BROWNFIELD REDEVELOPMENT AUTHORITY

Transcription

1 BROWNFIELD REDEVELOPMENT AUTHORITY Quality Services for a Quality Community MEMBERS William Mansfield, Chair Douglas Jester, Vice Chair Peter Dewan, Treasurer George Lahanas, Secretary Brad Ballein Lynsey Clayton Colin Cronin James Croom David Krause Eric Rosekrans Mayor Nathan Triplett Staff Liaison Lori Mullins (517) City of East Lansing DEPARTMENT OF PLANNING, BUILDING AND DEVELOPMENT 410 Abbot Road East Lansing, MI (517) AGENDA March 26, :00 p.m. (Immediately following DDA Board Meeting) Conference Room A 2 nd Floor 410 Abbot Road 1) Call To Order A) Roll Call B) Approval of Agenda C) Approval of Minutes i. February 26, 2015 (attachment) 2) Written Communications 3) Communications from Audience 4) Communications from Staff 5) Business Agenda A) Gateway Third Amendment to Brownfield Plan #4, 300 W. Grand River Avenue (attachment) 6) Adjournment City of East Lansing Brownfield Redevelopment Authority Agenda 3/26/2015 Page 1 of 1

2 BROWNFIELD REDEVELOPMENT AUTHORITY Quality Services for a Quality Community MEMBERS William Mansfield, Chair Douglas Jester, Vice Chair Peter Dewan, Treasurer George Lahanas, Secretary Brad Ballein Lynsey Clayton Colin Cronin James Croom David Krause Eric Rosekrans Mayor Nathan Triplett MEETING MINUTES February 26, :00 p.m. (immediately following DDA meeting) Conference Room A 2 nd Floor 410 Abbot Road Staff Liaison Lori Mullins (517) City of East Lansing DEPARTMENT OF PLANNING & COMMUNITY DEVELOPMENT 410 Abbot Road East Lansing, MI (517) Present: Absent: Staff Members Present: Guests: William Mansfield, Brad Ballein, David Krause, Peter Dewan, Eric Rosekrans, Colin Cronin, George Lahanas, Douglas Jester Lynsey Clayton, James Croom, Mayor Nathan Triplett Tim Dempsey, Lori Mullins, Heather Pope, Terri Soliday Ralph Monsma, Jim Anderson, Christine Root, Paul Eckhardt, Paul Schmitz 1) Call to Order The meeting was called to order at 1:31 p.m. A) Roll Call At the taking of the roll, Clayton, Croom, and Mayor Triplett were absent. B) Approval of Agenda Jester moved to approve the Agenda as written; Dewan seconded the motion. Vote: All yeas. Motion carried unanimously. C) Approval of Minutes i. January 22, 2015 Jester moved to approve the minutes for the January 22, 2015 Brownfield Redevelopment Authority meeting; Cronin seconded the motion. Vote: All yeas, motion carried unanimously. 2) Written Communications None. City of East Lansing Brownfield Redevelopment Authority Agenda 2/26/ Page 1 of 3

3 3) Communications from Audience Christine Root, 729 Sunset, asked why Building B belongs in the PDIG TIF Plan as the applicant asked that the site plans for Building A and Building B be handled separately. She asked if it is possible to get documentation of eligible expenses regarding acquisition costs, which are approximately $12 million. She said PDIG s parking in Building A is designed for the hotel users with the valet parking and lifts, and you can only pay for four hours at a time. The developer said the renters will use this parking. Ballein noted it would provide an extreme burden on municipal parking to not have that parking available. Root mentioned that the parking would not be included in the rent and thinks there will be additional pressure on municipal parking because some renters may not wish to pay the additional expense for using the valet parking. 4) Communications from Staff None. 5) Business Agenda A) Park District Investment Group Brownfield Plan #19 Mullins said the Brownfield Plan outlines the eligible expenses, which would include the water supply, sanitary and storm sewer, site preparation, utilities, streetscaping, roadway construction, demolition and abatement expenses, private parking, and also interest and Brownfield work plan expenses. The applicant is requesting reimbursement of $17 million of the $24 million over up to 25 years. She indicated both sites for Buildings A and B were deemed functionally obsolete, and there is contamination in the property between the buildings. No Brownfield reimbursement would happen unless the TIF is available in any given year. She noted this document will also be sent to the third party reviewer. Mullins said the financial review would include things related to the finances of the project; i.e. equity that the developer is putting in, in addition to the Brownfield Plan. Krause said the single most important thing to the survival of our City is having enough parking available for customers to come downtown. He asked if a parking space is included with each apartment. Schmitt said the parking plan is a la carte; there is at least one designated parking space for every unit. Not every resident may want to lease a space. He noted the Planning Commission approved this parking plan and there is enough to accommodate the hotel at its peak and patrons of the retail establishments. Mullins said there was a parking study done for the Park District. Jester suggested that the water and sewer pieces should be paid for from the Water and Sewer fund and asked if this is the financial plan we want reviewed. Ballein noted the vote for the sale of the Evergreen properties for parking did not pass, so they need to provide their own parking. Lahanas supported the water and sewer being paid for by the project so the TIF wouldn t be a burden on all East Lansing residents. Jester felt the water and sewer expenses should not be covered under the TIF. City of East Lansing Brownfield Redevelopment Authority Agenda 2/26/ Page 2 of 3

4 He said if the TIF is smaller, sooner or later there is a higher benefit for East Lansing taxpayers. Ballein noted that if we pay for the water and sewer infrastructure up front we would have to issue bonds. Ballein left at 1:55 p.m. Jester noted the State revenue sharing has been declining every year, as well as property tax values. He moved that the water and sewer infrastructure expenditures be taken out of the TIF plan and recommended that they be paid out of the Water and Sewer Fund. Krause felt this would put more of a burden on the residents. The motion failed for lack of a second. Jester left at 2 p.m. Dewan moved to forward Brownfield Plan #19 on for third party review; Cronin seconded the motion. Vote: All yeas 6 to 0. Motion carried unanimously. B) Park District Investment Group Development Agreement Rosekrans moved to forward the PDIG Development Agreement on in its present state; Cronin seconded the motion. Vote: All yeas 6 to 0. Motion carried unanimously. Cronin left at 2:02 p.m. C) Gateway Third Amendment to Brownfield Plan #4, 300 W. Grand River Avenue Rosekrans voted to recuse Cronin; Krause seconded the motion. Mullins clarified that we do not anticipate any action at this meeting. Krause moved to defer this item until their March meeting, Rosekrans seconded the motion. Vote: All yeas 5 to 0. Motion carried unanimously. 5) Adjournment There being no further business, Dewan moved to adjourn the meeting at 2:04 p.m.; Lahanas seconded the motion. Vote: All yeas. Motion carried unanimously. City of East Lansing Brownfield Redevelopment Authority Agenda 2/26/ Page 3 of 3

5 PLANNING, BUILDING AND DEVELOPMENT Quality Services for a Quality Community MEMORANDUM TO: FROM: CC: Brownfield Redevelopment Authority Board Lori Mullins, Community and Economic Development Administrator Tim Dempsey, Director of Planning, Building and Development City of East Lansing PLANNING, BUILDING & DEVELOPMENT 410 Abbot Road East Lansing, MI (517) DATE: March 20, 2015 SUBJECT: Third Amendment to Brownfield Plan #4 300 W. Grand River Attached is the draft Amended Brownfield Plan related the redevelopment of 300 W. Grand River Avenue. The previous (West Village) project at this site was approved for a 30 year 100 percent Brownfield TIF. The Developer completed their obligations related to the public improvements including substantial road and utility work as well as relocation of the Board of Water and Light Building and installation of a new playground in Valley Court Park. The townhouse portion of the West Village project was also completed, however the third phase of the West Village project was not built. The newly proposed project for this site would be an alternate third phase and could complete the project. The proposed amendment will not increase the duration of the capture. The site plan was previously recommended for approval by the Downtown Development Authority (DDA) Board. City Council will hold the public hearing on the site plan at their April 21 st meeting. The Brownfield Plan was on the February BRA agenda however because of the lengthy agenda discussion was deferred to your March meeting. The plan was also discussed at the DDA s Project and Infrastructure Committee meeting.

6 CITY OF EAST LANSING BROWNFIELD REDEVELOPMENT AUTHORITY THIRD AMENDMENT TO BROWNFIELD PLAN 4 February 20, 2015 FOR THE WEST VILLAGE REDEVELOPMENT PROJECT (FORMER GREYHOUND BUS STATION) Prepared on Behalf of: DTN Management Co W. Lake Lansing Rd., Suite C Lansing, Michigan Contact Person: Mr. Raji Uppal Telephone: (517) Prepared By: Warner Norcross & Judd LLP 900 Fifth Third Center 111 Lyon Street NW Grand Rapids, Michigan Contact Person: Jared T. Belka Telephone: (616)

7 TABLE OF CONTENTS I. INTRODUCTION AND PURPOSE....2 II. III. GENERAL DEFINITIONS AS USED IN THIS PLAN..3 WEST VILLAGE REDEVELOPMENT PROJECT (FORMER GREYHOUND BUS STATION)....3 SUBJECT PROPERTY PROJECT DESCRIPTION....4 BROWNFIELD PLAN ELEMENTS...5 A. Description of Costs to Be Paid for With Tax Increment Revenues and Summary of Eligible Activities...5 B. Estimate of Captured Taxable Value and Tax Increment Revenues...7 C. Method of Financing and Description of Advances by the Municipality...7 D. Maximum Amount of Note or Bonded Indebtedness E. Duration of Brownfield Plan...7 F. Estimated Impact of Tax Increment Financing on Revenues of Taxing Jurisdictions...7 G. Legal Description, Property Map and Personal Property H. Estimates of Residents and Displacement of Families I. Plan for Relocation of Displaced Persons...8 J. Provisions for Relocation Costs...8 K. Strategy for Compliance with Michigan s Relocation Assistance Law...8 L. Description of Proposed Use of Local Site Remediation Revolving Fund...8 M. Other Material that the Authority or Governing Body Considers Pertinent...8 APPENDICES Exhibit A Exhibit B Exhibit C Exhibit D Legal Description and Map of Eligible Property Proposed Site Development Plans and Map Affidavit of City Assessor Tax Capture Table i

8 PROJECT SUMMARY Project Name: Project Developer: West Village Redevelopment Phase III DTN Management Co. Project Location: The eligible properties are located at 308, 310, 324, and 346 W. Grand River Avenue as well as VAC Hillside Ct with respective tax ID numbers of: ; ; ; and, Types of Eligible Property: Eligible Activities: Functionally Obsolete and contiguous Baseline Environmental Assessment Activities, Demolition, Asbestos Abatement, Site Preparation, and Infrastructure Improvements Reimbursable Costs: $1,781,962 (includes 7% interest) for Phase I and II and $1,896,800 for Phase III Total Project Investment: $8.5 million for Phase III Years to Complete Payback: 21 years from date of this amendment Annual Tax Revenue Before Phase III (2015): $73,367 Annual Tax Revenue After Project: (2016/17): $128,282 Project Overview: Phase I and II of the project have already been completed. This Amendment relates to the new Phase III scope that includes construction of a new approximately 78,120 square foot four story mixed use building that will include approximately 7,800 square foot of first floor commercial retail space, approximately 39,800 square foot of residential space (approximately 39 units) and a subgrade multilevel parking structure with approximately 62 spaces. 1

9 I. INTRODUCTION AND PURPOSE The East Lansing City Council established the City of East Lansing (the City ) Brownfield Redevelopment Authority (the Authority ) and designated the boundaries of the Brownfield Authority by adoption of a resolution on August 15, 2000, pursuant to the Brownfield Redevelopment Financing Act, Michigan Public Act (PA) 381 of 1996, as amended. The resolution was filed with the Michigan Department of State, Office of the Great Seal, on August 21, The primary purpose of this Second Amendment to Revised Brownfield Plan 4 of the Brownfield Plan ( Plan ) is to address the following changes to the project for Phase III: Redefine the scope of Phase III of the project to remove the hotel and include construction of a new multistory mixed-use building that would include first floor retail space, approximately 39 residential apartments and a subgrade multilevel parking deck. Revise the eligible activities that correspond with the proposed investment for Phase III of the project. Identify the new developer who will be completing the revised Phase III portion of the project. Inclusion of property within this Plan will facilitate financing of environmental response and other eligible activities at eligible properties, and will also provide tax incentives to eligible taxpayers willing to invest in revitalization of eligible sites, commonly referred to as Brownfields. By facilitating redevelopment of Brownfield properties, this Plan is intended to promote economic growth for the benefit of the residents of the City and all taxing units located within and benefited by the Authority. The identification or designation of a developer or proposed use for the eligible property that is subject to this Plan shall not be integral to the effectiveness or validity of this Plan. This Plan is intended to apply to the eligible property identified in this Plan and, if tax increment revenues are proposed to be captured from that eligible property, to identify and authorize the eligible activities to be funded by such tax increment revenues. Any change in the proposed developer or proposed use of the eligible property shall not necessitate an amendment to this Plan, affect the application of this Plan to the eligible property, or impair the rights available to the Authority under this Plan. This Plan is intended to be a living document which may be modified or amended as necessary to achieve the purposes of Act 381. The applicable sections of Act 381 are noted throughout the Plan for reference purposes. This Brownfield Plan contains information required by Section 13(1) of Act 381. This Brownfield Plan consists of three (3) phases on separate, but contiguous, properties: Phase I and II (completed) Included the redevelopment of the subject property which included activities associated with Phase I and II consisting of the construction of 2

10 approximately 19,455 sft (square feet) of condominium space located in 15 row style 2.5 story condominiums. Phase I and II included significant public infrastructure work to ready the entire site and area for all project phases, including water/sewer improvements, road improvements, sidewalks, curb and gutter and relocation of the utility substation. Phase III (to be completed) Phase III of the project previously included the construction of an approximately 83,000 sft five story hotel and/or mixed use building. The revised Phase III will now include construction of an approximately 78,120 square foot four story mixed use building that will include approximately 7,800 square foot of first floor commercial retail space, approximately 39,800 square foot of residential space (approximately 39 units) and a subgrade multilevel parking structure with approximately 62 spaces. Total projected capital investment for this revised Phase III will be approximately $8.5 million. II. GENERAL DEFINITIONS AS USED IN THIS PLAN Terms used in this Brownfield Plan are defined as provided in the following statutes, as appropriate: The Brownfield Redevelopment Financing Act, 1996 Mich. Pub. Acts. 381, M.C.L et seq., as amended. III. WEST VILLAGE REDEVELOPMENT PROJECT (FORMER GREYHOUND BUS STATION) SUBJECT PROPERTY The subject property consists of four (4) legal parcels. The addresses included: 308, 310, 324, and 346 W. Grand River Avenue as well as VAC Hillside Ct with respective tax ID numbers of: ; ; ; and, The parcel numbers and legal descriptions are included in Exhibit A. The parcels and all new tangible personal property located thereon will comprise the eligible property and is referred to herein as the Property. The parcels included in this Plan are considered eligible property as defined by Section 2 of Act 381 because (a) it is located within the City of East Lansing, a Qualified Local Government Unit; and (b) the Property is determined to be either functionally obsolete or adjacent or contiguous to a parcel that is functionally obsolete, as further described below. Phases I and II (completed) Residential Property The property located at 324 and 346 West Grand River Avenue historically contained two (2) residential dwellings. Both were identified by the City as rental properties with a combined occupancy of 14. Both dwellings were built in This property is contiguous to the functionally obsolete former Greyhound Bus Station property (310 W. Grand River) described below. According to Section 2(m) of Act 381, eligible property also includes parcels 3

11 that are adjacent or contiguous to [eligible parcels] if the development of the adjacent and contiguous parcels is estimated to increase the captured taxable value of that property. The development will tie all legal parcels together, and increase the taxable values of each significantly. Therefore, the residential properties were deemed eligible property. Board of Water and Light Site The property that was occupied by the Board of Water and Light is contiguous to both the former residential properties and the former Greyhound Bus Station. According to Section 2(m) of Act 381, eligible property also includes parcels that are adjacent or contiguous to [eligible parcels] if the development of the adjacent and contiguous parcels is estimated to increase the captured taxable value of that property. The development will tie all legal parcels together, and increase the taxable values of each significantly. Therefore, the Board of Water and Light property was deemed eligible property. Phase III Former Greyhound Bus Station The property located at 310 West Grand River Avenue was historically occupied by the Greyhound Bus Station. At the time of original adoption of the Plan, the property was deemed functionally obsolete, as defined by Act 381. For assessment and documentation purposes, the property was inspected by City of East Lansing Assessor (Level Four), Mr. Robert E. Johnson, and deemed functionally obsolete. A notarized affidavit dated June 2, 2004 with information attesting to this conclusion is provided in Exhibit C. Former Sunrise Café The property located at 308 West Grand River Avenue was historically occupied by the Sunrise Café and is contiguous to the former Greyhound Bus Station. According to Section 2(m) of Act 381, eligible property also includes parcels that are adjacent or contiguous to [eligible parcels] if the development of the adjacent and contiguous parcels is estimated to increase the captured taxable value of that property. The development will tie all legal parcels together, and increase the taxable values of each significantly. Therefore, the Sunrise Café property can be considered eligible property. PROJECT DESCRIPTION The original project developer was Holiday Townhouse, LLC, who submitted the previous Plan revisions to the Plan in 2006 and Holiday Townhouse, LLC had financial problems related to the economic downturn during 2008 and 2009 and the project was taken over by API Hotel at West Village, LLC in 2010 for the completion of the previously proposed Phase III. Phases I and II of the project involved the demolition of all existing building and parking areas, and the new construction of approximately 19,455 square feet (sft) of condominium space located in 15 row style 2.5-story condos constructed in two Phases along Grand River Avenue (Phase I) and Hillcrest Avenue (Phase II). This work was completed by Holiday Townhouse, LLC. Phase III of the previously proposed project contemplated construction of a 4-story, 4

12 approximately 23,472 sft mixed use condo/office/retail building. However, due to economic conditions Phase III of the development was not completed and API Hotel at West Village, LLC proposed a different Phase III scope that was to consist of the construction of an approximately 83,000 sf 5-story hotel and/or mixed use building. Phase III of the previous development also included construction of a one (1) level underground parking facility to accommodate the new use. Phase III of the revised Plan did not take place and a new developer, DTN Management Co. ( DTN ), will partner with the previous developer to construct a new Phase III scope that will include construction of an approximately 78,200 square foot four story mixed use building that will include approximately 7,800 square foot of first floor commercial retail space, approximately 39,800 square foot of residential space (approximately 39 units) and a subgrade multilevel parking structure with approximately 62 spaces ( New Phase III ). Total Capital investment for New Phase III is approximately $8.5 million. Exhibit B includes maps of the locations of Phases I through New Phase III of the development. The portion of the property slated for the New Phase III is located in East Lansing s Downtown Development Authority District. BROWNFIELD PLAN ELEMENTS A. Description of Costs to Be Paid for With Tax Increment Revenues and Summary of Eligible Activities Tax increment revenues will be used to reimburse for eligible activities (as defined by Section 2 of Act 381) as permitted under the Brownfield Redevelopment Financing Act that includes: site assessment, demolition, asbestos abatement, site preparation, and public infrastructure improvements which directly benefit the eligible property. The tax increment revenues from Phase I and II will initially be used to reimburse API Hotel at West Village, LLC for the eligible activities associated with the first two phases. Tax increment revenues generated from Phase III will be used to reimburse DTN for their eligible activities associated with the New Phase III project. Following completion of reimbursement of the Phase III eligible activities, the tax increment revenues from Phase III may be used to reimburse any remaining unpaid eligible activities for Phase I and II and vice versa. The following is a summary of the eligible activities that are intended to be reimbursed through tax increment financing generated from the project. The Authority is not responsible for any cost of eligible activities and will incur no debt. Phases I and II Eligible Activities Eligible Activity Approved Budget Actual Cost 1. Baseline Environmental Assessment Activities $10,700 $10, Demolition $96,881 $79, Asbestos Abatement $31,208 $30, Site Preparation $721,096 $721, Infrastructure Improvements $1,667,451 $217,851 5

13 6. Brownfield Plan/Work Plan Preparation and Development $7,000 $7, Interest (7%) $762,049 $446, Contingency $379,100 $268,817 Total Eligible Activities for Phase I&II $3,675,485 $1,781,962 Eligible Activities for Phase I and II have been completed and include the following: - Baseline Environmental Assessment Activities - Demolition - Asbestos Abatement - Site Preparation - Infrastructure Improvements - Brownfield Plan and Work Plan Preparation and Development The total approved eligible activities for Phase I and II were $1,335,795, plus 7% interest capped of $446,166. Phase III Eligible Activities Eligible Activity Cost 1. Demolition $20, Site Preparation $224, Infrastructure Improvements $1,632, Brownfield Plan/Work Plan Preparation and Development $20,000 Total Eligible Activities for Phase III $1,896, Demolition. Site demolition will take place related to existing streetscape improvements that will need to be removed prior to commencing vertical construction. 2. Site Preparation. Site preparation costs include construction staking, geotechnical engineering, temporary facility and temporary traffic control/barricades. 3. Infrastructure Improvements. Infrastructure improvements will be made in connection with the New Phase III project, including construction of a subgrade multilevel private parking deck. The cost includes cost associated with hard construction of the parking ramp and related professional fees (i.e. A&E) associated with the eligible activity. 4. Brownfield Plan Amendment/Work Plan Preparation and Development. Costs incurred to prepare and develop this brownfield plan amendment and proposed work plan, as required per Act 381 of 1996, as amended. Reasonable administrative costs incurred by the Authority during the administration of this Plan. All activities are intended to be eligible activities under Act 381 as amended. The total cost of eligible activities that are subject to payment or reimbursement from tax increment financing revenues will not exceed $1,781,961.53, inclusive of interest at 7% for Phase I and II and 6

14 $1,896,800 for Phase III. B. Estimate of Captured Taxable Value and Tax Increment Revenues The schedule provided in Exhibit D includes estimates of the real property tax capture based on the projected taxable value increases. It is the intention of the Authority to collect only so much tax increment as is required to pay all obligations of the Authority as incurred and approved pursuant to this Plan. C. Method of Financing and Description of Advances by the Municipality No advances will be made by the City or the Authority for the costs of eligible activities under this Plan. D. Maximum Amount of Note or Bonded Indebtedness Neither the City nor its Authority will incur a financial note or bonded indebtedness for this project. E. Duration of Brownfield Plan The duration of the Plan for the Project is 30 years which began in Phase I and II of the project have been completed and it is estimated that redevelopment of the final New Phase III will be completed by 2016/2017 and that capture for Phase III will go for a total of 21 years to recapture for reimbursement of the eligible activities through tax increment revenues. Therefore, the first year of tax increment capture began in 2007 and the Plan will remain in place until the developers are fully reimbursed and the Authority has completed capture for the revolving fund capture, if applicable, subject to the maximum duration provided for in (MCL (22)). F. Estimated Impact of Tax Increment Financing on Revenues of Taxing Jurisdictions See attached Exhibit D. G. Legal Description, Property Map, Statement of Qualifying Characteristics and Personal Property The legal description of the property included in this Plan is attached in Exhibit A. The statement of functional obsolescence by the City s Level IV Assessor is included in Exhibit C. Exhibit C includes a map of the Project location and a map showing the locations of Phases I through III of the development. H. Estimates of Residents and Displacement of Families Phase III is a vacant site and this section is not applicable. 7

15 I. Plan for Relocation of Displaced Persons Phase III is a vacant site and this section is not applicable. J. Provisions for Relocation Costs Phase III is a vacant site and this section is not applicable. K. Strategy for Compliance with Michigan s Relocation Assistance Law Phase III is a vacant site and this section is not applicable. L. Description of Proposed Use of Local Site Remediation Revolving Fund No funds from the Local Site Remediation Revolving Fund shall be used to finance the costs of eligible activities under this Plan. M. Other Material that the Authority or Governing Body Considers Pertinent None. 8

16 EXHIBIT A Legal Description and Map of Eligible Property Parcel(s)

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18 EXHIBIT B Proposed Site Development Plans and Maps

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26 EXHIBIT C Affidavit of City Assessor

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28 EXHIBIT D Tax Capture Table

29 2:06 PM2/20/ E. Grand River Redevelopment Project TIF Schedule Base Townhomes TV (2006) $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 Base Commercial TV (2006) $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 Residential TV after Improvement (2) $216,420 $699,890 $1,624,820 $1,686,282 $1,559,900 $1,519,700 $1,562,200 $1,585,633 $1,609,417 $1,633,559 $1,658,062 $1,682,933 $1,708,177 $1,733,800 $1,759,807 Commercial - New Development TV after Improvement $185,280 $215,100 $215,100 $207,900 $211,430 $217,130 $222,340 $225,890 $229,278 $952,500 $966,788 $981,289 $996,009 $1,010,949 $1,026,113 Total Townhomes Incremental TV (2) $14,330 $497,800 $1,422,730 $1,484,192 $1,357,810 $1,317,610 $1,360,110 $1,383,543 $1,407,327 $1,431,469 $1,455,972 $1,480,843 $1,506,087 $1,531,710 $1,557,717 Total Commercial Incremental TV $0 $29,820 $29,820 $22,620 $26,150 $31,850 $37,060 $40,610 $43,998 $767,220 $781,508 $796,009 $810,729 $825,669 $840,833 SET ELPS Operating Ingham Co Winter CATA City Operating City Solid Waste City Library Lan Comm College Ingham Co Summer ELPS B&S IISD Operating IISD Special Ed IISD Voc Ed TOTAL MILLAGE Yearly Incremental Tax Residential Total Local Taxes $559 $21,291 $58,629 $61,673 $57,625 $58,671 $62,165 $63,097 $64,043 $65,004 $65,979 $66,969 $67,973 $68,993 $70,028 Total State Taxes $344 $11,542 $19,048 $14,276 $14,391 $8,670 $9,050 $9,186 $9,324 $9,463 $9,605 $9,750 $9,896 $10,044 $10,195 Commercial SET $0 $0 $0 $0 $0 $0 $0 $0 $0 $4,603 $4,689 $4,776 $4,864 $4,954 $5,045 ELPS Operating $0 $0 $0 $0 $0 $0 $0 $0 $0 $13,810 $14,067 $14,328 $14,593 $14,862 $15,135 Ingham Co Winter $0 $0 $0 $0 $0 $0 $0 $0 $0 $3,308 $3,370 $3,432 $3,496 $3,560 $3,626 CATA $0 $0 $0 $0 $0 $0 $0 $0 $0 $2,307 $2,350 $2,394 $2,438 $2,483 $2,528 City Operating $0 $0 $0 $0 $0 $0 $0 $0 $0 $13,495 $13,746 $14,001 $14,260 $14,523 $14,789 City Solid Waste $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,356 $1,382 $1,407 $1,433 $1,460 $1,487 City Library $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,534 $1,563 $1,592 $1,621 $1,651 $1,682 Lan Comm College $0 $0 $0 $0 $0 $0 $0 $0 $0 $2,921 $2,975 $3,031 $3,087 $3,143 $3,201 Ingham Co Summer $0 $0 $0 $0 $0 $0 $0 $0 $0 $4,898 $4,989 $5,082 $5,176 $5,271 $5,368 ELPS B&S $0 $0 $0 $0 $0 $0 $0 $0 $0 $987 $1,005 $1,024 $1,043 $1,062 $1,081 IISD Operating $0 $0 $0 $0 $0 $0 $0 $0 $0 $145 $148 $151 $154 $156 $159 IISD Special Ed $0 $0 $0 $0 $0 $0 $0 $0 $0 $3,457 $3,522 $3,587 $3,653 $3,721 $3,789 IISD Voc Ed $0 $0 $0 $0 $0 $0 $0 $0 $0 $992 $1,010 $1,029 $1,048 $1,067 $1,087 Total Local Taxes $0 $0 $0 $0 $0 $0 $0 $0 $0 $35,401 $36,060 $36,729 $37,408 $38,098 $38,797 Total State Taxes $0 $0 $0 $0 $0 $0 $0 $0 $0 $18,413 $18,756 $19,104 $19,457 $19,816 $20,180 Total Yearly Taxes $903 $32,833 $77,677 $75,949 $72,016 $67,341 $71,215 $72,283 $73,367 $128,282 $130,401 $132,552 $134,735 $136,951 $139,200 Administrative Fee ($15k/year) $484 $15,000 $15,000 $14,581 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 Local Funded Eligible Activity Reimbursement $0 $6,262 $35,399 $41,456 $120 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Holiday Townhouse Eligible Activities (includes 7% interest) $1,781,962 $1,781,542 $1,769,971 $1,742,694 $1,722,782 $1,665,886 $1,613,544 $1,557,330 $1,500,047 $1,441,680 $1,374,712 $1,306,627 $1,237,409 $1,167,040 $1,095,503 Local Taxes $75 $30 $8,230 $5,636 $42,505 $43,671 $47,165 $48,097 $49,043 $57,504 $58,479 $59,469 $60,473 $61,493 $62,528 State Taxes $344 $11,542 $19,048 $14,276 $14,391 $8,670 $9,050 $9,186 $9,324 $9,463 $9,605 $9,750 $9,896 $10,044 $10,195 Developer Eligible Activity Balance $1,781,542 $1,769,971 $1,742,694 $1,722,782 $1,665,886 $1,613,544 $1,557,330 $1,500,047 $1,441,680 $1,374,712 $1,306,627 $1,237,409 $1,167,040 $1,095,503 $1,022,780 DTN Eligible Activities $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,896,800 $1,850,486 $1,803,170 $1,754,836 $1,705,470 $1,655,056 Local Taxes $0 $0 $0 $0 $0 $0 $0 $0 $0 $27,901 $28,560 $29,229 $29,908 $30,598 $31,297 State Taxes $0 $0 $0 $0 $0 $0 $0 $0 $0 $18,413 $18,756 $19,104 $19,457 $19,816 $20,180 Developer Eligible Activity Balance $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,850,486 $1,803,170 $1,754,836 $1,705,470 $1,655,056 $1,603,579 (1) Assumes new TV of $952,500 in 2016 as a result of proposed project (2) Assumes millage rate remains the same and 1.5% annual inflation

30 2:06 PM2/20/ E. Grand River Redevelopment Project TIF Schedule Real Property Improvements (1) Base Townhomes TV (2006) Base Commercial TV (2006) Residential TV after Improvement (2) Commercial - New Development TV after Improvement Total Townhomes Incremental TV (2) Total Commercial Incremental TV $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $202,090 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $185,280 $1,786,204 $1,812,997 $1,840,192 $1,867,795 $1,895,812 $1,924,249 $1,953,113 $1,982,409 $2,012,145 $2,042,328 $2,072,962 $2,104,057 $2,135,618 $2,167,652 $2,200,167 $1,041,505 $1,057,127 $1,072,984 $1,089,079 $1,105,415 $1,121,996 $1,138,826 $1,155,909 $1,173,247 $1,190,846 $1,208,709 $1,226,839 $1,245,242 $1,263,921 $1,282,879 $1,584,114 $1,610,907 $1,638,102 $1,665,705 $1,693,722 $1,722,159 $1,751,023 $1,780,319 $1,810,055 $1,840,238 $1,870,872 $1,901,967 $1,933,528 $1,965,562 $1,998,077 $856,225 $871,847 $887,704 $903,799 $920,135 $936,716 $953,546 $970,629 $987,967 $1,005,566 $1,023,429 $1,041,559 $1,059,962 $1,078,641 $1,097,599 Millages (2) SET ELPS Operating Ingham Co Winter CATA City Operating City Solid Waste City Library Lan Comm College Ingham Co Summer ELPS B&S IISD Operating IISD Special Ed IISD Voc Ed TOTAL MILLAGE Yearly Incremental Tax Residential Total Local Taxes Total State Taxes Commercial SET ELPS Operating Ingham Co Winter CATA City Operating City Solid Waste City Library Lan Comm College Ingham Co Summer ELPS B&S IISD Operating IISD Special Ed IISD Voc Ed Total Local Taxes Total State Taxes Total Yearly Taxes Administrative Fee ($15k/year) Local Funded Eligible Activity Reimbursement Holiday Townhouse Eligible Activities (includes 7% interest) Local Taxes State Taxes Developer Eligible Activity Balance $71,078 $72,145 $73,227 $74,325 $75,440 $76,572 $77,720 $78,886 $80,069 $81,270 $82,489 $83,727 $84,983 $86,257 $87,551 $10,348 $10,503 $10,661 $10,820 $10,983 $11,148 $11,315 $11,484 $11,657 $11,832 $12,009 $12,189 $12,372 $12,558 $12,746 $5,137 $5,231 $5,326 $5,423 $5,521 $5,620 $5,721 $5,824 $5,928 $6,033 $6,141 $6,249 $6,360 $6,472 $6,586 $15,412 $15,693 $15,979 $16,268 $16,562 $16,861 $17,164 $17,471 $17,783 $18,100 $18,422 $18,748 $19,079 $19,416 $19,757 $3,692 $3,759 $3,828 $3,897 $3,968 $4,039 $4,112 $4,185 $4,260 $4,336 $4,413 $4,491 $4,571 $4,651 $4,733 $2,575 $2,622 $2,669 $2,718 $2,767 $2,817 $2,867 $2,919 $2,971 $3,024 $3,077 $3,132 $3,187 $3,243 $3,300 $15,060 $15,335 $15,614 $15,897 $16,184 $16,476 $16,772 $17,072 $17,377 $17,687 $18,001 $18,320 $18,644 $18,972 $19,306 $1,514 $1,541 $1,569 $1,598 $1,627 $1,656 $1,686 $1,716 $1,747 $1,778 $1,809 $1,841 $1,874 $1,907 $1,941 $1,712 $1,744 $1,775 $1,808 $1,840 $1,873 $1,907 $1,941 $1,976 $2,011 $2,047 $2,083 $2,120 $2,157 $2,195 $3,260 $3,319 $3,380 $3,441 $3,503 $3,566 $3,630 $3,695 $3,761 $3,828 $3,896 $3,965 $4,035 $4,107 $4,179 $5,466 $5,566 $5,667 $5,770 $5,874 $5,980 $6,088 $6,197 $6,307 $6,420 $6,534 $6,650 $6,767 $6,886 $7,007 $1,101 $1,121 $1,142 $1,162 $1,183 $1,205 $1,226 $1,248 $1,271 $1,293 $1,316 $1,339 $1,363 $1,387 $1,412 $162 $165 $168 $171 $174 $177 $181 $184 $187 $190 $194 $197 $201 $204 $208 $3,858 $3,929 $4,000 $4,073 $4,146 $4,221 $4,297 $4,374 $4,452 $4,531 $4,612 $4,693 $4,776 $4,861 $4,946 $1,107 $1,127 $1,147 $1,168 $1,189 $1,211 $1,232 $1,255 $1,277 $1,300 $1,323 $1,346 $1,370 $1,394 $1,419 $39,508 $40,229 $40,960 $41,703 $42,457 $43,222 $43,998 $44,786 $45,586 $46,399 $47,223 $48,059 $48,908 $49,770 $50,645 $20,549 $20,924 $21,305 $21,691 $22,083 $22,481 $22,885 $23,295 $23,711 $24,134 $24,562 $24,997 $25,439 $25,887 $26,342 $141,483 $143,800 $146,152 $148,540 $150,963 $153,422 $155,918 $158,452 $161,024 $163,634 $166,283 $168,973 $171,702 $174,473 $177,285 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,022,780 $948,854 $873,706 $797,319 $719,673 $640,751 $560,532 $478,997 $396,126 $311,900 $226,299 $139,300 $50,884 $0 $0 $63,578 $64,645 $65,727 $66,825 $67,940 $69,072 $70,220 $71,386 $72,569 $73,770 $74,989 $76,227 $43,761 $0 $0 $1,485,107 Total Local $10,348 $10,503 $10,661 $10,820 $10,983 $11,148 $11,315 $11,484 $11,657 $11,832 $12,009 $12,189 $7,124 $0 $0 $296,855 Total State $948,854 $873,706 $797,319 $719,673 $640,751 $560,532 $478,997 $396,126 $311,900 $226,299 $139,300 $50,884 $0 $0 $0 DTN Eligible Activities Local Taxes State Taxes Developer Eligible Activity Balance (1) Assumes new TV of $952,500 in 2016 as a result of proposed project (2) Assumes millage rate remains the same and 1.5% annual inflation $1,603,579 $1,551,022 $1,497,369 $1,442,604 $1,386,710 $1,329,670 $1,271,467 $1,212,084 $1,151,502 $1,089,705 $1,026,673 $962,388 $896,831 $829,983 $761,826 $32,008 $32,729 $33,460 $34,203 $34,957 $35,722 $36,498 $37,286 $38,086 $38,899 $39,723 $40,559 $41,408 $42,270 $43,145 $738,447 Total Local $20,549 $20,924 $21,305 $21,691 $22,083 $22,481 $22,885 $23,295 $23,711 $24,134 $24,562 $24,997 $25,439 $25,887 $26,342 $466,015 Total State $1,551,022 $1,497,369 $1,442,604 $1,386,710 $1,329,670 $1,271,467 $1,212,084 $1,151,502 $1,089,705 $1,026,673 $962,388 $896,831 $829,983 $761,826 $692,338

31 Brownfield Redevelopment Authority Board Member Attendance Term Mar April May August Sept. Oct. Nov Jan Feb TOTAL Expires ABSENT James Croom 6/30/17 V V AB AB 2 Brad Ballein 6/30/18 0 Colin Cronin 6/30/18 AB AB 2 Peter Dewan 6/30/17 0 Douglas Jester 6/30/18 AB AB 2 David Krause 6/30/16 0 William Mansfield 6/30/16 AB 1 Lynsey Clayton 6/30/16 AB 1 Eric Rosekrans 6/30/16 AB 1 George Lahanas 0 Mayor Triplett, Council Liaison AB AB AB AB Number Present Number Absent Vacant: Absent: V AB