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Civil Life and their quest for real property tax abatement

Civil Life and their quest for real property tax abatement

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PostJun 27, 2019#1

Civil life announced on twitter they've shelved their brewery expansion plans:



The Biz Journal followed up and filed this article:
https://www.bizjournals.com/stlouis/news/2019/06/20/stalled-brewery-expansion-leads-to-finger-pointing.html

An excerpt
Ward 15 Alderwoman Megan Green last week pulled a resolution aimed at aiding an expansion of the brewery, at 4714 Holt Ave. Civil Life planned to add a canning line and build a new pub and cold storage facilities at nearby 4108 Beck Ave., which it acquired for $55,000. The project was to cost $1.9 million and add 13 jobs, according to city documents.

The city’s Enhanced Enterprise Zone Board in April recommended giving the project tax abatement for 10 years based on 95% of the assessed value of its two properties. Green, though, wanted the abatement to be based on 90% of assessed value of subsequent improvements for the first two years, decreasing 5% every two years.

Civil Life owner Jake Hafner said the changes caused by Green’s plan would have been partially offset by a reduction in the manufacturing tax, but “the details of this were never made clear.” Hafner also said Civil Life would have forgone several years of a current tax abatement under the abandoned plan.
There was a good thread on Reddit:

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PostJun 27, 2019#2

plenty of blame here- from Green to Hafner...

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PostJun 28, 2019#3

How about old Kirkwood Station Brewery space now available for lease?

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PostJun 30, 2019#4

So sorry that Civil Life isn't going to get another handout.

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PostJul 01, 2019#5

gary kreie wrote: How about old Kirkwood Station Brewery space now available for lease?
Sorry for being off topic but I had no idea Kirkwood Station closed. Glad I finally got to go last year. 

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PostJul 06, 2019#6

I'm not going to debate the details of this specific proposal, however I lean towards incentives for Civil Life for a couple of reasons. The area that they are located is still in transition and the brewery is an important  anchor that needs to be supported and encouraged to expand. It brings employment and people to a part off the city that is overlooked.  Being on the edge of Dutchtown/Bevo their potential  impact is much greater on those neighborhoods than the more stable Tower Grove south. We need to keep development moving outward from the central corridor. 

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PostJul 06, 2019#7

southcitygent wrote:I'm not going to debate the details of this specific proposal, however I lean towards incentives for Civil Life for a couple of reasons. The area that they are located is still in transition and the brewery is an important  anchor that needs to be supported and encouraged to expand. It brings employment and people to a part off the city that is overlooked.  Being on the edge of Dutchtown/Bevo their potential  impact is much greater on those neighborhoods than the more stable Tower Grove south. We need to keep development moving outward from the central corridor. 
I’ve been on the fence (seeing both sides on this for a bit) but I think I’m trending toward your thinking, of late.


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PostJul 07, 2019#8

I think one of the crappy results of tax abatement is that it ends up being available to developers that know and can afford to build when the time is right... which is why MOFO got its abatement. So, the award goes to out of town developers instead of the people that have been a part of building up the area. 

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PostJul 07, 2019#9

^Ooh! Well said!

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PostJul 07, 2019#10

The MOFO developer lives in TGS, if I recall correctly.


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PostJul 07, 2019#11

The representative of the developer might live here (and they might have some ownership?) but the ownership group doesn’t live here... They are based out of California.

I’m not against MOFO’s abatement, for the record. :)

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PostJul 07, 2019#12

Ahhh... gotcha. I remember seeing the guy at one of the TGS NA meetings, but they acted like he was the "main guy" when it came to the development.

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PostJul 07, 2019#13

^^Even so, that argument in combination southcitygent's observations about Civil Life's impact on the neighborhood pushes me pretty heavily in favor of cutting Civil Life a bit of slack and supporting their incentive. Not that this makes a lot of difference since they're not in my neighborhood, but I'd be willing to write my alderwoman in support if the thing were to come before the full board.