- change ups
Corridor receives green light
The North Quarter Corridor Improvement District can go ahead with its development and tax-increment financing plans. Grand Rapids city commissioners gave the CID the authority to proceed with both last week.
However, City Economic Development Director Kara Wood cautioned commissioners that the new entity would likely only capture about $2,000 from the area’s property taxes in its first year.
A 30-year projection shows the tax capture topping $82,000, which doesn’t include the personal property tax because it is likely to go away. In addition, state law prevents CIDs from capturing revenue from school millages.
The corridor will use the capture to help finance improvements throughout the northeast side district. “Hip, hip, hooray — we’re moving along,” said Commissioner Ruth Kelly.
City commissioners formed the North Quarter Corridor Improvement Authority in May, which includes the business districts in Cheshire Village, Creston and a portion of Monroe North. About half the sector is commercial, while roughly 30 percent is industrial. The remainder is institutional and residential, with housing making up only 5 percent of the total property types.
The corridor has 276 properties; their 2012 taxable value is $42.3 million.
The CIA was established to correct and prevent deterioration in those commercial areas, push for historic preservation of those landscapes and promote economic growth. The authority plans to do that by encouraging the recruitment and retention of businesses and employment, offering direction for land use and development within the business districts, improving the overall business climate, expanding the tax base for the district and the city, and visually enhancing the district.
Neighborhood Ventures helped create the development and tax-increment financing plans. The authority plans to give Kent County, the Interurban Transit Partnership and other taxing units an opportunity to meet with the city commission to discuss the fiscal and economic implications of the development and financing plans.