Bloomington council approves purchase, demolition and donation agreements for downtown Front and Center and Commerce Bank sites

The Bloomington City Council on March 17 approved agreements to acquire multiple long-vacant downtown parcels — including the Front and Center and Elks buildings — for $3,929,189.14 and to accept the donated Commerce Bank building, with city officials saying the moves are intended to clear blighted sites and enable future redevelopment.

City Manager Jurgens said the administration had tried for years to attract redevelopment and “we agree with a lot of what you're saying, and we have tried for years to get this property redeveloped.” He told the council the contracts aim to get the properties under the city’s control so they can be cleared and marketed for higher uses.

Deputy City Manager Billy Tyus said parking is a short-term outcome, not the long-term plan. “We know that parking as the manager said is not the highest and best use,” Tyus said, adding the city expects the surface lots to be temporary and that developers seeking housing interest have requested additional space on the parcels.

The agreements authorized the city to take title to properties owned or controlled by Front and Center Property LLC, with that entity responsible for demolition, and to accept donation of the Commerce Bank building from Consolidated Properties LLC. The Commerce Bank building is listed as a contributing structure on the National Register of Historic Places and has been vacant for roughly 12 years, the administration said.

Public commenters urged the council not to permit long-term surface parking on the sites and to prioritize traditional downtown building forms and housing. Noah Tang told the council, “Our downtown needs to remain a destination,” and warned that asphalt lots encourage “placelessness.” Zach Carlson said he was concerned about current plans to convert entire building footprints to parking: “temporary has a has a tendency to turn to permanent around here.” Quinlan Tisdale said, “If it becomes a parking lot, it needs to become a building later.”

Council member Crumpler, expressing concern about contractor and developer timelines, said she hoped the city’s agreements with prospective development partners “are written to ensure timely completion.” Councilwoman Munger asked whether the city intends to monetize the lots; the administration responded, “It's our intent to do that,” and said gated access and event pricing are potential revenue sources for the lots while they remain parking.

Council Member Ward moved approval of the purchase and donation agreements; Council Member Crumpler seconded. The motion passed with no nays announced.

The administration said the purchase contract includes a deadline targeted for completion in 2025 and that a TIF (tax increment financing) district will be available to assist future redevelopment. Staff also said the prospective housing developer the city is discussing would likely require some of the newly cleared land to deliver sufficient housing units using tax-credit financing, and that parts of the site could be converted from parking to housing in a later phase.

The council’s action does not itself approve any redevelopment design, funding package beyond the purchase, or demolition schedule. Council members and staff repeatedly emphasized that surface parking is an interim use and that staff will continue marketing the Commerce Bank and adjacent parcels for housing and other downtown uses.

The council and staff said they will return with implementing details, timing for demolition, and any amendments that would convert lots to other uses as developers’ plans and financing progress.