2024-021 Ordinance - Laserfiche WebLink

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Draft 2/22/24 X►:cn .11 Wil DEVELOPMENT AND TIF REIMBURSEMENT AGREEMENT (Great Northern Mall Project) THIS DEVELOPMENT AND TIF REIMBURSEMENT AGREEMENT ("Agreement") is made and entered into effective as of the _ day of , 2024 (the "Effective Date"), by and between THE CITY OF NORTH OLMSTED, OHIO, an Ohio municipal corporation, having a mailing address of 5200 Dover Center Road, North Olmsted, Ohio 44070 (the "City") and Star West Great Northern LLC, an Ohio Limited Liability Company, having a mailing address of 5100 Great Northern Boulevard, North Olmsted OHIO, 44070 (the "Company"), under the following circumstances: RECITALS: A. The Company desires to demolish a certain blighted property (the "Project Site") and construct a 7,900 square foot restaurant with an estimated value of $4,500,000 million and further desires, as a result of the project to hire 100 employees with an annual payroll of $1,600,000 as further depicted and described on Exhibit A] (the "Project"). B. The City under the authority of Section 5709.41 of the Ohio Revised Code, adopted Ordinance No. 2023-132 (the "TIF Ordnance") to exempt 1000/. of the incremental assessed value of the Project from real property taxes (the "TIF Exemptions") for a period of up to 30 years (with the parcels comprising the real property component of the Project being referred to herein as the "Parcels" and, each individually as a "Parcer') as part of a tax increment financing plan to generate revenue for the development of the Project (the "TIF Revenue"). The TIF Ordinance shall provide that the North Olmsted City School District and the Polaris Career Center (collectively, the "School District") shall receive statutory service payments in an amount equal to the amount each school district would otherwise have received as real property tax payments derived from the improvement to the Parcels if the improvement had not been exempt from taxation pursuant to the TIF Ordinance, All TIF Revenue received by the City and not required to be paid to the school districts as compensation is hereinafter referred to as the "Net TIF Revenue". C. The City under the authority of Section 3735.65, et. seq. of the Ohio Revised Code, expects to adopt an ordinance (the "CRA Ordinance") to exempt 75% of the incremental assessed value of the improvement component of the Project from real property taxes (the "CRA Exemption") for a period of 15 years. The CRA Exemption will take priority over the TIF Exemptions. D. The City has determined that the Project is in the best interest of the City, is in aid of industry and commerce, furthers the health, safety and welfare of its residents, and will facilitate commercial development in the City, all of which are expected to create and preserve jobs and employment opportunities in the City and enhance City tax revenues. E. The parties desire to enter into this Agreement to reflect certain agreements between them with respect to the Project generally, and to the improvements to be made by each of them, all pursuant and subject to the terms and conditions contained in this Agreement.