TIF Agreements to Drive Decade of Private Investment in Job Creation and Housing in Columbus’ Key Economic Corridors
Plans Negotiated Historic New Commitments
to Affordable Housing and Minority Contracting
[COLUMBUS, OH] On November 23, 2020, Columbus City Council will consider
Tax Increment Financing (TIF) agreements which were negotiated to not only
accelerate private investment in key jobs growth areas like Rickenbacker, Easton,
Polaris and Downtown, but also include unprecedented elements to drive new
investment in affordable housing. In
total, the legislative package will help drive $1 billion in new private
approximately 20,000 new jobs and generate more than
$146 million in estimated net new tax revenue to the City over the next 30
years. As non-school TIFs, the projects
will increase funding to area schools.
“These agreements will bring the City of Columbus hundreds of new units
of workforce housing, substantial commitments to work with women and people of
color owned businesses, new flexible dollars for housing assistance, and pay
for themselves through thousands of new jobs,” said Council President Shannon
Hardin. “These are good deals for Columbus that will grow the economy and
provide clear public benefit.”
Tax Increment Financing (TIF) is a public financing tool that finances
infrastructure improvements that support commercial development and residential
rehabilitation. Council will vote on the
legislation at the November 23, 2020, regular meeting.
The job centers that will benefit from this economic development tool
are Easton, Polaris, Downtown, Rickenbacker and Confluence Village in the Arena
District. The TIF agreements do not impact school funding. The local districts
will receive due property taxes.
“Continuation of these TIF agreements will help spur job creation,
affordable housing and minority contracting opportunities, paving the way for a
strong and equitable economic recovery,” said Mayor Andrew J. Ginther.
“In the City of Columbus, where we have a strong, diverse and capable
workforce, inclusion is not only a requirement but a given,” said Councilmember
Emmanuel V. Remy. “With 30%
participation commitments, the City’s approval of the TIF extensions will
generate a return on investment that will translate into millions in revenue to
our minority and women-owned businesses.”
2601-2020 and 2621-2020)
Easton serves as one of the largest economic engines in the City of
Columbus. In 2019, it generated nearly $200 million in revenue for the City,
state, county and our local school districts. The new agreement will support
the critical infrastructure improvements needed for the continued development
of this vital job center within the City. Furthermore, the developer also
commits to a goal of at least 30% (in total value) of
construction contracts to qualified minority and women-owned businesses.
Approximately $750 million in new investment and 15,000 jobs will be added to
the Easton area over the next 30 years.
“The collaborative support of the City of Columbus has been critical to
Easton’s growth since its opening in 1999. Employment at Easton has grown to over 25,000 jobs and more than $400 million in tax revenue has been generated for the
City,” said Adam Flatto, President and CEO of The Georgetown Company,
co-developer of Easton. “With over 200 acres left to develop, the extension of
the TIF paves the way for strategic expansion that will fuel increasing tax revenues
well into the future.”
The TIF extension agreement also paves the way for hundreds of
affordable housing units to be built in the area. Easton and Georgetown will
donate real property to an affordable housing developer, Homeport, to create
200 affordable housing units in the area.
“We applaud the City for making affordable housing a priority. Our
partnership with Homeport will allow Easton to deliver 200 residential units to
help meet the demand Easton employers and their employees have for nearby affordable
housing,” Flatto continued.
“Homeport is very pleased to work with The Georgetown Company to make
200 new units of affordable housing available in the Easton area,” said Bruce
Luecke, President and CEO of Homeport. “Not only does this assist the 54,000
low to moderate income households in Central Ohio who pay more than 50% of
their income for rent, more specifically it provides needed new housing for the
thousands of individuals who currently live and work in the Easton area. It is
another positive example of the City of Columbus’s commitment to the stability
and diversity of its neighborhoods.”
2600-2020 and 2622-2020)
Like Easton, Polaris is one of the City’s significant employment centers
with hundreds of millions of dollars of tax revenue generated annually for the
City, Delaware County, the State Ohio and the Olentangy School District. This
legislation will sustain and build on this economic engine.
Polaris will extend its current TIF agreement and include minority
participation and workforce development components into future capital
development projects. Polaris commits to at least 30% (in total value) of
construction contracts to qualified minority and women-owned businesses and
commits to 20% workforce development apartment units.
“The public-private partnership that has existed for over 25 years
continues with the City showing great leadership in recognizing the importance
of the Polaris TIF as a funding mechanism for public infrastructure without
impacting its capital improvement budget while at the same time sustaining one
of the City’s critical employment centers and incentivizing workforce housing
for years to come,” said Franz A. Geiger, Managing Director of N.P. Limited
(Ordinance 2619-2020 and 2620-2020)
Two new TIF districts will be created within the Downtown, most notably,
around the underutilized PNC Plaza located at 155 and 195 East Broad Street.
The development will include new Class A office space, residential units,
public greenspace and improvements to the above-ground pedestrian walkway for
residents and employees traversing downtown. The adjacent Gilbert Building will
be converted to residential, with 20% of the building’s units designated for
Rickenbacker is one of the City’s largest job centers. The expansion of the TIF area will help
finance infrastructure improvements necessary to facilitate future
developments. This expansion will
specifically contribute to finance future road, sewer and water infrastructure.
(Ordinance 2545-2020 and 2571-2020)
As part of the development agreement approved by Council in 2019, this
is the final TIF agreement to be modified to facilitate the Confluence Village
Mixed-Use Development and stadium near the western terminus of Nationwide
Boulevard and the Olentangy River.
Due to the modification of this TIF and the four Arena District TIFs
that were restructured in 2019, the City anticipates over $1 billion in new
real property investments in the Arena District area over the next ten years
with the development or redevelopment of at least ten other sites in the
broader Arena District. This will add approximately $768 million in new real
property investment that could create 750,000 square feet of new Class A
commercial office space in the City. The
addition of the new office space would accommodate more than 3,200 net new jobs
that would generate more than $6.5 million per year in new income tax revenue
to the City.
Since 1999, the Arena District has maximized more than $19 billion of
public and private investment to bring approximately 12,000 new jobs to the
area. The new agreements are expected to create more than 700 new full-time jobs
and add 150,000 square feet of new Class A commercial office space to the Arena
Furthermore, the additional commitment of at least 30% minority
participation in the construction of the stadium will continue to support small
minority contractors and entrepreneurship within the City and throughout the
TIF Agreement Summary
(Ordinance 2601-2020 and
• Developer supports the City's goal of at least 30% (in total value) of construction contracts to qualified minority and women-owned businesses.
• The Developer and Georgetown will donate the property necessary for a 200-unit affordable residential apartment building to a not for profit or other affordable housing development entity.
• Developer will make an annual cash payment to the City of $750,000 ($5,250,000 total), which this amount will not be reimbursable under the Reimbursement Agreement or any subsequent amendments and may be used by the City for any City community development purpose, such as affordable housing, neighborhood redevelopment, and rental assistance.
(Ordinance 2600-2020 and
commits to at least 30% (in total value) of construction contracts to qualified
minority and women-owned businesses.
commits to 20% of the subsequent apartments to be subject to the City’s
workforce housing restrictions on rent and income with 5% at 60% AMI, 5% at 80%
AMI and 10% at 100% AMI for up to 1,000 apartments.
will allocate $500,000 per year to the City from TIF proceeds to eligible
projects ($3,500,000 total) to be used for City community development purposes,
such as affordable housing, neighborhood redevelopment, and rental assistance.
2619-2020 and 2620-2020)
will invest in Class A mixed-use commercial and residential housing.
will commit to 20% affordable housing units in the Gilbert Building.
and pedestrian walkway will be developed and improved in and around the
Rickenbacker is one of the city’s largest jobs centers.
The expansion of the TIF agreement will help finance infrastructure for future
development within expansion areas. This will help finance future road,
sewer and water projects to facilitate future job creation opportunities.
Confluence Village Agreement
2545-2020 and 2571-2020)
This is the final TIF
modification as authorized by the Economic
Development Agreement and Amended and Restated TIF Reimbursement Agreement in 2019. It is a Non-
school TIF which means the schools will receive their full portion of property
tax revenue. As per the Development
Agreement the TIF revenue will be
assigned to the Confluence Village New Community Authority.