N. Douglas development funds give unfair advantage
December 6, 2006
A new player has come forward seeking to develop the property across Highway 395 from Carson Valley Plaza.
Riverwood LLC is seeking a deal with the county redevelopment agency to build at least 30,000 square feet of commercial space on the site just outside Carson City limits..
Riverwood is the successor to AIG Baker. County Manager Dan Holler says the deal is similar in structure.
However, the millions of dollars being offered by the redevelopment district has more than doubled.
County commissioners approved $11 million in redevelopment funding to facilitate AIG Baker’s proposal.
The proposal calls for $27.4 million to be paid to Riverwood over seven years.
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On the developer’s side, they would have to develop at least 30,000 square feet of commercial space.
Holler admits that there is a risk the developer could just build the commercial space and stop. But he said the potential benefit is an increase in sales tax revenue, at a time when property tax is increasingly endangered.
In a redevelopment district, taxes resulting from increased property value are rolled back into the district.
As a matter of principle, we oppose more redevelopment in north Douglas County. We believe government’s place is to provide a level playing field for business to compete, not to step in and help one business over another.
Our main concern is not that the redevelopment agency will fail, but that it will succeed to the detriment of businesses elsewhere that haven’t the benefit of a multimillion windfall.
– From The Record-Courier