Continuing the redevelopment of the Chieftain Inn Brownfield site is now possible six years after the original plan was adopted by the Mount Pleasant City Commission.
At Monday’s meeting, an amendment to the Chieftain Inn Brownfield development plans was approved by commissioners, which updated the estimated taxable values, reimbursement figures and more.
The amendment updated the original plan approved in June 2006. The original plan called for the demolition of the Chieftain Inn building, located at 5121 to 5123 S. Mission St., and construction of a multi-unit commercial building with an estimated taxable value of $1,875,000.
City Treasurer Mary Ann Kornexl gave a presentation to the commission during a public hearing on the amendment and explained the current state of the project.
“To date what has happened is we have demolished the old building and there is a Qdoba restaurant there now, but that taxable value is (just) $665,626,” Kornexl said. “This new plan proposes two other phases of development.”
The first phase of the plan would be the construction of an office building in 2013 with an estimated taxable value of $1 million.
A phase two development will be the construction of a two or three-story mixed-use building in the next three to five years.
Kornexl said in the original plan the developer, D & D Real Estate Investment, was supposed to be reimbursed $150,000 for the asbestos removal and demolition; but the current taxable value on that site does not support paying the developer at this point.
“When the construction of phase one happens, this plan would reimburse the developer the initial $150,000 he put into the demolition,” Kornexl said.
At the time of the demolitions, D & D Real Estate Investment also asked for $85,800 for asbestos removal, but the brownfield development board tabled the request because there was not enough taxable value to support the reimbursement.
The amended plan asked for this reimbursement to be paid, and it will be possible this time upon completion of a two-story building in phase two.
In the updated plan, developers are also asking for additional cost reimbursements of $66,000 in phase one for the relocation of the utilities that are too close to Mission Street are also asking for a $20,000 contribution for an access road to Appian Way.
Vice Mayor Kathy Ling said much of the reimbursement is for things from the original plan, with other reimbursements contingent on development.
“…this is just a question of there not being enough money in the building that went up to reimburse them, but (now) this is mostly reimbursing things that were already done,” Ling said. “Some of it is if there is a phase two we will reimburse other aspects.”
The $66,000 could be paid if phase two happens with a two-story, and the additional $20,000 could be paid if a three-story building was built, Kornexl said.
Overall, total eligible reimbursements went from the proposed $382,933 in 2006 to $568,722 with the amended plan.
The initial estimated investment for the plan was $3.7 million, but if the three-story building is completed in phase two that estimate rises to $9.5 million.
The city originally anticipated capturing $1.8 million in the 2006 plan, but the new plan estimates capturing $4.8 million, Kornexl said.