The City Council, acting as the Urban Renewal Authority Board, voted to approve the Foothills Mall redevelopment plan. The agreement includes a few modifications, including approval to issue bonds with 150,000 SF of leased space versus 240,000 SF.
The developer also secured a clarification regarding the required affordable housing component, which includes a total of 446 units at build-out. The City acknowledged that the developer is only required to submit a partial offset of 50 percent of the lost residential property tax increment if it doesn’t meet construction deadlines stipulated in the agreement until the residential units are completed.
The developer was stuck because of uncertainty on the part of retailers, who did not want to commit to a lease until the agreement was signed. The finalization of the agreement gives assurance to the retailers and will allow the project to move forward.