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Council approves Brownfield plan, TIF and reimbursement agreement for El Car Wash redevelopment
Summary
After a public hearing the council approved Brownfield and TIF plans and a reimbursement agreement for a three-parcel redevelopment on Northwestern Highway and 12 Mile; the developer said site mobilization would begin in weeks and an opening is expected within 9–12 months.
The Southfield City Council approved on Feb. 20 a Brownfield redevelopment plan, tax increment financing plan and a development reimbursement agreement for an El Car Wash project that will redevelop three parcels at Northwestern Highway and 12 Mile Road.
Luke Bonner of Bonner Advisory Group, the Brownfield consultant for the applicant, told the council the site is about 1.5 acres and involves removal and demolition of six buildings. Bonner said contamination at the site is attributable to a former gas station and dry cleaner. He described eligible Brownfield activities that will be requested for reimbursement: contamination cleanup and management, demolition, site preparation and site infrastructure improvements. The redevelopment budget presented to the Brownfield Authority was about $4.5 million in total eligible activity with estimated annual tax capture of roughly $56,000; local administration and a Brownfield revolving loan contribution were reflected in the plan.
Developer representative Gabe Schuman and consultant team members attended the meeting. Schuman said the team had received a soil erosion permit and planned mobilization in the coming weeks, estimating an opening during the next 9–12 months depending on schedule pressures. Luke Bonner said the project will recycle a high share of its water and include landscaping and site beautification.
A public hearing produced no substantive objections; one member of the public asked about the Brownfield reimbursement mechanics and the city’s representative explained the developer makes the up-front investment and eligible costs are reimbursed from captured incremental tax revenue over a 30-year period. The Brownfield Authority and the city retain administrative fees and a share for the local revolving fund to support future redevelopment projects.
Councilman Hicks moved approval, Councilman Cruz supported the motion, and the council approved the Brownfield plan and related agreements by voice vote.
