HomeMy WebLinkAbout1981 10-07 Maplewood industrial revenue notes add up to big money THE REVIEW Maplewood industrial revenue
notes add up to big money o`e 1X,98,
By JONATHON CLYDE GLASS St., Maplewood; Gerald Mogren, 2855 notes in no way obligates the city
Staff Writer Frederick St.,Maplewood; and Robert secure the loans,according to Finan
Mogren,8738 Lake Jane Trail,Lake Elmo Director Daniel Faust. The notes c
The Maplewood City Council approved — won prelimnary approval of a $2 however,enable developers to get lc
two industrial revenue notes totalling million note to construct a 32,000 square interest loans and tax exempt finances
$2.65 million and scheduled hearings on toot retail and office center at 2950 White he explained.
two others worth$5.8 million at its Oct.1 Bear Avenue. While the city staff examine the
meeting. • The Gervais Avenue Associates plicants to see if their plans accord wit
The White Bear Avenue Associates— received final approval of a$650,000 note the city's eligibility guidelines,it relies o
owned by Richard Schreier,2125 DeSoto to cover the construction costs for a the banks and private lenders to closet
storage warehouse on Gervais Avenue scrutinize the financial feasibility of th
west of White Bear Avenue. proposed projects,City Manager Barr
The council scheduled a Nov.5 hearing Evans said. According to the criteria
on a request from JSB Realty and adopted by the council last October,tb
Development Co. of Illinois for a $5.5 city closely considers whether the
million note to build the Maple Ridge Mall proposed developments will require
at the intersection of Eleventh Avenue public expense for utility improvements
and White Bear Avenues.JSB expects to and whether the businesses will be
begin construction this fall and have the beneficial to the city's economy.
center completed next summer.The new
center is projected to create 100 full-time The availability of revenue notes could
and 50 part-time jobs in the city,and to be sharply curtailed soon. The federal
have annual sales between$10 and$12 government is considering restricting
million. them because they are tax exempt,thus
ALSO ON NOV. 5, the council will diminishing the funds the government can
consider a request from the Maplewood collect,according to Evans.With interest
Dental Specialties, 1812 North St.Paul rates hovering around 20 percent, the
Road, Maplewood, for an$800,000 note elimination of tax exempt financing will
enabling it to expand its offices. The certainly damage the ability of some
company expects the project to create developers to raise the money needed for
eight full-time and five part-time jobs, local construction,he added.
with an annual payroll of$190,000 and To date, the council has granted
annual sales of$780,000. The company preliminary approval for$33,742,000 in
hopes to begin construction in December revenue notes,and has given final ap-
and be completed next June. proval to$11,720,000 in such notes,ac-
The council's approval of such revenue cording to Faust.