Annexation plan approved. The Plattsmouth City Council gave unanimous approval to annexing the commercial development with the working name “Westside Commercial.” Authorization for issuance of tax increment financing bonds was also approved.
These lots (2, 3, 4, 5 and 6) of the existing subdivision containing Plattsmouth Keno and Lucky’s were not part of the 1999 annexation.
The Cassgram reports the city and Westside LLC (Steve Willey and Merle Pieper) have been working on this action since early in 2010.
Grading and utility work on lots 2 through 6 started last fall and Willey indicated that retail and food chains are interested in locating there. Also last fall, Westside and the city began the necessary steps—such as a blighted designation of the area—for annexation and for Westside to obtain tax increment financing (TIF).
In previous reports to the city council, City Administrator Erv Portis pointed out that the redevelopment plan asked for a $2.3 million TIF grant “for costs associated with improvements of streets, installation of utilities and appropriate traffic control devices and road configurations. Mr. Willey has arranged private financing up to $2,300,000 for purchase of TIF bonds. There is no expiration date to his financing commitment. The Developer, not the city, assumes all risk for bond principal and interest payments.”
The total estimated value of the project with a full build-out is $15 million. It’s expected to take three to five years to secure full tenancy.
The expected valuation increase from the eventual development of the Westside LLC property is welcome news on the heels of the 2011 real estate property valuation received by the city last month. The assessed valuation for the City of Plattsmouth dropped from $266.6 million for 2010 to $264.7 million for 2011.
Portis provided two big reasons for the valuation decline: the former A&M Greenpower ($613,000 valuation) property went off the tax rolls with the purchase of the property by the Plattsmouth school district; and reassessment of various properties owned by Windstream.