GF downtown project gets max credits

The Grand Forks council is ready to go the max in order to advance the Lyons redevelopment project downtown.

With little discussion the members approved a 20 year property tax exemption with Northridge Accommodations for the North 4th Street property.  The mixed use development will include commercial space for boutique shops… restaurant/bar…and professional office space on the first floor.  Floors two through six will consist of some 120 market rate apartments.

City Administrator Todd Feland says the full 20 year payment in lieu of taxes – or PILOT – agreement is unique.  “First time in my career.  Keep in mind we did a third party analysis with our consultants and the 20 year tax exemption was needed to move this project forward.”

Feland says the PILOT will also help maximize the investment estiamted at $32.6 million dollars when completed.

Under the plan Northridge will pay annual taxes on the property in the amount of $10,636 dollars for 20 years.  That jumps to over $497 thousand starting 2045.  The agreement will save developers an estimated over $8.7 million dollars.

Construction is expected to begin in May with a 2025 completion date.