sample Public-Private Partnerships Projects
tax increment financing analysis
Washington, DC
NJA Development Partners LP, proposed a mixed-use de-velopment for the Southeast area of Washington, DC. The project includes a 14-story Courtyard By Marriott, and 13-story mixed-income apartment building with 9,900 square feet of ground floor retail and a 227-space underground parking garage. The developer applied for $11.5 million in TIF bond financing assistance. As part of the due dili-gence effort of the District, RKG Associates was retained to review the financial feasibility report submitted by the de-veloper, to perform an independent feasibility analysis and to make projections about the amount of tax revenue that will be available to repay the TIF bonds once the project is operational. The TIF bond referendum for the Capitol Hill Towers project was approved.
urban revitalization
Gardner, Massachusetts
Gardner’s downtown and surrounding neighborhoods have experienced a lack of investment and general decline for dec-ades while surrounding communities have experienced growth. The City of Gardner, historically rooted in wooden chair manufacturing, sought to develop an economically and financially viable plan to revitalize the downtown and sur-rounding neighborhoods. With the help of design and architec-tural experts who conducted building inspections, various al-ternative uses were analyzed including those suggested through an extensive public participation process. RKG’s analysis indicated that a mix of uses including medical and fi-nancial offices, condominiums/apartments, public uses (Police Station), and retail uses could be supported by the market. The plan has generated investment interest from a local college and financial institution to develop office space, as well as the demolition of two large blighted mill buildings.
Urban Renewal and Tax Increment Financing
Downtown Quincy, Massachusetts
RKG Associates, Inc. in conjunction with the BSC Group, pre-pared an urban renewal plan in support of the planned rede-velopment of the downtown area of Quincy. RKG also pre-pared a Development Improvement Finance (DIF) plan for the downtown area that can be used to leverage private sector in-vestment and help pay for needed infrastructure improve-ments. The City has initiated the first phase of the project, which will be a $20 million by-pass around the downtown. The city has also rezoned the downtown area to encourage higher density development and has designated a preferred developer to help implement the master plan prepared ini-tially by Goody Clancy.
public/ private development financing
South Weymouth, Massachusetts
The former South Weymouth Naval Air Station was closed by the military and a private sector developer, LNR, Inc., was chosen to redevelop the site into a major mixed-use project . Because of the high upfront cost of site clean-up and infra-structure upgrades, the developer in conjunction with a local development authority are seeking public sector financing to help build a new access road. RKG Associates, Inc. was re-tained by the Commonwealth to evaluate the overall merits of the requested $42 million public sector investment. To do this, market research prepared by the developer and the develop-ers’ consultants was independently reviewed and evaluated. In addition the developers financial forecasts for the project were reviewed and evaluated. The Commonwealth is cur-rently evaluating the merits of this project in light of the cur-rent economic downturn.
developer solicitation & fiscal alanysis
Arlington, Massachusetts
After serving the community for decades, the Symmes Hospital in Arlington, Massachusetts was closed. The site, which included 18 acres on one of the highest hills in the community, represented a significant development oppor-tunity. RKG Associates, Inc. was retained to assist in the preparation of a com-prehensive redevelopment strategy for the Symmes Hospital site. Subse-quently, RKG Associates was retained to evaluate the fiscal impacts of each developer’s proposal and to assist the Town in the developer selection and negotiation process. Once the Preferred Developer was selected, RKG played an instrumental role in providing data to the City and the Arlington Redevel-opment Board to support on-going negotiations towards a mutually accept-able Development Agreement and the ultimate sale of the property.