Jasper Cabinet: Eyesore could see new life - Dubois County Free Press, Inc.

A private developer has come forward with intentions to purchase and develop the Jasper Cabinet building.

Ed Curtin, principal at CWC Latitudes LLC of Columbus, appeared before the Jasper Redevelopment Commission Tuesday morning to ask that they consider creating a separate tax-increment finance district for the property located along the Patoka River behind the Jasper Train Depot. It is flanked by Third Avenue and Jackson Street.

Curtin did not present any plans for the building but explained the unidentified developer would turn it into a mixed-use building featuring housing and commercial/retail establishments.

Infographic explaining how Tax Increment Finance districts work. Click to expand. — Infographic explaining how Tax Increment Finance districts work. *Click to expand.*

The commission agreed to the request, but the process must move through several steps before it is implemented.

After the commission approves a declaratory resolution to create the district at the September meeting, it will go to the Jasper Planning Commission in October for approval before being considered by the common council that month. It will come back to the redevelopment commission for final approval.

More than likely, the developer and their plans will be revealed in October or November before the Jasper Common Council and redevelopment commission make their final decision on establishing the district.

Although the property is already part of the large tax-increment finance district created in March of this year, the developer is interested in protecting the tax-increment of the property development. According to Curtin, the developer would like to use the tax-increment captured to pay back any economic development or construction bonds they float to complete the project.

Additionally, Curtin explained that creating the separate TIF district protects the captured increment in the larger district from going to the developer’s project.

Curtin explained that the developer wanted to see if the city would even be interested in adopting tax-increment financing as a tool for economic development. After the city created the district, the developer felt comfortable with coming to the table to develop the Jasper Cabinet building. “They wanted to know that the city is actually willing to create this tool and be willing to use it before they came forward,” he told the commission.

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According to Mayor Terry Seitz, the developer began the process in April and the passage of the TIF district was important in bringing them to the table. Since then, the developer has negotiated a deal for the 144,719-square-foot building with owner, Jerry Fuhs, and an option to purchase the building has been signed and witnessed by city officials.

Commission member John Kahle asked for assurances on whether the project will move forward and what steps have been taken to ensure the building will work for their plans.

Curtin told him the developer and he had been through the building several times and identified about 11 additions. They felt that about 90 to 95 percent of the building was usable but they wouldn’t be moving forward with engineering studies until they have assurances from the city regarding the creation of the TIF district. “Really, if the commission isn’t willing to go down this path, there isn’t much point in moving forward,” Curtin said. “We will start investing more time and effort in having the property looked at once we know the city and commission’s intentions on the project.”

Curtin did say the developer has experience in these types of projects and besides utilizing TIF, they would likely seek other investors.

According to commission president John Bell, if the TIF district is created around the property, the commission will have discretion on determining how much of the tax-increment captured will go to the developer’s needs. A tax impact study will be completed to estimate the amount the property tax would increase if the property is developed prior to the approval of the resolution creating the district.

The developer is cognizant of flooding issues and has been in contact with Indiana Department of Natural Resources regarding their plans.

In 2013, then State Rep. Mark Messmer added legislation to House Bill 1289 that allowed an exception to the Jasper Cabinet property in regards to the floodway rule. The bill allows the building to be used for housing and commercial development although it is in a defined floodway so long as the project meets specific guidelines listed in the exception.

According to Curtin, the developer’s plans meet those exceptions.