Repurposing an old space for a new life–that’s what Pell City leaders hope to do with a new retail development off of I-20, where the old hospital was. [click to watch video]
Monday during the Pell City city council meeting, members moved to approve an incentive agreement with the developer of the project, Noon Pell City LLC.
Some residents in the community told ABC 33/40 they were excited for the possibility of new stores, as well as their tax dollars going back into their community.
“That’s what we need instead of people traveling to Trussville, Oxford, or Birmingham,” said Wayne Nguyen
Nguyen has a business next to the proposed 135,000 square foot, 19-acre retail space.
He’s excited about the possibility of new life in the area as the property has been a vacant lot on Dr. John Haynes Drive since the old hospital was demolished in 2017.
“The way that hospital served the community for decades, we are looking at putting something there that will also serve the community in a different way,” said Brian Muenger, City Manager for Pell City.
T.J. Maxx and Hobby Lobby are already confirmed as tenants in the new space if the proposal passes.
With shopping centers in Leeds and Oxford, the city is being careful when selecting stores.
“The stores that were are looking at in this development, businesses that are named, are not available in a 30-mile radius,” said Muenger. “In that trading area, the gap analysis that we’ve run shows there is business to be done.”
According to Muenger, the new development could generate approximately $ 30 million in its first year–bringing more tax revenue into the city.
Don Smith, with the Economic Council of St. Clair County, explained to council members over 20 years the city is estimated to see $21 million in taxes and the school district could see $11 million.
For Ron Partain, a long-time business owner in Pell City, he welcomes any competition the new development might bring him.
“I had two kids in school here and I am thankful for the growth in our education system which is helped by tax revenue to fund more things at the school and other things in this town. Growth to me is nothing but a positive,” said Partain.
ABC 33/40 checked with the city about potential traffic issues in this area.
They tell us a traffic study has been conducted and they are confident with a few adjustments, the existing infrastructure will meet the needs of the development.
The next step for the city is to submit a validation lawsuit and have it confirmed by the court.
The incentive agreement includes:
- public infrastructure bond for $6.25 million for public infrastructure which will be paid through a 1% improvement district fee over 20 years from the development
- performance-based sales tax rebate of 2% for up to 20 years or until $9.5 million is reached that goes back to the developer for development costs
- Once the city opens the space, the city will pay $2 million to the developer to lessen the time of the rebate
By Erin Wise, ABC 33/40
Original article: https://www.msn.com/en-us/money/companies/pell-city-could-see-millions-in-economic-growth-with-new-19-acre-retail-development/ar-AARMBqv
