DEPARTMENT: Center City Development and Operations Department
DEPARTMENT HEAD: John Jacks
COUNCIL DISTRICTS IMPACTED: Council District 1
SUBJECT:
An ordinance approving the First Amendment to the Amended and Restated Economic Development Grant Agreement with Iron and Steel Lofts, LLC.
SUMMARY:
This item approves an amendment to the Amended and Restated Economic Development Grant Agreement with Iron and Steel Lofts, LLC for the Steel House Lofts project at 1401 South Flores St. in Council District 1.
BACKGROUND INFORMATION:
In April of 2010, the City of San Antonio entered into an Economic Development Grant Agreement with Iron and Steel Lofts, LLC for the development of the Steel House Lofts project at 1401 South Flores St. in Council District 1. In June of 2011, the agreement was amended and restated. Incentives for the project included a funding grant of $109,000 and a Property Tax Increment Reimbursement of $719,962 over 20 years. The project also received a Historic Tax Exemption. In exchange, the developer would build rehabilitate the historic Penden Iron and Steel Company building, create 67 new rental housing units, 2,500 square feet of commercial space, and make approximately $719,962 in public improvements at the project site by December 31, 2012.
The project opened and began leasing in December of 2012. It included the requisite housing units, public improvements, and retail space which are now home to the popular restaurant, Fruteria. Upon the grand opening of the project, all obligations of the agreement were satisfied.
ISSUE:
In 2015, after several years of successful operation as an apartment complex, the developer notified the City of his intent to convert the project into condominiums. City staff has been working with the developer since that time to facilitate the conversion. To date, 50 of the 67 units have been sold, the first of which was sold in November of 2015. Currently, the agreement specifies the required housing units as...
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