Stewart Nelson

Good Evening Mayor Hieftje and Council,

My name is Stewart Nelson and I live at 2975 Hickory Lane in Ward 2. 

      I am here this evening to offer my thanks to Councilmember Rapundalo for his work behind the scenes to modify the developer’s plans for 601 Forest. This new plan has been labeled a good compromise between what was wanted by the developer, the city, and neighborhood groups and seems to put aside the developer’s threat of litigation against the city. 

      While I applaud the gesture on the part of the developer, I suspect that his change of plans had more to do with lack of funding options due to a faulty business plan or uncertainty in the credit markets than a sudden increase in his civic pride.  You must be cognizant of that fact when you debate the issue of the builder’s request for Brownfield tax credits later this month.  I am opposed to granting tax credits to a project that probably would not be funded without them. 

      Brownfield tax credits are incentives for developers to redevelop contaminated, abandoned, blighted properties, rather than building out in the cornfields.  That certainly is not the situation on the corner of South University and Forest Ave.   While it may appear that Brownfield tax credits can generate money out of thin air producing the ultimate Win-Win situation that simply is not always the case.  Brownfield credits are only Win-Win when the alternative is the property will not otherwise attract investors or developers.  If other investors could be attracted to the property without Brownfield tax credits, the situation is truly a Win-Win situation with the City and School System the winners.   

      From speaking with other developers and lenders, I feel that in a more favorable lending environment, and a firm commitment by the City to work diligently with qualified developers the entire parcel or individual parcels could be developed with a project or projects that better fit the character and scale of the neighborhood. This plan would provide a much needed economic lift to the South University Corridor and to the City while not diverting revenue from our schools to undercapitalized developers.   

      I encourage you to vote no to the developer’s request for Brownfield credits and I encourage the public to attend the public hearing scheduled for 6:00 pm on October 13th at Larcom.