Council approves parking-lease deal with Foundry on Third; vote 7–3

The Wausau Common Council on May 20 approved a parking stall lease agreement with Foundry on Third Phase 1 LLC (file 190921) for the former Sears ramp by a 7–3 vote.

Council debate centered on whether the city should offer a 20% discounted rate in a long-term agreement and whether the city had already committed substantial TIF subsidies to the Foundry project. Alder Neil, who supported the agreement, said the Foundry had built a skyway to the ramp and that a negotiated rate would encourage partnership and downtown residential development. Alder Killian and others said the city had committed roughly $11 million in TIF subsidies to the project and questioned whether additional incentives were appropriate.

City staff explained the agreement would be structured for the lesser of 20 years or the life of the ramp; Director Grohl said discounts are commonly provided for customers who commit to long-term, annual payments. Council members also noted the Foundry planned to use a combination of 33 underground stalls and additional downtown stalls to meet zoning requirements; staff said Foundry offered to pay for 100 stalls for 20 years (whether they used them all or not) though their immediate zoning need was calculated at about 30 stalls.

Those in favor said the ramp currently shows low utilization and that a long-term lease with a downtown developer would generate reliable revenue and encourage downtown residential growth. Those opposed argued the city should not provide additional discounts while substantial TIF support was already in place and raised fairness concerns for other downtown businesses.

The motion to approve the lease was moved by Alder Neil and seconded by Alder Larson; the measure passed 7–3.