TERRE HAUTE —
A tax abatement for a proposed development will be considered next week by the Terre Haute City Council.
Members of that body heard from a representative of the Warren Village project Thursday evening at their “Sunshine” meeting. Approval of a requested Economic Revitalization Area and associated tax abatement will be again considered at next week’s business meeting.
Louis Britton spoke on behalf of Warren Village, L.P., which is requesting a 10-year personal property tax abatement for a project at 1300 N. 25th St., site of the former Warren School. According to Britton, the school was built in 1917 and operated as such through 2000. The group hopes to develop it into low- to moderate-income housing, building 24 units in the existing structure and creating an additional 87 in its rear. The project is expected to cost between $10 and $12 million, he said.
Guidelines for funding and exemptions of such projects specify the type of housing which is to be provided, and Britton said this development qualifies.
“This project is all low- to moderate-income housing,” he said, adding the owner is a tax-paying entity, not a tax-exempt nonprofit. If the property were purchased and developed by a tax-exempt organization, he pointed out, the community would receive no tax dollars in coming years. Even with the abatement, he said, the owners are expecting to pay out nearly $542,000 in taxes over that period. If the property were left in its current condition, the tax liability over that period would be about $90,000.
Councilman Norm Loudermilk (D-3rd) sponsored the resolution, noting the project is in his district, and the “blighted” neighborhood should benefit from it. Adding that “half of something is better than all of nothing,” he said the long-term value of the project was significant and will help create jobs.
In other business, Pat Martin of the city engineer’s office and Jon Robeson, executive director of Arts Illiana, requested authorization to establish an arts and cultural district within the city.
Tentatively titled “The Haute Arts Culture District,” a swath from Poplar to Tippecanoe streets and U.S. 41 to 10th Street would be recognized in similar fashion to districts in Carmel, Bloomington and Lafayette, they said.
While such designation does not yet carry funding potential, that was the original plan when the state established the program, Robeson said, adding nothing but positive things can come having the area designated in such a manner.
Brian Boyce can be reached at 812-231-4253 or brian.boyce@tribstar.com.
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City Council to consider tax abatement next week
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