Normal's Town Council will consider a package of financial incentives on Monday for the proposed Trail East and Trail West project.
The tentative agreement with Joliet-based Carlson Brothers includes proceeds from a new tax increment financing [TIF] district, along with $1.5 million in food and beverage sales tax rebates tied to a restaurant planned for the property and fee waivers.
The agreement would cover close to 30% of the project’s estimated $66.1 million price tag, according to documents presented to the town council.
“The developer, town staff, and I believe the town council are feeling really good with where we are at at this point with these major projects for Uptown,” City Manager Pam Reece said in an interview on WGLT's Sound Ideas.
The town projects the TIF will generate about $42.7 million in reimbursements for Carlson over the life of the TIF, with about $19.3 million being directed toward the costs of the development.
A TIF district is an economic development tool government bodies use to capture and spend new tax revenue in a specific area for a 23-year period. The town recently created the new TIF at the request of the developer because Uptown’s existing TIF will expire much sooner, limiting the company’s cost reimbursements.
The town would also move utilities underground for businesses on either side of Uptown Circle.
“We are looking to invest in some infrastructure work on site, specifically infrastructure that affects our existing businesses along Beaufort and North Street,” Reece said. "That money would come from our current [Uptown Normal] TIF, so not out of the town’s pocket…” The utility relocation would cost $1.5 million. The town would also sell the property to Carlson for $1.
The two six-story buildings would bring more than 200 apartments to Uptown along with retail and restaurant space. The plan includes 70 parking spaces in an attached garage.
Prices on the rental units range from $1,276 for a studio to nearly $2,500 for a two-bedroom apartment, according to the agenda packet for Monday's town council meeting.
This is the third major attempt in nearly a decade to bring a development to a portion of Uptown that's largely occupied by public parking. Reece said she's confident that Carlson's financing, along with the town's support, will bring this project to reality.
"I think we are in really good shape," Reece said.
The council will also consider approving waivers which the Uptown Design Review Committee approved on Monday.
Character of Uptown Normal
The buildings of Trail East and Trail West have been imagined as multiple story buildings of brick and white; they would hold a mixture of residential and commercial spaces.
Reece recognizes these are a different vibe than current buildings in Uptown.
“For most of the space that we’re talking about, has been parking lots. Three buildings would be demolished in order to get these major developments going,” she said. “This has been part of the plan since the original Uptown plan was adopted way back in the early 2000s. So, it will be a change.”
In order to adjust to that shift in tone, Reece said Carlson will create buildings with a good purpose. To her, that means a character and uniqueness that matches Uptown.
“…and continue the kind of the vibe of Uptown with people wanting to be here,” she said. “It does bring 200 plus people residing in these apartments, so customers at our business’ doorsteps…that I think will be of a significant draw to bring even more people to Uptown.”
One of the buildings requiring demolition is 104 E. Beaufort St., home to a long fought over mural. The Normal Historic Preservation Commission unanimously rejected the town’s proposal to do that, while approving two others after they said the building has historical charm.
Reece said the town understands that position.
“I mean, that’s their role…and they’re consistent. They voted the same way a number of years ago when we thought we were moving forward with a Trail East development, so they have been consistent,” she said.
Now, the town has the opportunity to apply for a historic landmark status for the “mural building.” If the town does not do that by the end of the month, demolition can continue.
Reece does not anticipate that the council will make the application.
“I think council’s perspective will be: what does the public get if 104 East Beaufort is demolished and no longer the building that people might see as character and providing something unique?” Reece said. “It has to be replaced with something unique and providing additional character, and I think council will agree that the proposed Trail East development does just that.”
Reece said the mural will go away at some point, as the brick wall would require maintenance to stay long term. She said that work would not be promised.
