Explanation
BACKGROUND: This legislation authorizes the Director of Development to amend the existing Community Reinvestment Area (CRA) Agreement with Brewers Yard Apartments, Ltd. The amendment will make two changes. It will extend by 1 year the deadline for the end of the tax exemption period for the 303-unit apartment building. Also, it will consent to transfer of the exemptions on the 14 townhouse apartment units to buyers when the townhouses are converted and sold as condominiums. The term/rate of the abatement will remain at 50%/7-years as originally granted.
The Brewers Yard Apartments CRA Agreement was approved by Columbus City Council Ordinance 3063-99, adopted December 13, 1999, and amended by Ordinance 2342-00, adopted October 30, 2000. The project goals were to construct 312 residential units, invest approximately $30 million and create 6 jobs. The project is in good standing with regard to these goals. To date, 317 units have been constructed, $30 million invested and 14 jobs created.
The 14 townhouse apartments at 76-88 W. Kossuth St. were completed first and the 7 years of exemption on these units will run from 2002 through 2008. The plan is to convert these 14 units into condominiums. This amendment will acknowledge the City's consent for the tax exemptions to transfer to the new owners as the conversions occur.
There were construction delays that prevented the 303-unit apartment building at 100 Frankfort Square from being completed in 2003 as anticipated. The delays were due to the City's need to line the old brick storm and sanitary sewers that extend along the site's western edge. Construction is being completed in 2004. This amendment will allow the apartment building to use the 50%/7-year abatement through 2011 instead of 2010 as currently allowed by the Agreement. The project will thus be able to use the full 7 years of exemptions (2005-2011) on the apartment building.
Emergency action is requested becaus...
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