July 22, 2010

184 Main Street TIF

After reading through everything I do have a problem with this.  Let me explain.   The TIF itself, I like alot!!!  Infact the Citizens For Business is pushing to target properties in advance whereby a developer, who hits a certain threshold of improvements would:
  1. Lock in assessed value for 10 years
  2. waiver permitting fees
  3. waive water and sewer connection fees
The problem I have is who were the other bidders?   Their underlying property should be given the same TIF.  Let me explain.   Say I own a property somewhere else on Main Street and I got beat out on this RFP by 184 Main Street.  I would be upset now that 184 is going to get a TIF to, in essence, win the bid.  

Bottom line is that the developer should have gotten the TIF in advance of the RFP for the DA's office to level the playing field with the other bidders.   Bottom line is that this TIF after the RFP was awarded gives them an advantage over anyone else who bid. 


Anonymous said...

Downtown's rebirth will happen sooner and more organically if the old school/cronyism/underhanded- political-deals stay nipped in the bud.


Jahn Dough said...

JPM (J P Morgan?), I agree.

Bill I could be convinced in favor of TIF's but here's my deal. The TIF'ee escrows their property taxes over the term of the TIF. If & When they have lived up to the criteria of the TIF and when the TIF has expired they git their excess property tax payments back plus interest. This idea of TIF's being handed out before performance is complete is insanity.

How about I stop by RPS and snag a 30 pack of Jahngameister brew that you special ordered for me and i'll pay you for it 10 yrs later after I having imbibed ( enjoyed) it all tonight. Wimpy will gladly pay you next Tuesday for hamburger today. GEEEESHHH !

Sorry, the world doesnt quite work like that way and you know it. I cannot think of any, but I know there have been TIF s i have read of where the TIF'ee went kaput after rec;ing reduced taxes and not living up the terms of the TIF

Locking in assesssed value may not be the panacea for dev'ers it has been in daize past. i.e. we'll be lucky to see any real property value increaes in the next decade, so there may in fact be little to no benefit to the dev'er of locking in AV. So why bother.

I am not sure how getting the TIF in advance levels the playng field? Anyone who gets TIF , in essence is gettign a subsidy that a Non TIF'er didnt get.

Anonymous said...

Bill, I think the problem with TIF in MA is the benefit is tied to jobs not buildings. Thus a spec developer with a building but no tenants (yet) cannot apply for the TIF until he identifies his tenant(s) (who brings the jobs). Once he gets a tenant, he then can co-apply for the TIF with his tenant.

The MA TIF is not really useful for spec developers, it really works best for businesses that buy for their own use and not lease.

Eric K.
Worc., MA

Jahn Dough said...

Eric, thats what I was referring to when I said they get teh TIF after they perform e.g they deliver the # of jobs agreed to in the TIF in the time frame agreed to.

Seems to me there was such a deal that involved the aIrport Indus trail park a number of yrs ago??

Was it TJ MAXX for or a machine/metal fab shop???

What is proposed as a TIF deal for 184 Mane street is in essence the "Community Dev'ment Corp'ing" of a commercail real estate venture............basically a private dev'er gets gub'mint money and the beats the holy bejesus out of the non gov't (taxpayer)subsidized private dev'er.

The 184 Main St guy should just form a non profit realty corp& get non paying status as a Non prfit. We could call his call his new office digs for the DA offices The Hand 'Em Over To Glodis Building.

I wonder if Guy has hit Corporation Beach in Dennis yet this suuummmmahh and tried to juice the town of Dennis outta their $15 parking fee by doing an end run around a 16 yr old parking lot attendant...priceless. This was a classless act lower then a Bassetts hounds belly.

Jahn Dough said...

You know the more I think about this deal, the more I begin to wonder.

10 of 11 couNcilors voted for this so it will pass eventaullY. It is a done deal, merely delayed.

Where is Konnie on this?

What ulterior motive(s), If any does clancey have in deep sixing this thing for a month?

Any other bidders for leasing to the DA's office have to be rip ++++ when they see this wheeling & dealing.

Who are the players who are getting such consideration from the council?


Lastly, is the city trying to directly or indirectly diss another particular bidder. One person (potential bidder) does comes to mind here, but my lips are sealed.

When was the bid to be signed by both lessor & lesseee and I wonder if the parties have mutually agreed to extend the closing dealine for signing the lease agreement.

Why in god's name wasnt another story added to the courthouse design that could be used by the DA's office?

Where will the DA's Staff park? My understanding is that the parking situation at the new courthouse is for all intents and purposes non existent.

Jahn Dough said...

Well I finally found the deed for transfer of Worc Airport. It did sell July 1st

Consideration $1.00.

Other details including the true real selling price are probably in P&S agreemnet.

Transparency +