Springfield Department of Economic Vitality staff along with planning consultants with PGAV have completed a draft of a Redevelopment Plan, outlining economic development and neighborhood revitalization resources along a portion of the Grant Avenue Parkway improvement corridor. The identified redevelopment area encompasses Grant Avenue between Catalpa Street to the south and Olive Street to the north, as well as properties located roughly between Campbell Avenue to the east and Douglas Avenue to the west.
What are we trying to accomplish?
- Continuation of a Community-led Process: This work is another step in the Grant Avenue Parkway planning and placemaking process in which the community has been engaged for the past few years.
- Lifting up the neighborhood: Facilitating private development to match the $26 million public investment.
- Preventing displacement: Developing strategies to help long-term homeowners improve their homes and to stay in the neighborhood.
- Flexibility: Providing developers with flexibility to aid in the implementation of the Grant Avenue Parkway Corridor Plan and ForwardSGF Comprehensive Plan.
What we heard from the public:
- Opportunities are needed for small-scale entrepreneurs to own or rehabilitate homes.
- The importance of avoiding displacement or gentrification.
- Opportunities are needed for local businesses to generate activity centers along the Parkway.
- The development community needs flexibility.
What tools are available through the Redevelopment Plan?
Real Property Tax Abatement
Land Clearance for Redevelopment Authority (LCRA) Law (“Chapter 99”)
- Abatement of real property taxes for a period of up to 10 years
- Subject to the City’s approval processes.
Urban Redevelopment Corporations Law (“Chapter 353”)
- Abatement of real property taxes for a period of up to 25 years
- Subject to the City’s approval processes.
How does tax abatement work?
Chapter 99: The taxable value of a property essentially becomes “frozen” for a period of up-to 10 years so that property taxes do not increase.
Why utilize Chapter 99 Tax Abatement?
To help existing homeowners fix-up their homes, protect or enhance their asset and to stay in the neighborhood. Also to help facilitate redevelopment projects within the Redevelopment Area.
Chapter 353: The taxable value of the land is frozen for a period of up-to 10 years, and then the property is valued at 50% of its total taxable value for up to an additional 15 years. This provides up to 25 years of abatement.
Why utilize Chapter 353 Tax Abatement?
To help facilitate larger redevelopment projects along within the Redevelopment Area.
The application of both tools within the Plan Area gives the City, property owners, and potential developers more flexibility.
How to participate in identified tax abatement programs:
As per state statute, both mechanisms (Chapter 99 and Chapter 353) require the preparation of a blight study and a redevelopment plan.”
The Redevelopment Plan and accompanying blight study fulfills this role in either process and takes two major steps out of the way, saving property owners and investors time and money.
Any property owner or developer seeking tax abatement is still required to:
- Apply with the City for tax abatement.
- Provide certain financial information about their proposed project.
The process to use the Chapter 99 incentive is approximately a 22-day process, including an application step and review by the LCRA .
The process to use the Chapter 353 incentive is an approximately 60-day process involving conferring with City Staff, an application step, and City Council approval.
Past Community Engagement Information – April 2022
The City of Springfield has engaged planning consultants with PGAV to conduct a qualifications analysis of a portion of the Grant Avenue Parkway improvement corridor. The study is intended to help identify what areas qualify for a variety of economic development and neighborhood revitalization tools.
The study area (14 mb PDF) encompasses Grant Avenue between Catalpa Street to the south and Olive Street to the north. The analysis will examine properties located roughly between Patton Avenue to the east and Douglas Avenue to the west.
The goals of the study are to create resources for economic development and neighborhood revitalization along the Grant Avenue Parkway corridor and into surrounding neighborhoods. The consultant team will look for opportunities to leverage private investment in commercial and residential properties and will identify programs to provide benefits to existing residents.
Neighborhood Revitalization and Economic Development are two of the four overall goals of the Grant Avenue Parkway corridor improvement effort. This analysis will work in coordination with extensive corridor planning efforts to facilitate private investment that will work in-step with the public infrastructure improvements and the community’s vision for this corridor.
PGAV has conducted preliminary field observation of properties in the study area. Later this spring, the team will facilitate open opportunities for residents, property owners and developers to engage in the process and provide input. Sign up to receive details on upcoming input opportunities and receive updates on the Grant Avenue Parkway project.
“We want to know what type of private investment people are interested in, whether that’s people investing in new commercial development or homeowners investing in their homes,” explains PGAV project leader Andy Struckhoff. “We also need help identifying the challenges and potential barriers to investing in the area as well as the unique opportunities.”
A final study report and recommendations are expected to be brought to City Council in late spring 2022.
Upcoming Meetings & Events
City Council will hear a bill to approve the proposed GAP Redevelopment Plan on Monday, Nov. 14. Second reading is planned for the Nov. 28
Check back later! Additional meeting materials will be made available here following the public open house on Sept. 29.
Stay tuned for future information and engagement opportunities.
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