More delays expected for start of construction on new Save-A-Lot store in Bradenton
BRADENTON -- A predicted June start date to begin construction on a new shopping center featuring a Save-A-Lot grocery store has come and gone, with additional delays now expected with rising construction costs.
The Minnie L. Rogers Plaza at the corner of First Street and 13th Avenue West is set to include a national chain restaurant and local businesses, as well as the grocery store.
The Save-A-Lot is aimed at remedying the area's designation as "food desert," meaning fresh foods are lacking in the area. The designation helped the project secure $6 million in new market tax credits from U.S. Bank through the U.S. Treasury Department.
While the project is gaining national attention as to
how to do a public-private partnership, according to Planning and Community Director Tim Polk, it has been an ongoing source of frustration for nearby residents who have heard the store was coming since 2006 and witnessed an official ground-breaking in October 2012. Since then, a number of estimated start dates have come and gone and the construction site's "Coming Soon" sign is beginning to rust.
The city navigated a complicated process to get to where it's at now. Unfortunately, Polk said, despite the success in securing tax credits, other financing isn't showing at the site.
Polk said the city has had everything in place for the developer since 2014.
"We've made the progress from conception to financial and now have secured all of the zoning and permitting," said Polk. "All of the approvals necessary for final closing have been done and all of that is in the developer's hands."
Officials with Wisconsin-based developer Endeavor Corp. were not returned Wednesday.
Polk had predicted shovels in the ground by June, but rising construction costs appear to have put the project beyond the scope of its financing.
"The development team is evaluating overall project costs," Polk said. "There is also new market tax credits available at the state level so there is a possibility of getting that. This is still a business deal, and we want to make sure it will be something good for the district, but also for the residents."
Bradenton City Council approved the project in a 4-1 vote in August after months of negotiations between the developer and the Central Community Redevelopment Agency. The developer is receiving property valued at $750,000, $6 million in tax credits, a $300,000 startup loan from the CCRA and an additional $45,000 a year for seven years from the CCRA.
The CCRA also agreed to be the master lease holder for the retail space, meaning it would be responsible to fill the space or pay rent to the developer.
Ward 4 Councilman Bemis Smith cast the sole dissenting vote, saying the project was a "risky venture at best. I don't believe you can take buckets of money and dump it on something and call it redevelopment."
Mark Young, Herald urban affairs reporter, can be reached at 941-745-7041 or follow him on Twitter @urbanmark2014.
This story was originally published July 9, 2015 at 12:00 AM with the headline "More delays expected for start of construction on new Save-A-Lot store in Bradenton ."