Consultants present Sheridan urban renewal plan to Lakewood LRA; estimated TIF present value about $19 million

Consultants from Economic & Planning Systems presented findings May 18 on a proposed Sheridan corridor urban renewal area (URA), including a condition (blight) study and a 25‑year tax‑increment financing (TIF) forecast.

Andrew Knutson, managing principal, and Sarah Dunmore, vice president, told the Lakewood Reinvestment Authority the team found eight of the 11 statutory blight factors in the proposed 23‑acre plan area. "Out of those 11, we found eight within the area," Dunmore said, citing examples such as excessive litter, graffiti, deteriorated site improvements and vacancy.

The consultants estimated development capacity and TIF revenue to support infrastructure investment. They forecast roughly 1,084 residential units and about 6,400–8,000 square feet of new commercial or retail space in the plan area and projected nominal property‑tax increment of about $44.7 million over 25 years. Discounting that forecast at 6% produced a present‑value estimate of about $19 million available to finance eligible public improvements, the consultants said. "We estimate the TIF to be generated in this area to be just under $20 million in a combination of property and sales," they said.

Consultants explained the legal and procedural steps: the LRA would approve a proposed area to start negotiations, staff would notify taxing districts and start a 120‑day negotiation clock to determine each taxing entity's share of increment, and those taxing bodies and Lakewood City Council would need to approve the final plan. Consultants warned that establishing a URA starts the 25‑year TIF clock, so staff favor focusing on "project‑ready" subareas to avoid running time with no projects to fund.

Commissioners asked about boundary size and potential phasing. Commissioner Lowe and others suggested the southern Sheridan corridor (areas south of Alameda) might merit study in a future phase; consultants and staff said a phased approach is possible and that the existing study could be leveraged to evaluate adjacent areas if market interest and project readiness support expansion.

Board members also asked about interjurisdictional coordination: several parcels are owned by RTD and properties abut CDOT and the City of Denver. Staff and consultants said coordination with RTD, CDOT and Denver would be required for cross‑boundary infrastructure projects and that community stakeholders have already expressed interest in advancing the plan. The board expressed general support for moving forward with negotiations and asked staff to report back as the process advances.

Next steps: if the LRA directs staff to proceed, staff will notify taxing entities, start the 120‑day negotiation period, negotiate shares with taxing districts, and return with a resolution and material for final adoption and subsequent Council action.