(City of Grand Island, Courtesy)
GRAND ISLAND – Grand Island’s City Council voted 7-1 to approve a redevelopment plan for an apartment complex north of Rae Road and west of Prairie View Street and 6-2 to approve a redevelopment plan for property north of Rae Road and west of Prairie View Street for a Feel Fit location.
City Council members Mike Paulick and Jason Conley were absent for the votes.
City Council member Doug Lanfear voted against the redevelopment plan for the apartment complex. City Council members Doug Brown and Lanfear voted against the redevelopment plan for the Feel Fit location.
Chad Nabity, Community Redevelopment director, said that Feel Fit wants to build a second location in Grand Island. The facility will cover 17,000 square feet.
The proposed project would begin in the summer of 2025 and is expected to be completed in 2026. The expected cost is $7,282,474. Developers are seeking Tax Increment Financing of $61,999 annually, which would be $929,989 in TIF money in 15 years.
Gerald Poels of Grand Island said, “In general, I oppose public subsidies of private projects.” He wondered if the city had a running total of how much in TIF funding it had approved to “see if we’re being overly generous with taxpayer money.”
Roger Bullington of Chief Industries said that the project would be located in the Prairie Commons development. He said that in two years, that area will have 1,200 employees.
City Council member Doug Lanfear said that “every dollar you give away is stuck on someone else.” He said it’s time that the City Council stop awarding TIF funds.
City Council member Chuck Haase said the City Council receives an annual report on TIF funding. Mayor Roger Steele noted that the city had kept its property tax asking flat for six years.
A second project involving TIF funding is Grand Prairie Apartments. Nabity said that construction for the project would begin in October 2025 and would be completed in 2027. Project cost is $47,164,702. The applicant is seeking $11,027,947 in Tax Increment Financing.
There would be 219 apartments located on eight acres.
Gerald Poels of Grand Island said that “these benefits are going to specific businesses. Funding is not being given to residents but to businesses.
City Council member Chuck Haase said there is a need for more apartments. Nabity said there is a 2.5 percent vacancy rate for apartments. A five percent to seven percent vacancy rate is a healthy range.
City Council President Jack Sheard said, “I don’t see a reason not to vote for this.”
Council member Mitch Nickerson said that that workforce housing is important. He noted that the project was ready to build, and the city needed the apartments.
