Study touts value of local urban renewal projects
“Urban renewal projects aren’t just about cleaning up decaying areas; they also pump tens of millions of dollars into the Colorado Springs economy in the form of jobs and tax revenues.
That’s the gist of a recently released consultant’s report, which estimated that current urban renewal projects in the Springs have led to the creation of about 2,000 permanent jobs with annual personal incomes totaling $90.5 million.
Those projects also have generated $1.8 million a year in sales tax revenue to help pay for public safety, open space acquisition and road improvements in the area, the report said.
Ricker-Cunningham, a Denver-based real estate advisory firm that’s consulted several times with the Colorado Springs Urban Renewal Authority and its developers, was hired by the authority to conduct the report. The cost was $3,600.
Yet, there’s no denying some recent urban renewal projects have had problems and others have fallen short of expectations.
A year ago, the authority defaulted on bonds it issued to fund public improvements related to the North Nevada project; the poor economy slowed University Village’s development and sales tax revenues generated by shopping center retailers fell short of projections, which led to the default. The authority since has worked with bondholders to resolve the default.
Three downtown areas were designated by the City Council as urban renewal sites: the 100-acre southwest side in 2001; the City Auditorium block in 2006; and 19 acres southwest of Cimarron and Sahwatch in 2007. None of those redevelopment projects has gotten off the ground.”
read the entire article
Laden, Rich. Colorado Springs Gazette 4 January 2013.