Title
Corridors of Opportunity Community Development Grant for 1800 Rozzelles Ferry
Action
Action:
Authorize the City Manager to negotiate and execute a Community Development Grant agreement with Sankofa Partners, LLC (the Developer) in an amount not to exceed $100,000 for costs associated with revitalizing the property and building located at 1800 Rozzelles Ferry Road (the Property), which will facilitate the rehabilitation of an aging property and the preservation of a historic neighborhood.
Body
Staff Resource(s):
Tracy Dodson, City Manager’s Office
Todd DeLong, Economic Development
Explanation
§ In 2007, City Council adopted the policy for the city to take a leadership role in developing and implementing public and private collaborative strategies and investments that aim to:
- Attract private sector investment to grow jobs, businesses, and services;
- Expand the tax base in the business corridors; and
- Support the revitalization of the corridors into mixed use areas promoting the adjacent neighborhoods as safe, viable, and sustainable.
§ To fully support the intended goals of revitalization outlined in the policy statement above, the city will take a proactive approach in accomplishing the following recommended goals:
- Eliminate blight,
- Create strong local economies,
- Align City policies and programs, and
- Promote environmentally sustainable development.
§ In 2020, City Council enhanced the city’s commitment to corridor revitalization through the Corridors of Opportunity initiative.
- The city is concentrating its resources at the Five Points area by investing and facilitating initiatives in specific locations within each corridor to ensure long-lasting and positive impacts are realized sooner than they would be through a piece-meal approach. This includes work in transportation and infrastructure, talent and employment, public Wi-Fi, placemaking, and other initiatives.
§ The Developer acquired the Property located in Council District 2 in October 2019.
§ The Property is a one-story retail strip center built in 1929 comprising approximately 6,000 square feet.
§ The Developer will redevelop the property by rehabbing the structure and restoring the building as a neighborhood retail destination with neighborhood-serving retail and restaurants.
§ Other improvements include full environmental remediation, full rehab of interior spaces including subflooring, flooring, mechanical, electrical and plumbing, accessible entrances and restrooms, and new roofing.
§ The Developer will improve the building exterior, bring the streetscape up to compliance, and add outdoor plaza space for tenants.
§ The Property is adjacent to the city’s Five Points Plaza capital project, currently under construction, and is located near the future Gold Line Phase II, currently under construction on West Trade Street / Beatties Ford Road.
§ The Property will be leveraged for proximity to both public investments.
§ All building space is leased or under a Letter of Intent to lease to minority-owned businesses.
§ City staff is coordinating with the Developer throughout the development review process.
§ The city awarded the following 50 percent matching grants to the Developer in June 2020:
- Façade Improvement - $130,000,
- Security - $20,000,
- Interior Upfit - $30,000,
- Total Matching Grant Awards - up to $180,000,
- An additional 10 percent match may be applied if the developer engages certified MWSBE firms for eligible work, and
- Matching grants will be reimbursed by the Business Corridor Revitalization Fund.
§ Pursuant to the North Carolina General Statute on community development programs and activities (N.C.G.S § 160A-456), the city identified the need for financial support of the rehabilitation of the property and building, which will support the preservation of this historic neighborhood and aging property.
- Council is being requested to support execution of a Community Development Grant in an amount not to exceed $100,000 that would reimburse the Developer for applicable costs, which will be in line with N.C.G.S. § 160A-456 and will be finally determined by the actual costs incurred by the Developer.
- Applicable reimbursement expenses must be above and beyond those accounted for in the Developer’s request for reimbursement associated with the previously awarded Business Matching Grants.
- The Community Development Grant will be reimbursed from the Corridors of Opportunity funds.
Fiscal Note
Funding: General Capital Investment Fund
Attachments
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