From
Letecia McNatt
Title
Resolution approving a Separated Sales Tax Contract with Parkway Logistics Center Grand Prairie Venture, LLC to rebate 50% of the 1% documented general sales tax revenue on construction materials purchased to complete the new development
Presenter
Marty Wieder, Economic Development Director
Recommended Action
Approve
Analysis
Parkway Logistics Center Grand Prairie Venture, LLC recently purchased light industrial zoned land at 2895 and 2911 South Great Southwest Parkway, and is considering commencing construction of one speculative light industrial building totaling 271,500 square feet.
As an incentive to situs construction sales tax to Grand Prairie, and commence construction on the speculative industrial building, staff is recommending the City of Grand Prairie enter into a separated contract with Parkway Logistics Center Grand Prairie Venture, LLC to provide a partial sales tax rebate on construction materials purchased to complete the new development, and rebating 50% of the 1% documented general sales tax revenue.
Financial Consideration
Projected real estate improvements: $16,100,000
Project sales tax revenue: $193,200 @2%
Projected sales tax rebated: $48,300
Body
A RESOLUTION OF THE CITY OF GRAND PRAIRIE, TEXAS, TO ENTER INTO A SEPARATED SALES TAX CONTRACT WITH PARKWAY LOGISTICS CENTER GRAND PRAIRIE VENTURE, LLC
Whereas, Parkway Logistics Center Grand Prairie Venture, LLC is considering developing and building a speculative light industrial building totaling 271,500 square feet; and
Whereas, a partial construction sales tax rebate will induce Parkway Logistics Center Grand Prairie Venture, LLC to situs construction sales tax to Grand Prairie and commence construction of the 271,500 square foot light industrial building; and
Whereas, the City Council has determined that it is in the public interest to enter into Separated Sales Tax Contract with Parkway Logistics Center Grand Prairie Venture, LLC
NOW THEREFORE, BE IT RESOLVED, by the City Council of the City of GRAND PRAIRIE, Texas that:
Section 1. That the City Manager is hereby authorized to negotiate and execute an agreement to effectuate this approval.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, ON THIS THE 20TH DAY OF MARCH, 2018.