Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Economic Development Tif topic
No spam. Unsubscribe anytime.
Johnston council approves development agreement and 5-year TIF rebate for new 20,000 sq. ft. industrial/office building
Summary
Council approved resolution 25-47 for a development agreement with Homes by Advantage LLC to construct a roughly 20,000 sq. ft., 6–8-bay building at 5950 NW Beaver Drive with a 5-year, 50% TIF rebate not to exceed $200,000; developer agreed to higher-quality materials and finished office buildouts in bays and a minimum of 16 jobs.
The Johnston City Council on Feb. 18 approved resolution 25-47, authorizing a development agreement with Homes by Advantage LLC for a new project at 5950 Northwest Beaver Drive in the East Central Urban Renewal Area.
Staff said the agreement covers a roughly 20,000-square-foot building with six to eight individual bays that will be deeded as condo units and offered to separate buyers or tenants. The developer, identified in staff remarks as Mark Bradley (owner, Homes by Advantage LLC), agreed to modify the building architecture to include greater amounts of higher-quality materials than the minimum code requires and to finish a portion of each bay as office space rather than purely warehouse.
The development agreement follows the city’s typical five-year, 50% tax-increment financing (TIF) rebate schedule and caps the total rebate at $200,000. Staff estimated a total construction investment of approximately $2.4 million and said building tenants and buyers must create and retain a minimum of 16 jobs during the five-year certification period.
A staff presenter said the developer has an established track record of completing projects in Johnston and that the agreement was prepared in consultation with the city attorney. At the council’s request, staff explained that the TIF rebate payments would go to the initial developer (Homes by Advantage LLC) but that the agreement is structured so that property tax payment responsibility falls to the individual condo owners; if a condo owner failed to pay taxes, the incentive would not flow to the original developer.
No members of the public addressed the council on the item during the public hearing. The motion to approve resolution 25-47 carried; council audio shows affirmative votes recorded and the mayor declared the motion passed.
The development agreement requires the city to monitor compliance with the jobs commitment and TIF rebate conditions during the five-year certification period.
