Castle Rock Council Approves Town’s Largest Commercial Development Project
By Gabriel Circiog, Associate Editor
The Town Council of Castle Rock, Colorado has green-lighted a conceptual private-public financing package that would result in the largest single master planned commercial development ever constructed in Castle Rock.
The project, dubbed Promenade at Castle Rock, is proposed by Greenwood Village-based Alberta Development Partners LLC. The company proposes the acquisition of around 200 acres of undeveloped land located between Interstate 25 and U.S. Highway 85 in view of developing a commercial center of up to 900,000 square feet and up to 350 multifamily units, constructed in phases between 2014 and 2016.
Castle Rock Economic Development Council and Town staff have negotiated over the past months with Alberta to establish an economically feasible private-public financial partnership. According to the conceptual financial deal structure, the Town would commit to sharing 27.5 percent of sales tax revenues for up to 25 years; would issue $5.2 million in development fee reimbursements and/or infrastructure assistance; and would cap water-related development fees. The Metro District would contribute with an additional Public Improvement Fee of up to 0.50 percent and 40 million property tax levy for debt service. Alberta’s development costs are estimated at more than $160 million. The Town is expecting to receive over $4 million annually by 2017 in net new sales tax revenues. Other local taxing entities would also benefit from the project with Douglas County to receive by 2018 annual property tax revenues of $600,000 and gross annual sales tax revenues of $2.5 million by 2017. Douglas County School District and Douglas County Libraries would also receive annual property tax revenues of $1.5 million and respectively, $120,000 by 2018.
With the green light from the council, Alberta can now go ahead with the negotiations with various stakeholders and present a final agreement before the Town Council on August 27.
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Map Courtesy of: www.crgov.com