Laserfiche WebLink
City of Elk River, Minnesota <br />Envision Co., LLC (Sportech) request for Tax Abatement <br />June 23, 2015 <br />Page 6 <br /> <br /> <br />Conclusion <br />The developer has requested tax abatement assistance from both the City and County to assist with financing a <br />portion of the project costs associated with acquisition and subsequent construction of a 105,000 square foot facility. <br />The developer has indicated that the project would not be feasible without assistance due to the limitations on <br />achieving sufficient upfront financing. There are several methods to determine if a project would proceed “but for” <br />assistance. Based on the available information, in this case a review of the financial statements and ability to attract <br />debt and equity investment was utilized to test the viability of the project. “But for” abatement assistance, a reduction <br />in total project costs (land cost), or increased revenues or some combination of the above, the developer has <br />indicated the project as proposed would not go forward. In addition, it is important to note that the developer has <br />indicated that the project will aid in the retainage of 204 FTE jobs and creation of 72 new jobs in the City of Elk River. <br /> <br />Thank you for the opportunity to be of assistance to the City of Elk River. Please contact me at 651-223-3036 or <br />mhuot@springsted.com with any questions or to discuss. <br />