File #: 2022-5081    Name:
Type: Public Hearing - Legislative Status: Presented
File created: 7/26/2022 In control: City Council - Regular Session
On agenda: 8/9/2022 Final action: 8/9/2022
Title: Public Hearing: Lee’s Summit Industrial LCRA Redevelopment Plan; LS Industrial, LLC, applicant
Attachments: 1. Staff Memo, 2. Developer Presentation Slides, 3. LCRA Redevelopment Plan, 4. Exhibit List, 5. LCRA Resolution 2022-3, 6. LCRA Process Outline, 7. Developer Incentive Modeling, 8. Ordinance 7472 (prior blight finding), 9. Ordinance 9433 (Rezoning & PDP), 10. LCRA Lease Protections
Related files: 2022-4911, BILL NO. 22-153
Title
Public Hearing: Lee’s Summit Industrial LCRA Redevelopment Plan; LS Industrial, LLC, applicant

Body
Issue/Request:
This is a public hearing for the Lee’s Summit Industrial LCRA Redevelopment Plan, which would provide sales and use tax exemption on construction materials and long-term tax abatement for the proposed industrial development to be constructed by LS Industrial, LLC (the “Developer”). The proposed development is an approximately 595,000 square foot industrial project to be constructed in two buildings on approximately 50 acres of property located east of Highway 291 and south of Bailey Road. Developer is requesting sales and use tax exemption on construction materials and real property tax abatement through the Land Clearance for Redevelopment Authority Act. (This property was previously planned to be “The Grove” project by a prior developer.)

Key Issues:
Public hearing to consider the LCRA Redevelopment Plan for the LS Industrial Project.

Background:
On June 7, 2022, Developer made a conceptual incentive request to the City Council for the requested incentive package and received positive non-binding feedback form the Council.

On June 21, 2022, the City Council passed Ordinance No. 9433 which approved a rezoning from District PMIX to District PI, and a preliminary development plan for the proposed industrial project.

On July 20, 2022, the LCRA Plan was presented to the LCRA Board of Commissioners, and the Board then passed Resolution 2022-3 which recommended approval of the LCRA Plan.

A summary of the key data associated with Developer’s savings for the requested sales tax exemption on construction materials results is:



The abatement request as a portion of the total project budget is:

2.4% Sales Tax Exemption on Construction Materials
18% Real Property Tax Abatement / Public Improvements Assessment (net present value)
20.4% Total Requested Incentives

Public Improvements Assessment:
25% of the requested real property tax a...

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