Traverse City Record-Eagle

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Grand Traverse County

December 16, 2009

Proposed West End deck raises worries

BY Sheri McWhirter

TRAVERSE CITY -- A new $10 million public parking deck on West Front Street could sap local tax capture money, depending on the size, some city officials fear.

Traverse City commissioners discussed this week whether to build a public West End parking deck in conjunction with local developer Gerald Snowden's plans to construct a $14 million mixed-use building at the corner of Front and Pine streets. A deck could be built with as many as 450 spaces, but likely would use all the district's tax-increment financing dollars, leaving other projects short-changed.

That's a concern for city leaders, including Commissioner Ralph Soffredine.

"Why would we pull the rug from underneath those other projects?" he said.

A deck that size built with local tax-capture funds could mean nothing left over for Garland Street improvements, a bayfront overhaul and alley upgrades behind the 200-block of Front Street. A smaller deck with about 250 spaces could be built with tax-capture funds generated from Snowden's neighboring RiverWest development, a way to keep TIF funding in place for other projects.

Soffredine was among city commissioners who supported a 2006 city plan to spend up to $16 million to bond a parking deck on West Front Street as part of a proposed development by Federated Properties. Snowden created a stir by pitching a cheaper parking project across the street and down a block.

The Federated deck plan ultimately failed in 2006 when city voters shot it down.

Soffredine said his caution on spending TIF dollars for Snowden's parking idea shouldn't be considered retribution for the disruption of Federated's plan. It's a matter of learning from that experience and not sacrificing spending on other efforts for one big project, he said.

"I've learned you don't move fast. On this one, I'm moving slow and I want to see it done the way we did with the Old Town deck," Soffredine said. "I don't want to impact or stop what's going on on Garland or at the Open Space and other projects."

Snowden wants city officials to complete "due diligence" on the latest proposal through a design feasibility study and a property appraisal, already approved by the city's Downtown Development Authority.

Commissioners may consider the study and appraisal at their Dec. 21 meeting.

"I think we need this information to make an intelligent decision," said Commissioner Barbara Budros.

A development agreement with Snowden would come after the design feasibility study and appraisal if city leaders opt to embrace a new parking deck, said R. Ben Bifoss, city manager.

The city-owned deck would be separate from Snowden's RiverWest, where commercial office space, residential units, a small restaurant and cinema are planned.

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