The fu­ture fig­ures

Rent cost, job cre­ation es­ti­mates re­vealed

The Commercial Appeal - - Front Page - De­siree Sten­nett Mem­phis Com­mer­cial Ap­peal USA TO­DAY NET­WORK - TEN­NESSEE

The team of de­vel­op­ers be­hind the $950 mil­lion Union Row de­vel­op­ment that prom­ises to trans­form Down­town Mem­phis filed an ap­pli­ca­tion for a 30year tax in­cen­tive, which was re­leased Thurs­day.

It re­vealed even more in­for­ma­tion about Phase 1 of the mas­sive pro­ject that will cost about $511 mil­lion and span 11 acres along Union Av­enue, Danny Thomas Boule­vard and Beale Street.

Here are six things you need to know: ❚ The av­er­age price of rent for the 793 apart­ments planned for the de­vel­op­ment will be $1,441. If the apart­ments main­tain a 98 per­cent oc­cu­pancy rate, that will bring an ex­tra $13.4 mil­lion in rent Down­town each year.

❚ There will be be­tween 30,000 and 50,000 square feet ded­i­cated to a gro­cery store serv­ing Down­town and an­other 80,000 square feet for re­tail stores, restau­rants and bars.

❚ Thou­sands of jobs will be cre­ated di­rectly and in­di­rectly re­lated to the de­vel­op­ment. About 4,731 con­struc­tion jobs are ex­pected to be cre­ated just to build Union Row. An­other 4,317 per­ma­nent jobs are ex­pected to come later. Those em­ploy­ees would work in the apart­ment build­ings, ho­tels, re­tail stores, of­fices and restau­rants.

❚ About 350,000 square feet of the de­vel­op­ment will be ded­i­cated to of­fice space. De­vel­op­ers es­ti­mate that would make room for an ad­di­tional 1,167 of­fice em­ploy­ees to work Down­town. These, how­ever, won’t nec­es­sar­ily be new jobs.

❚ The tax in­cen­tive the de­vel­op­ers are re­quest­ing is a 30-year tax-in­cre­ment fi­nanc­ing. If granted, the pro­ject would in­cur a larger an­nual tax bill than a pro­ject that re­ceived a pay­ment-in­lieu-of-taxes in­cen­tive. The ad­di­tional tax money, though, would go back into the pro­ject to fund in­fra­struc­ture improvements. The Cen­ter City Revenue Fi­nance Corp. will vote on the in­cen­tive Tues­day.

❚ The pro­ject is ex­pected to be­gin as early as June and would take about two years to com­plete.

De­siree Sten­nett can be reached at de­siree.sten­[email protected]­mer­cialap­peal. com or 901-529-2738 or on Twit­ter: @de­si_sten­nett.

PHO­TOS COUR­TESY OF LRK

A ren­der­ing shows the pro­posed Union Row de­vel­op­ment in Down­town Mem­phis, near the FedEx Fo­rum. Plans are for the $950 mil­lion pro­ject to fea­ture apart­ments, re­tail and of­fice space, and more in a lag­ging area of Down­town.

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