More downtown development may soon happen in De Soto as a development agreement was approved for The RIO Apartments during Thursday’s City Council meeting.
Alcove Development will move forward with closing on the locally known old City Street Shop site at 8180 Shawnee St.
The proposed plan includes demolishing and cleaning up the land to convert to residential and to construct three apartment buildings with 59 units total, underground parking and rooftop amenities overlooking the Kansas River on two of the buildings.
The site plan has been submitted to the city and will be presented to the Planning Commission next month, Alcove Development partner Dustin Baker said.
City Council discussed the incentive request for 100% tax abatement for 10 years and whether council members agree 100% is appropriate, as well as the sales tax exempt certificate for construction materials.
The sales tax exempt certificate would allow Alcove to make material purchases tax-free.
Tax abatement is known as a tax exemption on property or land that will be used for business for up to 10 years. The 10-year countdown begins once a business is operational. Alcove hopes to obtain tax abatement as an issuance of industrial revenue bonds.
Between 2016 to 2023 in De Soto, the majority of property tax abatement levels have been at 75% for 10-year terms, according to the city.
“Since it’s a piece of property that’s not on the tax rolls now, if we can create an incentive opportunity where we can have a viable residential project in that area, I think that would be good,” Councilman Kevin Honomichl said.
Looking at previous tax incentives granted by the city, Honomichl said 75% is a generous abatement and would feel a little more comfortable with something of that magnitude.
Councilwoman Lori Murdock said while this project is what was envisioned, her personal opinion on the abatements leaned toward affordable housing and bringing more of that to town.
“While I’m not totally against some incentives on it, I’m not sure 100% is what I’m after on that,” Murdock said.
Councilman Rob Daniels agreed that while he’s not quite sure about a 100% abatement, 75% to 80% is fine.
Councilman Kevin Ritter said he is fine with the 100% tax abatement for the project.
“That’s a hole down there, and it’s going to cost to put something in it,” Ritter said. “I would be happy to see the site cleaned up with some more living space there.”
Mayor Rick Walker concluded while tax abatement is just shy of 100% based on council members’ discussions, the project could likely gain a higher percentage if Alcove incorporates more ADA access.
Baker explained in the proposed plans that one building has a lift while several units are designed to be larger for ADA accessibility.
The next City Council meeting will take action on the incentive, and council members will receive the cost/benefit analysis for the RIO Apartments.
“I believe it’s going to be a catalyst for downtown,” Baker said. “I think it’s a very exciting project, and we’ve been talking about it since the early 2000s.”
Baker grew up in De Soto and understands the unique position it has with the new developments in the area.
“I remember the downtown area being a vibrant place when I was a kid, and I really want to bring the vibrancy back,” Baker said.
The RIO Apartments would be positioned between Riverfest Park and Miller Park, so residents would not only be able to walk and enjoy downtown, they would also have access to both parks, Baker said.
Growing up, Baker lived near the old City Street Shop site. He remembered waking up on Saturday mornings, riding bikes with his friends all over town. He remembers riding to the local doughnut shop, to the Kill Creek area to fish and to Miller Park to play baseball.
“Some of those things I’m thinking about every time I do a development in De Soto,” Baker said. “I would love to have that for the next generation.”
The old City Street Shop sits on more than 2 acres. Baker hopes to start site cleaning this winter once the Planning Commission and city give final approvals.
In other business, the Planning Commission submitted an application to rezone property at 33475 W. 85th St. from R1 (residential low density district) to RH (residential historic district) to allow for duplex development.
The tract is surrounded by single-family residences to the west; to the east is RH and to the south is a commercial tract that includes the Up In Arms shop and Oasis Nutrition, community development director Brad Weisenburger said.
“There are some developments that are currently duplexes in that RH area,” Weisenburger said. “There’s also, on the other side of the street, an apartment complex, so it is a little bit of a mixed-use area.”
The property is unoccupied, there is a home and some out buildings that have been vacant for several years, Weisenburger said. The property would include a cul-de-sac and have preliminary plat lots around it.
A preliminary plat, which is a map showing the proposed building framework, has not been submitted. It is likely a traffic study may be required during that process, Weisenburger said.
During a previous public hearing by the Planning Commission, additional traffic was a concern especially during school hours, but Weisenburger said he doesn’t feel there will be any adverse impacts to the street network caused by the rezoning.
In regard to rezoning the area, there are little to no significant environmental impacts, Weisenburger said. Adding housing will increase property value and additional resident space will generate sales tax, he said.
“I think there’s opportunities for the development community to pursue this property or upgrade with the potential change in zoning RH,” Weisenburger said. “The area is consistent with the future land use plan, the comprehensive plan.”
The City Council approved the application request to change the property from R1 to RH.
Reach De Soto correspondent Katherine Diaz at [email protected].
