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Home My WebLink About6A (1)6 A 0� RESOLUTION NO. 3019 A RESOLUTION APPROVING AN APPLICATION FOR REAL PROPERTY TAX DEDUCTION WHEREAS, I.C. 6- 1.1- 12.1 -2(1) provides that an application for property tax deduction may not be approved when the property is located in an allocation area as defined in I.C. 36- 7- 14 -39, unless the Redevelopment Commission which designated that allocation area adopts a resolution approving that application; and WHEREAS, the South Bend Common Council has received a petition for (3) three to (5) five years of real property tax abatement consideration from The Tire Rack, Inc., for real property located at 7101 Vorden Parkway in the Airport Economic Development Area, the legal description of which is attached hereto, marked Exhibit "A" and incorporated herein; and WHEREAS, this Commission declared the Airport Economic Development Area by Resolution No. 919, adopted February 23, 1990, and in the same resolution declared the Airport Economic Development Allocation Area, Allocation Area No. 1; and WHEREAS, the property located at 7101 Vorden Parkway is located within the Airport Economic Development Allocation Area, Allocation Area No. 1. NOW, THEREFORE, BE IT RESOLVED by the South Bend Redevelopment Commission as follows: 1) The Commission finds that the application from The Tire Rack, Inc. for (3) three to (5) five years of real property tax abatement consideration for property located at 7101 Vorden Parkway in the Airport Economic Development Allocation Area, Allocation Area No. 1, should be and is hereby approved. 2) That a copy of this resolution be forwarded to the South Bend Common Council to indicate the Commission's approval of the petition for real property tax abatement for The Tire Rack, Inc. Approved this 10`" day of April, 2012, at the regularly scheduled meeting of the South Bend Redevelopment Commission. SOUTH BEND REDEVELOPMENT COMMISSION ATTEST: EXHIBIT A LEGAL DESCRIPTION Description: Lot 1 B W Business Park Major Sub 02 -03 New Replat 401 3 -16 -01 Tax Key No.: 025 -1011- 018604 Address: 7101 Vorden Parkway South Bend, 1N 46628 I200 COUNTY -CITY BUILDING 22'7 W. JEFFERSON BOULEVARD SOUTH BEND, INDIANA 466oi -1830 PHONE 574/ 23 5-9371 FAX 574/ 235-9021 CITY OF SOUTH BEND PETE BUTTIGIEG, MAYOR COMMUNITY & ECONOMIC DEVELOPMENT TAX ABATEMENT REPORT TO: SOUTH BEND REDEVELOPMENT COMMISSION FROM: KATHY HAHN SUBJECT: REAL PROPERTY TAX ABATEMENT PETITION FOR: THE TIRE RACK, INC. DATE: April 4, 2012 On April 4, 2012, a petition for real property tax abatement consideration for property located at 7101 Vorden Parkway was filed with the City Clerk by The Tire Rack, Inc. Pursuant to Chapter 2, Article 6, Section 2 -84.2 of the Municipal Code of the City of South Bend, this petition was referred to the Department of Community and Economic Development for purposes of investigation and preparation of a report determining whether the area qualifies as an Economic Revitalization Area pursuant to I.C.6 -1.1 -12.1 and whether all zoning requirements have been met. The Department of Community and Economic Development has reviewed the petition, investigated the area, and makes the following report. PROJECT SUMMARY The Tire Rack, Inc. is a mail order and e- commerce firm engaged in the business of selling performance tires, wheels, and accessories for passenger automobiles and light duty trucks. The petitioner would like to construct a 36,000 square foot building which will enable the expansion of Technological Resources and assets to further the growth and development of their e- commerce Product Distribution business. The estimated dollar value of the project, excluding land, is $6,500,000. Information about the construction contractors is not yet known but will be available prior to the date set for granting the confirming resolution. The company will qualify for a three to five year real property abatement. Total taxes to be abated during a (5) five -year abatement period are estimated at $496,345. Total taxes to be aLid during a (5) five -year abatement period are estimated at $471,939. Total taxes to be COMMUNITY DEVELOPMENT ECONOMIC DEVELOPMENT PAMELA C. MEYER DONALD E. INKS 574/235-966° 574/235-9371 FAX: 574/215-9469 South Bend Redevelopment Commission RE: Tax Abatement for The Tire Rack, Inc. April 4, 2012 Page 2 abated during a (4) four year abatement are estimated at $419,798. Total taxes to be paid during a (4) four year abatement are estimated at $354,829. Total taxes to be abated during a (3) three year abatement are estimated at $342,052. Total taxes to be paid during a (3) three year abatement are estimated at $238,918. EMPLOYMENT IMPACT Per the petition, it is estimated that the total project will create at least thirty (30) new, permanent, full - time jobs in the first year of production representing a new annual payroll of at least $1,600,000. The project will maintain 396 existing, permanent, full -time jobs with a total annual payroll of $26,500,000. ABATEMENT QUALIFICATION A review of the tax abatements previously granted finds that the petitioner has been granted or been associated with one previous tax abatements. Type Resolution Number Date 10 year real property abatement 2892 -00 June 26, 2000 2. The Building Commissioner has reviewed the petition and finds the property to be properly zoned for the proposed project. 3. A review of the South Bend Redevelopment designation areas finds that the property is located in the Airport Economic Development Area, which is a Tax Incremental Allocation Area; therefore, the petition for personal property tax deduction must first be approved by the South Bend Redevelopment Commission. 4. A review of the Tax Abatement Ordinance No. 9394 -03 finds that the petitioner meets the qualifications for a (3 ) three to (5) five -year real property tax abatement under section 2 -83, Real Property Tax Abatement- Warehouse Development City -Wide.