Redevelopment of south Fargo Kmart site takes another step
FARGO, N.D. (KVRR/KFGO) – The Fargo Tax Exempt Review Committee is recommending the City Commission approve the renewal plan and developer agreement for tax increment financing for a portion of the proposed redevelopment of the vacant Kmart site on University Drive.
The $1.45 million tax break sought by Enclave Development is needed for the plan to proceed according to the city’s financial advisor. It requires the demolition of the Kmart, closed since 2019 can begin on commercial development including retail and restaurants on the eastern portion of the site and housing for lower-income seniors on the western side. The redevelopment project cost is $35 million.
Enclave’s CEO, Austin Morris says the project has been about 18 months in the making. He says the property is blighted and his company has already been receiving “robust demand” for the project. He says University Drive doesn’t have any vacant options so there are a lot of opportunities to add neighborhood retail business.
City Commissioner Dave Piepkorn, who sits on the tax-exempt review committee, says there’s a shortage of low-income senior citizen housing and calls the plan a great addition.
The City Commission and Cass County Commission approved PILOT tax breaks in September for the construction of the 92-unit senior apartments, a project of nonprofit Beyond Shelter Inc.
City Commissioners are expected to take up the “TIF” request at the December 27th meeting.