[Southsider2k12]

http://www.thenewsdispatch.com/articles/20...29946523319.txt

$30M business plan unveiled

By Alicia Ebaugh
Staff Writer
Published: Wednesday, February 24, 2010 4:18 AM CST
MICHIGAN CITY — A $30 million business development with medical offices, a hotel and four restaurants is planned for the east side of the Interstate 94 interchange with U.S. 421, county economic development officials said Tuesday.

The development could bring in more than $600 million in property tax revenue a year once all the parts are in place, said Matt Reardon, the county’s economic development coordinator, at the plan’s unveiling. It also has the potential to create hundreds of professional, service and construction jobs for the area, he said.

“It’s a fantastic opportunity for Michigan City and the county to have a development like that,” said Don Przybylinski, La Porte County Economic Development Commission president. “It will ignite business growth along the whole 421 corridor. It’s a very positive use of the land.”

The 30-acre property on which the development is planned is owned by La Porte Regional Health System, but Reardon would not comment on whether it would have space in any of the four medical offices slated to be built, three of which are planned to be at least 20,000 square feet. If it did, it could compete directly with several Michigan City medical facilities, including St. Anthony Memorial.

No other businesses interested in locating at the development were mentioned either. The presentation was informational, Reardon said.

The county has been in talks with Holladay Properties, the developer interested in the site, for about a year, Reardon said. Holladay Properties is a major regional developer that has built what it calls “AmeriPlex” multi-use properties in Portage, Merrillville and South Bend. The Portage project, at the juncture of I-94 and Indiana 249, includes Bass Pro Shops and a DaimlerChrysler distribution center. Its Merrillville project, at Interstate 65 and 93rd Avenue, contains Pinnacle Hospital.

“For the past few years, we have encouraged logical, planned growth, and that’s what this plan does. We now have the sewer and water availability in that area to open it up quickly for development,” Michigan City Mayor Chuck Oberlie said. “Holladay Properties is a premier developer, and I’m excited to work with them.”

No representatives from Holladay Properties or La Porte Regional Health System came to the economic development commission meeting.

The county hopes to kick off development as soon as possible, following a tight timetable that would have bonds issued on the project by June, Reardon said.

“That’s a good sign on the developer’s part that they want to get started so quickly,” Reardon said. “The goal is to get it done, get it paid for and get the property tax back into the county.”

From the county, Holladay Properties is requesting $2 million in tax incremental funding that it would repay with taxes generated by the properties. It also is asking for $4.6 million of the county’s $6.8 million in federal stimulus bonds to complete the project.

“There’s not a lot of downside to this project,” Reardon said. “It requires little investment, and the return should happen quickly.”

The first project would be a 24,000 square foot medical office on the north portion of the development, just south of County Road 400 North, Reardon said.

The next steps in the process will be to have several county boards approve any amendments needed for the project, hold all public hearings necessary and approving bond financing. Holladay Properties representatives will present more details at a special economic development commission meeting March 24.

St. Anthony Memorial owns 70 acres of land on the other side of U.S. 421, west of this planned development.

[Dave]

The development could bring in more than $600 million in property tax revenue a year once all the parts are in place, said Matt Reardon, the county’s economic development coordinator, at the plan’s unveiling.

Huh?

How much would this development have to be worth to generate $600 million a year in property tax revenue??? Or is that a massive typo?

[Southsider2k12]

Huh?

How much would this development have to be worth to generate $600 million a year in property tax revenue??? Or is that a massive typo?

That has to be a huge mistake. The first numbers I found indicated the entire county paid something like $87 million in taxes for 2003. See page four of seven, and look for the Net Levy.

http://www.in.gov/legislative/publications...ess/LAPORTE.PDF

[Dave]

The article has been changed to read "$600,000" now instead of "$600 million". Hey, what's three orders of magnitude between friends?

This post has been edited by Dave: Feb 24 2010, 03:39 PM

[NDReporter]

The article has been changed to read "$600,000" now instead of "$600 million". Hey, what's three orders of magnitude between friends?

You're funny.

[Dave]

You're funny.

If you've told me that a thousand times, you've told me once.



This post has been edited by Dave: Feb 24 2010, 08:42 PM

[lovethiscity]

If you've told me that a thousand times, you've told me once.

Only, you really are funny

[Southsider2k12]

http://www.southbendtribune.com/article/20...8/-1/googleNews

Developer poised to start
Michigan City could see project for offices, hotel begin in summer.

By STAN MADDUX
Tribune Correspondent

The first ground to be broken at the Interstate 94 and U.S. 421 interchange in Michigan City should occur this summer with a total investment of $30 million in new construction planned.

Holladay Properties, headquartered in South Bend, hopes to begin construction on the northeast side of the cloverleaf with four medical offices and eventually a hotel and four restaurants.

It’s the type of investment LaPorte County officials had in mind in 2007 when they began the process of extending water and sewer lines to the now undeveloped interchange covering about 20 acres.

Click here for more information
“It’s always good for the economy to have people out there working,” said Matt Reardon, the county’s economic development coordinator.

An estimated $600,000 in property tax revenue is expected to be generated for the county once all phases of the project are built, Reardon said.

Holladay Properties is asking the county to take out a $2 million bond issue to complete the extension of water and sewer lines along with a road to the site.

Those lines now end at Kieffer Road just a few hundred feet north of the proposed development.

Reardon said the money related to providing utilities will be paid back to the county with tax revenue generated by the development and captured from the site.

More than $4 million of the county’s $6.8 million in federal stimulus bonds are also being sought to help with building construction.

Those dollars would also be paid back over a period of time without any burden on taxpayers, said Reardon.

Currently, approval of the bonds by the county is slated for June with ground-breaking sometime in the summer.

Since it was founded in 1952, Holladay has completed well over $2 billion in mixed use real estate, ranging from retail to office space, according to the company’s Web site.

Timothy Healy, senior vice president and partner with Holladay Properties, did not want to offer any more specifics, preferring to wait until things develop.

“We’re not seeking a lot of publicity about it at this time. Hopefully, in a few months, we’ll be able to share more,” Healy said.

LaPorte County Council President Mark Yagelski said specifics like job creation projections will be unveiled as the county works publicly toward final approval.

“We pretty much know the routine of what we have to do and how to get it done. I think it will be a quick process,” Yagelski said.