive policy, are already evaluating similar scenarios and could incorporate findings into the policy. "Our current land-development code right now, we're we're struggling with some of the zoning categories are available to us based on the current trends of development," Williams said, explaining why a new code and clearer, by-right zoning could help streamline approvals.

Committee members emphasized the need to avoid creating an incentive that is either too easy to qualify for or so restrictive that it becomes unusable. Workshop topics flagged for further discussion included how to define “high vacancy” and “economic obsolescence,” when PILOTs should be made available versus when normal market forces should operate, and how the incentive would align with the forthcoming land-development-code rewrite.

No motion or formal vote was recorded. Staff said they will refine the draft and return it to the committee, aiming to coordinate the policy with the land-development-code rewrite that staff said is expected to be completed in mid next year.