Mansfield City Council will meet Monday to vote on an incentive package for two mixed-use projects that could add more than local 2,000 jobs.
Spearheading the two projects is Super Studios Mansfield LLC (SSM), which plans to use the incentive package — if approved by Mansfield City Council — to cover a litany of forecast expenses.
Construction is expected last five years, but once complete, the two projects will include a mix of restaurants, retail, and hotels, along with several sound stages, mill shops, and technical studios, according to city documents and as reported by The Dallas Business Journal (DBJ).
The first of SSM’s two projects is a planned medium- to large-scale mixed-use production geared toward the film industry, DBJ reported. The project would be located on roughly 70 acres of land at the northeast corner of Klein Tools Boulevard and 7th Avenue in Mansfield.
Under the project’s proposed agreement, Mansfield Economic Development Corporation (MEDC), which currently owns the respective site, would agree to sell the property to SSM for a reported $7.3 million. Per the agreement, SSM would put $1 million down towards the sale of the property, while MEDC would finance the remaining $6.3 million with a 4% interest rate.
If Mansfield City Council approves the project on Monday, then MEDC has agreed to a five-year interest payment waiver, DBJ reported.
The proposed incentives would also include a 10-year, 50% commercial property tax abatement as well as a $5.6 million infrastructure grant, according to DBJ reporting. Proposed rebates for the project include a seven-year hotel occupancy tax rebate of 65% and a mixed beverage tax rebate.
SSM’s second project is a mixed-use development called Chisholm Flats that is projected to bring in $450 million in taxable revenue upon completion. The Chisholm Flats would be located on 54 acres at the northeast corner of Lone Star Road and Highway 287. According to city documents, the project could transform the area into an ideal destination for entertainment with an expansive restaurant area and civic plaza space.
Proposed incentives for the Chisholm Flats mixed-use development include a Tax Increment Reinvestment Zone (TIRZ) reimbursement and a Chapter 380 economic development agreement.
A TIRZ reimbursement is a financing incentive approved by a city or county that reimburses a developer for eligible costs of approved infrastructure improvements within the TIRZ, according to the Texas comptroller. Similar to a TIRZ, the comptroller defines a Chapter 380 agreement as a form of financing designed to promote commercial and retail development using loans and city grants comprising taxpayer money.
As North Texas cities vie to attract the most commercial developments to their given area, construction on commercial and residential projects in Dallas has seen a deceleration over the years. Although Dallas wants to stay competitive, a slow building permit process often holds up the development process and, in many cases, stalls construction before it ever gets started.