Council denies Pure Development waiver, then approves 3-year abatement for spec build at 2280 McLean Drive

Franklin City Council on May 19 denied a waiver request for Pure Development’s late filing of a required compliance form, then separately approved a three-year tax abatement for build-out of office space in the same company’s spec portion of a building at 2280 McLean Drive.

Staff asked the council to deny a waiver of noncompliance after Pure Development failed to file a required Form 3 22 following a Form 11 assessment notice. Community Development Specialist Dana Monson told the council the company missed two successive Form 3 22 filings tied to phased assessments as the building was completed over two years. The EDC recommended denial of the waiver.

Jesse Sadoway, representing Pure Development, acknowledged the missed filing and said the company had been in the middle of a corporate move when the county mail arrived. Sadoway said Pure Development has “invested over $40,000,000 into Franklin” and accepted responsibility for the paperwork error: “We made a mistake,” he said. He also said the company had paid the first tax installment in full and expects to continue investing in the property.

Councilmembers discussed precedent. Several members recalled prior late-filing waiver requests that were denied and noted timing concerns: because the county had finished calculating taxes for the year, any late credit would affect TIF revenue and next year’s budget. The council voted to deny the waiver of noncompliance for Pure Development.

After denying the waiver, the council considered a separate tax-abatement request for the northern two-thirds of the McLean Drive building (the southern third had been leased by Ryder Logistics). Pure Development requested a five-year abatement for $558,289 of office build-out; staff recommended and the EDC supported a three-year abatement with a 5% EDC fee. The council approved the three-year abatement and the EDC fee by voice vote.

Monson explained the abatement for the spec build did not include job commitments because the project is speculative — the company is improving space to attract tenants. She added that if Pure Development files proper compliance forms and meets requirements in future years, the abatement will proceed according to the approved schedule. Councilmembers asked staff to continue monitoring compliance on the property.

The council’s action separated the procedural waiver (denied) from the merits of the new abatement (approved), reflecting concerns about paperwork, timing and future fiscal reporting.