Commission recommends Ponderosa Park 2 redevelopment plan modification, CRA outlines TIF pro forma

HASTINGS, Neb. — The Hastings City Planning Commission voted 6-0 on Sept. 16 to recommend approval of a plan modification for Redevelopment Area Number 7 (Ponderosa Park 2) that would enable tax-increment financing (TIF) for a redevelopment project on roughly 1.55 acres southeast of West 20th Street and North Kansas Avenue.

Randy Chick, speaking for the Community Redevelopment Authority, summarized the project’s financial case and statutory requirements. He said earlier estimates to renovate an existing building were about $6 million but current redevelopment estimates are about $4 million. He described projected assessed-value growth from an initial value of about $81,000 to roughly $4.4 million post-completion and said the redevelopment could generate about $86,000 a year in tax increment. That increment, he said, would support a TIF borrowing of about $859,000 repaid over a 15-year period. "We would utilize that increment to pay off that bond or that borrowing over a 15 year period," Chick said.

Chick noted the pro forma shows negative cash-on-cash return without TIF but a positive return after TIF support. The commission voted to recommend approval of the plan modification and related subdivision and redevelopment items; the motion passed 6 to 0. The record indicates the developer will split the property into three lots and begin development on Lot 1; subsequent lots would be considered for medical office or clinic uses in later phases.

Commissioners asked questions about the project plat and public access easements; staff confirmed a public access easement will allow access to Lot 2 so it will not be landlocked. The planning commission’s recommendation advances the TIF-enabled plan modification to the next steps of statutory review and city council consideration.