The Mandel Group's three-building apartment development received final approval from the Village Board Monday night.
Trustees unanimously green-lighted the development agreement – the final piece of a public discussion that began in May. The 90-unit development known as Beaumont Place would be constructed in the parking lots bordered by Santa Monica Boulevard, Beaumont Avenue, Consaul Place and the alley abutting the rear end of Silver Spring businesses.
Representatives from the Mandel Group were not able to give an estimated groundbreaking date as of press time.
The apartments will be financed with $4.6 million in public assistance through a tax incremental finance (TIF) district.
The village's $4.6 million contribution includes:
- $1.6 million in direct capital from bond proceeds to benefit the project. The village will pay about $200,000 in interest and issuance costs.
- $1.9 million in a pay-as-you-go TIF note, which places the up-front project costs on the developer's shoulders with a promise from the village to reimburse the developer
- $1.1 million in "air rights" to symbolize the value of the air above the public parking lots on the east end. The village will pay itself for the air rights when all other TIF bonds have been paid off.
Once the project is built and stabilized, the developer estimates the property will be valued at $14 million, and return an additional $320,000 in annual tax revenue. The developer expects the TIF will close by 2035, six years earlier than the 27-year maximum prescribed under state law.