Enclave apartment project gains tax break from city

Nancy Edmonds Hanson

Mayor Johnathan Judd called it “a game changer for the south side of Moorhead.”
Economic developer Derrick LaPoint predicted, “It’s a project that will transform a major corridor in our community.”
And the Moorhead City Council simply said “aye” to a 26-year tax break it passed at Monday’s meeting to help finance Enclave Development’s four-story, 127-unit apartment building at the southeast quadrant of Interstate 94 and Eighth Street South.
The centerpiece of the development, which has a predicted total cost exceeding $30 million, is slated to be built on the empty land between a mostly empty shopping center dating back to the 1970s and Muscatell Subaru’s facilities just to the east. The tax break, expected to amount to about $6 million over 26 years, will help finance land acquisition and construction.
The TIF (Tax Increment Funding) deal includes designating 20 percent of the apartments for affordable housing, available to residents who earn less than 50% of the city’s median income of $49,514 per year. Council member Deb White noted that one advantage of the unusually long term of the tax break is that it will “lock in that affordable housing for at least 26 years.”
Developer Brian Bochman noted that another plus is that the apartment residents will provide a built-in customer base for the retail businesses to be housed in the other portion of Enclave’s proposal. The shopping center is expected to be completely redeveloped; he is keeping mum about potential tenants, he said, because of sensitive negotiations already underway. “Having those businesses so close will also be a cool amenity for our residents,” he added.
The council rezoned the property from commercial to mixed-use.

Food Partners
Rory Beil of Clay County Health and Kim Lipetzky of its Fargo counterpart updated the council on the work of Cass Clay Food Partners, a collaboration that supports the development of a resilient, sustainable food system that extends from the grower to distribution to sales to preparation and disposal of waste. The group dates back to 2010, when it began as a joint program of the Cass and Clay County extension services and public health units. The city of Moorhead has been a part of it since 2015, with council members Sara Watson Curry and Heidi Durand representing the city.
Beil said its goal is resilience and sustainability, “creating a system for easily available, health foods at all times.” It fits well with Minnesota’s Green Steps Cities program, of which Moorhead is already a part. As an example of what has been accomplished, he pointed to the success of community gardens over the past 15 years. More than 100 New Americans with agriculture in their backgrounds have come together in the New Roots Farm Incubator and serve as expert gardeners, aiding others who grow their own food in the public gardens.

Legislative Update
Governmental affairs director Lisa Bode gave the council a brief summary of the impact of the state bonding bill passed by the Minnesota Legislature in its sixth special session. “Moorhead projects received almost 5% of the funds in the bill,” she observed. “It was a great result for the city.
She said construction will begin as soon as the weather permits on the new Clay County Transfer Station, a joint project of the city and county. More than $8 million was appropriated for the facility on 15th Avenue North, which will accommodate services ranging from household hazardous waste disposal to drop-off locations for tires, construction debris, appliances and electronics.
The city’s request for $22.5 million to complete its flood control program on the north side was pared back. A total of $17 million was approved statewide. The city is waiting to find out more about its portion and how that will affect planned purchase agreements along the levee.

Comments are closed.

  • [Advertisement.]
  • Facebook