St. Paul Offers Tax Incentives to Stimulate Development Around Allianz Field
St. Paul City Council recently voted to authorize the creation of a tax-increment financing district spanning over 34 acres in the Midway area. The “Snelling Midway Renewal and Renovation Tax Increment Financing District” boundaries are Snelling Avenue on the west, University Avenue to the North, Pascal Street to the East, and St. Anthony Avenue to the South. The city council’s action, which still requires state approval, would allow the city to incentivize development around Allianz Field for 16 years. The action is not a commitment to tax-increment financing of redevelopment, but rather a preservation of the chance to do that in the future.
According to St. Paul’s estimates, the planned development around Allianz Field will include office space, retail, housing, parking and hotels. The development’s total expected market value would be $485 million, an increase from the current taxable base market value of $28 million today. The city would receive $112 million in tax increments between 2024 and 2039.
St. Paul City Council members hope that, in the midst of a difficult time across the nation, developers see the potential for tax-increment financing as an opportunity to do business in the Twin Cities. While the decision doesn’t make tax-increment financing available for certain, the city is preserving this right for potential future use prior to the state deadline for authorizing special tax districts.
To spark development around Allianz Field, St. Paul creates $112 million TIF district