Moorhead City Council

Nancy Edmonds Hanson

The Moorhead City Council approved property tax exemptions for two new construction projects during its July 10 meeting. One will expand the commercial building that houses a lawn care and snow removal service on Second Avenue North the other for up to eight buildings on Southeast Main, each with five to six tenant units.

Joshua Abrahamson of Valley Green and Associates plans a 40-by-65-foot expansion of his property at 2410 Second Ave. N. to accommodate shop and office space. According to economic development consultant Derrick LaPoint, the business employs 44 full-time and 70 seasonal workers. The expansion will increase the property’s value by $270,000, qualifying the project for a three-year tax exemption of approximately $12,960.

Construction is beginning this month, with completion expected by December.

The second tax exemption was awarded to Agassiz Builders LLC for its project at 1301 and 1401 Main Ave. SE (Highway 52). Five or six separate units will be included in each of the eight proposed buildings. The firm plans to form a CIC condominium association. Units will be sold or leased to small commercial businesses such as builders, plumbers or electricians. As units are sold, the tax incentives will pass to the new business owners.

The city assessor has estimated that the value of the project will be approximately $7.4 million, LaPoint said. The project was approved for a five-year tax exemption of $592,000.

Agassiz Builders plans to begin construction in August, with estimated completion in March 2024.