Improvement Program and Urban Design Guidelines for Main Streets CIP. The property is located in the Ford City Business Improvement Area (BIA) and CIP Area.
Discussion:
Ford City CIP Financial Incentive Programs
The applicant is eligible for the following programs under the Ford City CIP Financial Incentive Programs:
Incentive Programs: Retail Investment Grant Program— the design and first impression made of a retail store is critical when appealing to its intended market and it can influence a consumer's perception of the quality of the store and visually communicate value. The grant offers up to 50% of eligible costs for improvements to a maximum amount of $15,000 per retail unit in a building that has had a vacant ground floor retail or commercial storefront(s) for at least 6 months immediately prior to submission of an application to the program and will be occupied by a new retail business. The applicant has renovated the vacant ground floor commercial storefront (one-unit) for a new retail businesses called "Pressure Drop" which offers an alternative to traditional retail by combining a boutique clothing store with a California themed bar offering both alcohol and non-alcohol beverages. The applicant is eligible for a $15,000 grant.
Municipal Development Fees Grant—the grant is intended to encourage development within Ford City by providing a financial incentive to offset the costs associated with seeking municipal approvals (i.e. building permits, zoning by-law amendments, Site Plan Control). Property owners are eligible to receive 100% of eligible fees once the work is completed to the satisfaction of the Planning and Building Department. If the applicant chooses to take advantage of the Building Facade Improvement Grant Program, a Building Permit would likely be required. Given that Building Permit fees are based on cost of construction, we are uncertain of what the Building Permit fee amount would be at this time, but feel that it would likely not exceed $2,000 as identified in recommendation I. ii.
Building/Property Improvement Tax Increment Grant—intended to provide financial incentive for the physical improvements to properties whereby registered property owners and/or assignees would be eligible to receive a grant for 100% of the municipal portion of the tax increment generated from the improvements made to the building or property for up to 10 years.
The applicant proposes to spend approximately $34,670.54 to renovate the interior of the existing building and additional money may be spent on improvements to the facades of the building (amount to be determined) in the future. Due to the age of the building, the assessment value attributable to commercial space is very low. Because the eligible renovation work is mainly interior and the applicant does not propose to add any new building area it is difficult to estimate whether there will be an increase in assessment value at this time. Should the assessment value increase as a result of the improvements made by the applicants, Administration is seeking approval to administer the tax increment grant.