City staff propose major Adams CRA budget increase to support Malachite housing project

Ogden Redevelopment Agency staff on Feb. 11 asked the city council and RDA board to approve a substantial amendment to the Adams CRA budget and described a proposed participation agreement to subsidize a market‑rate apartment project called Malachite.

The staff presentation said the Adams CRA project‑area investment pipeline has grown since the CRA was adopted in 2018, and that the estimated total investment in the area has risen from about $95 million to roughly $133 million. To support that pipeline the RDA proposed raising the CRA’s budget cap from $10,800,000 to $30,500,000 while keeping the project term unchanged through 2045. Staff also said they are seeking agreement among other taxing entities to continue full participation through 2028 and then reduce rates to 75% for Weber County and the Ogden School District and to 90% for the city after 2028.

Why it matters: the revised cap would make more tax increment financing (TIF) dollars available to support building renovation, new housing and centralized parking in the Adams area. Staff told the council those funds are intended for projects that “would not happen without the use of tax increment,” and that higher property valuations from new projects are expected to increase the absolute dollar amounts available despite lower long‑term participation percentages.

Malachite housing proposal: Staff described a separate but related incentive request from Alpha Development for a 101‑unit market‑rate apartment project now named Malachite (previously referred to as Adams Avenue Apartments). The project would site behind and adjacent to a renovated commercial building on 20th/Adams, include about 65 structured parking stalls, an outdoor plaza open to the public during daytime hours, and walkways connecting to 20th Street and Adams Avenue. Staff said the developer is estimating a roughly $35,000,000 project cost and that the RDA’s TIF support would cover items the developer says are needed to make the project financially feasible—structured parking, the plaza and higher‑quality exterior finishes. Staff presented a TIF projection of about $4,700,000 tied to the residential project and said the owner of the adjacent commercial building (identified in the presentation as Fisher) agreed to contribute TIF generated by that building to the residential developer.

Taxing‑entity consultations: Staff said they have begun outreach to the Ogden School District and Weber County and plan presentations to those bodies. Sarah Mies (economic development) told the board she had a preliminary discussion with the school district and that the district had asked whether it could reduce its participation earlier in order to receive some pass‑through revenues sooner. Staff also reported the county’s economic development finance committee was “pretty receptive” to the proposed terms and that the matter would next be discussed in a county commission work session.

Budget‑dependency and next steps: Staff said the Malachite participation agreement is contingent on the budget amendment: if the CRA budget amendment does not move forward, the city would not pursue the incentive agreement. Staff did not request a formal vote during the work session; they sought direction and said the amendment will be taken forward to taxing entities and to upcoming council/RDA agendas for formal action.

Context and background: The Adams CRA (adopted 2018) includes a mix of historic buildings and redevelopment parcels intended to connect downtown to the East Central neighborhood. Staff told the board the CRA has supported projects including the Monarch, Peoria Lofts, Stonehill Homes and the Dunkey Arts Plaza, and that some high‑priority buildings (for example the Forest Service building and the former First Security Bank tower) were added to the RDA’s list of priorities after 2018.

Questions from councilors focused on how the higher budget cap would be paid for, whether projected property valuations support the change, what the school district and county would receive during the CRA term, and how consolidated parking and structured parking could be encouraged. Staff said those details were reflected in their updated budget analysis and in the proposed terms they are sharing with taxing jurisdictions.