Pappas Properties has asked the city of Charlotte for public money to help redevelop the Charlotte Regional Realtor Association building and surrounding land, according to a city memo released Friday.
The property is just outside the Interstate 277 loop in Midtown, an area that’s booming with new development.
The memo said Pappas Properties would like to build residential, retail, office and a hotel on the property. The developer is seeking a tax increment grant, in which it would be repaid for a portion of the new property taxes it creates from the project. Such a guaranteed post-construction income stream can help developers get financing for new projects.
Pappas Properties is headed by founder Peter A. Pappas. The firm filed preliminary plans with the city in April for a mixed-use development on the 5.4 acre site, located at Kenilworth Avenue and Greenwood Cliff Road.
The city did not give details about the size of the possible tax rebate or for how long it might last. The memo said the money would be used for public infrastructure related to the project and improvements to Pearl Park, which is next door.
“City and County staff have been meeting with representatives of Pappas Properties to gain a thorough understanding of the project scope, its public benefit, and the specifics of the required zoning text amendment,” City Manager Ron Carlee wrote in a memo to City Council.
Carlee referred the issue to the council’s economic development committee.
Such tax breaks are often given to projects in economically distressed areas. Last decade, Pappas Properties received several different public grants for the Metropolitan development, a block away from the Realtor association site at Charlottetowne Avenue and South Kings Drive.
The Metropolitan opened in 2008, with a mix of condos, retail and restaurants along the Little Sugar Creek Greenway. Including tax increment grants, infrastructure improvements and the cost of uncapping Little Sugar Creek, Mecklenburg County and the city of Charlotte have about $34 million worth of public money pledged to that project.
A representative of Pappas Properties couldn’t be reached late Friday for more details about the proposed Realtor site redevelopment.