The Coffee County Commission will hear a proposal from the Tullahoma Area Economic Development Corporation at its next meeting on Nov 18. The proposal will be for tax-increment financing (TIF) for proposed public improvements to Northgate Mall.
In addition to the proposed public improvements of up to $1.8 million, Northgate LLC plans to invest an additional $12-14 million in upgrades to the mall itself in an attempt to attract new, higher-end retailers.
According to the Tullahoma Area Economic Development Corporation, tax-increment financing is a way for counties and municipalities to attract retail and other types of development at minimal risk to the taxpayer and reduced cost to the developer at the same time.
The $1.8 million portion designated for government financing involves upgrades that benefit the public, such as paving, drainage improvements and landscaping. The remaining $12 million or so of improvements are designed to enhance the mall’s commercial appeal to attract more and better stores.
The final amounts to be financed by the city and county have not been completely worked out, but should come to roughly $750,000 to $800,000 each, if approved. (The Tullahoma News)
Northgate Mall Asking For The County’s Help
