In a decisive move toward urban revitalization, Missoula’s City Council has unanimously approved a $100 million private investment initiative focused on downtown redevelopment. This landmark decision follows years of efforts to transform a long-vacant parcel at Orange and Main Streets into a vibrant community asset. The comprehensive agreement includes multiple components that have addressed various stakeholder concerns throughout the negotiation process. Averill Hospitality will develop an 180-room hotel on city-owned property while making a $4 million purchase payment to the municipality. Beyond the hotel, the project encompasses a 50,000 square-foot events center and establishes a pioneering voluntary 10-year contribution to the city’s Affordable Housing Trust Fund. This innovative funding mechanism, totaling $3 million in dedicated support when combined with the property purchase price, has garnered strong endorsement from housing advocates. The development also incorporates provisions for public input on the riverfront plaza design as the project progresses through implementation phases. Council members emphasized the importance of avoiding additional regulatory burdens that could jeopardize this significant investment, recognizing its potential to catalyze further development in the area. The unanimous 11-0 vote on the property sale, along with unanimous approval of accompanying agreements, reflects broad consensus on the project’s value to Missoula’s urban renewal efforts.
— news from (Missoula Current)
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‘An economic multiplier:’ City approves $100M downtown investment
Martin Kidston n n(Missoula Current) A vote to approve a $100 million private investment in downtown Missoula survived a number of proposed amendments on Monday night and ultimately won the unanimous approval of City Council. n nAfter decades of trying, the vacant and blighted parcel at Orange and Main Streets is finally heading for redevelopment. n nThe approved agreements left a majority of council members assured that contracts regarding Averill Hospitality’s voluntary tax donation to the Affordable Housing Trust Fund would focus on local needs in the decades to come. n nAlso, the design of a riverfront plaza will be agreed upon with public input as the project advances. n n“There are so many hurdles to getting a project out of the ground, even if it’s small,” resident Ryan Brewer told members of the City Council. “Something of this size requiring the technical expertise of the general and all of the sub (contractors) involved is really hard. Introducing additional barriers or requirements to the development at this point hurts the process. It actually makes it more likely they’d be unsuccessful.” n nCouncil during Monday’s hearing also voted to override a push by the Democratic Socialists of America and local unions to inject their involvement and wage requests in the project. State law – not the city – dictates the parameters of project labor agreements with unions, officials said. n nHowever, the city’s economic leaders said labor agreements were worth exploring in future endeavors. But by Monday night, most agreed it was too late to place such requirements upon a single investor for a one-off project. n nDoing otherwise would send uncertainty to other investors, whether it’s housing or commercial development. n n“I don’t think this is the place to start making policy,” said council member Mirtha Becerra, who scrolled through decades of “undevelopment” on the property. “It’s been way too long. This could be a really great catalyst for investment in this area.” n nThe vote to sell the property required – and received – a super-majority of council members. It passed 11-0. The other two contracts, including the development and land-use agreement, also passed unanimously. n nThe agreement n nAverill Hospitality plans to build a 180-room hotel on city-owned property in downtown Missoula and pay the city’s $4 million asking price. n nThe development agreement also calls for a 50,000 square-foot events center, along with a voluntary 10-year contribution to the city’s Affordable Housing Trust Fund – the first of its kind in the city. n nThat $3 million investment won the support of housing advocates. When added to the sales price, the contribution rises to $7 million. n nKaia Peterson, executive director of NeighborWorks Montana, voiced support for the project and the developer’s voluntary contribution. n n“The funds going up front and over time to the Affordable Housing Trust Fund is a very creative and thoughtful solution to putting this land to use,” she said. “We know how difficult it’s been to fund the Affordable Housing Trust Fund, and we also know how important that fund is to accomplish a number of goals in the community” n nPublic input surrounding the project has largely been in support. Earlier opponents to the agreements also supported the project, regardless of Monday’s failed amendments. n n“We bring these forward not to cause problems, but because people have asked us to bring this forward,” said council member Kristen Jordan, who voted against the project a week before. “We did that because we care about Missoula. We want to bring things forward that represent the folks in our community.” n nSupporters of the project didn’t disagree that certain requests surrounding the future development of city-owned property merit discussion on wages and union contracts. n nGrant Kier, executive director of MEP, said it was a discussion worth having. n n“As we move forward, what can we do with our processes of introducing developers to projects in the community, to also ensure they have opportunities for organized labor and union groups to be at the table to talk about what it looks like to get these developers and propose their work and skill sets, so that’s part of the conversation in the vetting process, and doesn’t feel like it’s a requirement that comes in at the 11th hour.”