ECONOMIC DEVELOPMENT OBJECTIVES • Redevelopment of the Franklin Urban Corridor to promote economic development between Downtown and Loray Village. • Construct a multi-purpose facility for sports, concerts and other forms of entertainment that will serve as a destination and a stimulus for private sector development. • Provide the opportunity for new residential and commercial development that returns vitality and a climate of investment to Gastonia’s center city. • Increase the tax base and property values along the Franklin Urban Corridor and within the surrounding center city neighborhoods.
FUSE District Boundary
SEARS PROPERTIES Franklin Investment Group
TRENTON MILL Chavis Rental Group
FAB-TEC David Bolding
HOTEL JSR3 Inc
SEARS PROPERTIES Owner: Franklin Investment Co Acres: 6.01
Offer Negotiated by City: $350,000 Plus City taxes since July 1st : $12,000 Closing fees: $10,500
Total Negotiated by City: $372,500 Demolition Estimates: $350,000
Asbestos abatement: $100,000 ESA Phase I & II showed no major issues.
Budget Inn Hotel 800 W. Franklin Blvd. (106044) Owner: JSR3 Inc Acres: 2.1
Offer Negotiated by City: $1,200,000 • Possibility of allowing business 18 month rentfree for time to locate into an existing building in Gastonia.
Demolition Estimates: TBD ($200,000 - $300,000) • 2014 environmental study shows no major issues.
FAB-TEC 620 W Franklin Blvd (106068) Owner: David Bolding & Dana Bolding Acres: 3.88 SBA appraisal $1.2 million
Offer Negotiated by City: $1.2 million • •
Possibility of allowing business one year rent-free for relocation into an existing building in Gastonia. City will provide $50,000 for moving expenses if relocation occurs within 6 months.
Demolition Estimates: TBD ($200,000 - $300,000) (possible reuse)
Benefits: The historical old Coca-Cola building may be great architectural feature to enhance the ballpark design. • No environmental studies completed to date.
TRENTON MILL 612 W Main Ave (105969, 105968, 105967) Owner: Chavis Rental Corp Acres: 3.08
Offer Negotiated by City: $495,000 Demolition: TBD ($300,000 - $400,000) (possible reuse) Benefits: The historical old mill building may be great architectural feature to enhance the ballpark design. •
No environmental studies completed to date.
Current Lease Agreements: 5 tenants lease space 4 are month-by-month 1 has a 5 year lease
Recommendation / Funding Summary PARCEL
PURCHASE COST
DEMOLITION*
SUB-TOTAL
$250,000 $450,000 $700,000
$1,450,000 $822,500 $2,272,500
Revenue Available
700/800 Blocks Budget Inn $1,200,000 Sears Properties $372,500 TOTALS $1,572,500
600 Blocks Fab-Tec Trenton Mill
GRAND TOTAL
$1,200,000 $495,000 $1,695,000
$250,000 ** $350,000 **
$3,967,500 for both blocks of property
*Demolition estimates used **Demolition delayed pending redevelopment plans
Working Capital Reserve: $1,570,211 General Fund Balance: $702,289 Total: $2,272,500
Additional General Fund Balance: $1,695,000 Total: $3,967,500
Available General Fund Balance Estimate (9/2016): $18,343,043 (31%) After 700/800 Block ($702,289): $17,640,754 (30%) Add 600 Block ($1,695,000): $15,945,754 (27%)