The recent editorial by Bob Ellis was correct in stating that The Landing needs to be upgraded. Making these improvements does not mean that we have to tap into the bonding authority of the city's banking fund to the tune of $11.8 million.
The Landing is currently valued just over $5 million. It is also in a Community Redevelopment Area making it eligible for a little known financial tool called the REV Bond. Because of The Landing' s Downtown location, up to 95 percent any new tax revenue generated can be used to issue bonds for public improvements.
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If Tony Sleiman's improvements to The Landing add $60 million in tax value, then after expenses, underwriting and brokers' fees this would provide up to $10.5 million for public improvements. If the cost of demolition is paid for by the developer, any REV Bonds issued could easily cover the $8.6 million in actual public improvements. These bonds are funded with revenues that are created within a Community Redevelopment Area and cannot go into the city's general fund. The property owner is indirectly paying for the public improvements with the higher tax base. The new residents, commercial and/or retail tenants are actually paying for the public improvements. The cost does not impact anyone who does not live at or lease space at The Landing.
The Mayor's office would do well to review the financial tools it has available for Downtown redevelopment and to use them in a way that benefits the public and the developer.