Leavenworth commission backs Star Bond district application to revive mall site

Leavenworth City Commission members voted to support a developer's application to create a Star Bond District centered on the city's former mall, a step that authorizes staff to move forward with an application to the Kansas Department of Commerce but does not legally commit the city to incentives.

The commission passed Resolution B 24 11, which the mover described as "the support of Bloodmore Destination Development L S L LLC's Star Bond District application to the Kansas Department of Commerce." The motion was moved by Commissioner Seth and seconded; the presiding official announced the motion passed on the voice vote recorded by the clerk.

Why it matters: the Star Bond program is used in Kansas to support tourism-anchored projects by allowing state-approved districts to capture incremental sales tax to finance development. City staff emphasized that tonight's vote begins a process of public meetings and additional commission actions and "does not legally bind the city" or finalize any incentives.

Developer Rick Warner, who led the presentation, said the mall site is under contract and the team is negotiating with national retailers, restaurants and attractions. "We've got the mall's under contract," Warner said, adding the group had retailers and family-entertainment operators "interested" and that a formal application "will be submitted to the state maybe as early before Thanksgiving" to meet the project's December 31 eligibility deadline.

Warner described multiple potential uses across nearby parcels: larger retail boxes on the original mall parcel, smaller retail along the 12-acre park site on 4th Street and family-entertainment attractions on what he called the football-field site. He also outlined constraints on what Star Bond funds can pay for, saying the program can cover building shells but not internal exhibits in certain museums.

City staff member Penny (who introduced the item) called the action an opening step: the resolution was updated to reference an Exhibit A listing potential properties and maps, and she cautioned the vote itself "does not legally bind the city to the creation of the district or finalize any incentives processes. There will be upcoming public meetings and city commission actions."

Commissioners and community members present expressed broad enthusiasm for reinvigorating the plaza and recapturing local entertainment and retail dollars. The presiding official said, "This is a really big deal for our community," noting previous local shopping anchors and the plaza's role in local life.

Next steps: staff will review the draft application with city lawyers and, if approved by the city, submit it to the state to meet the December 31 application deadline. Warner said his team's financing target is to have approvals and financing in place by June 30 and to begin construction in the third quarter, with openings potentially in 2027. The commission's resolution starts the required public-review process; any final incentive package or binding agreement will require further commission action.

Vote: The commission recorded a voice vote following the motion; the presiding official announced the motion passed. The transcript does not include a roll-call listing of individual commissioners' names for each vote in the record provided to this report.

The special meeting adjourned after the vote.