HomeMy WebLinkAboutOrdinance - 2005-O0149 - Approve The Third Amended N Overton District Tax Increment - 12/15/2005First Reading
December 15, 2005
Item No. 6.3
Second Reading
January 12, 2006
Item 6.7
ORDINANCE NO. ··2005-00149
AN ORDINANCE APPROVING THE THIRD AMENDED NORTH
OVERTON DISTRICT TAX INCREMENT FINANCE REINVESTMENT
ZONE PROJECT PLAN AND FINANCE PLAN AS ADOPTED BY THE
BOARD OF DIRECTORS OF THE NORTH OVERTON TAX INCREMENT
FINANCING REINVESTMENT ZONE.
WHEREAS, the City Council of the City of Lubbock, upon receipt of a
petition requesting creation of a tax increment financing district from the owners of
more than 50 per cent of the appraised value of an area within the City of Lubbock
bounded by the Marsha Sharp Freeway on the north, University A venue on the
west, Broadway on the· south and the alley between A venue R and Avenue Q on the
east, adopted Ordinance No. 2002-029, March 14, 2002, establishing the North
Overton District Tax Increment Finance Reinvestment Zone and defining its
boundaries in accordance with the provisions of the Tax Increment Financing Act,
V.T.C.A. Tax Code, Chapter 311 (the "Act"); and
WHEREAS, the Board of Directors of the North Overton Tax Increment
Financing Reinvestment Zone, in accordance with the Act, prepared and adopted a
North Overton Area Project Plan and a North Overton Area Financing Plan, which
was approved June 26,2002, by Ordinance No. 2002-0075; and
WHEREAS, due to increased development and changed circumstances, the
Board of Directors of the North Overton Tax Increment Financing Reinvestment
Zone adopted a First Amended Project Plan and a First Amended Finance Plan
which was approved by the City Council June 12, 2003, in Ordinance 2003-00062,
and A Second Amended Project Plan and a Second Amended Finance Plan which
was approved by the City Council November 18, 2004 in Ordinance 2004-00131;
and
WHEREAS, the Board of Directors of the North Overton Tax Increment
Financing Reinvestment Zone has adopted a Third Amended Project Plan and a
Third Amended Finance Plan and has submitted these plans to the City Council for
approval;
WHEREAS, the City Council of the City of Lubbock, after holding a
public hearing in accordance with V.T.C.A. Tax Code §311.003, desires to adopt
the Third Amended Project Plan and the Third Amended Finance Plan as submitted
by the Board of Directors of the North Overton Tax Increment Financing
Reinvestment Zone; NOW THEREFORE:
BE IT ORDAINED BY THE CITY COUNCil., OF THE CITY OF LUBBOCK:
SECTION 1: THAT the facts and recitations contained in the preamble of
this ordinance are hereby found and declared to be true and correct.
SECTION 2: THAT the City Council of the City of Lubbock makes the
following findings regarding the Third Amended North Overton Tax Increment
Financing Reinvestment Zone Project Plan and the Third Amended North Overton
Tax Increment Financing Reinvestment Zone Finance Plan, as adopted by the
Board of Directors of the North Overton Tax Increment Financing Reinvestment
Zone:
a) That the Third Amended North Overton Tax Increment Financing
Reinvestment Zone Finance Plan includes, as required by§ 31 LOll ofthe
Act, all of the following items:
1) a detailed list describing the estimated project costs of the zone,
including administrative expenses;
2) a statement listing the kind, number, and location of all proposed public
works or public improvements in the zone.
3) an economic feasibility study was included in the original project plan;
4) the estimated amount of bonded indebtedness to be incurred;
5) the time when related costs or monetary obligations are to be incurred;
6) a description of the methods of financing all estimated project costs and
the expected sources of revenue to finance or pay project costs,
including the percentage of tax increment to be derived from the
property taxes of each taxing unit that levies taxes on real property in
the zone;
7) the current total appraised value of taxable real property in the zone;
8) the estimated captured appraised value of the zone during each year of
its existence; and
9) the duration of the zone.
b) That the Third Amended North Overton Tax Increment Financing
Reinvestment Zone Project Plan includes, as required by § 311.011 of the
Act, all of the following items:
1) a map showing existing uses and conditions of real property in the zone
and a map showing proposed improvements to and proposed uses of
that property;
2) proposed changes of zoning ordinances, the master plan of the
municipality, building codes, and other municipal ordinances;
3) a list of estimated nonproject costs; and
NO TlF Third Amended Project Plan Ordinance Page2
4) a statement of a method of relocating persons to be displaced as a result
of implementing the plan.
c) That the Third Amended Plan is feasible and conforms to the City of Lubbock
Comprehensive Plan.
SECTION 3: That the Third Amended North Overton Tax Increment Financing
Reinvestment Zone Project Plan and the Third Amended North Overton Tax
Increment Financing Reinvestment Zone Finance Plan, as adopted by the Board of
Directors of the North Overton Tax Increment Financing Reinvestment Zone are
approved. A copy of each plan is attached hereto and incorporated into this
Ordinance as if fully set forth herein.
SECTION 4: That if any section, paragraph, clause or provision of this Ordinance
shall for any reason be held to be invalid or unenforceable, the invalidity or
unenforceability of such section, paragraph, clause or provision shall not affect any
of the remaining provisions of this Ordinance.
AND IT IS SO ORDERED
PASSED by the City Council on first reading this 15th day of December , 2005.
PASSED by the City Council on second reading this 12th day of January , ~-2006.
TOM MARTIN, MAYOR PRO TEM
ATTEST:
~~-.~ Reb cca Garza, City secretarY
o , irector
of Development Services
APPROVED AS TO FORM:
~:e~~c-e:?_
Linda L. Chamales
Senior Attorney, Office Practice
LC: cityatt/Linda/TIF-NO THIRD AMENDED PLAN APPROVAL ORDINANCE
December I, 2005
NO TIF Third Amended Project Plan Ordinance Page3
Ordinance No. 2005-00149
PROJECT PLAN
(Third Amended)
North Overton Area
Tax Increment Finance Reinvestment Zone
LUBBOCK, TEXAS
Prepared for
City of Lubbock
November 2005
I PROJECT PLAN
The North Overton Area was established in 1907 and over the next 20 years developed as
a middle-class neighborhood, with home ownership predominating. FoJlowing World
War II, the growth ofTexas Tech stimulated a need for student housing. This need was
provided by many non-conforming apartments, converted garages, and subdivided
houses, reducing home ownership considerably. Continued growth ofTech encouraged
development of apartment buildings, further destroying the stability of the area.
By the 1980's, the City of Lubbock recognized the need to "explore methods of
stabilizing property values while allowing the area to develop to its fullest potential" and
appointed the Overton North Study Committee. This Committee formulated strategies to
address the area's problems and potential. Among the strategies was the possibility of
utilizing Tax Increment Financing. The City also retained RTKL in 1989 to prepare a
Redevelopment Plan for Downtown Lubbock, which included the North Overton area.
RTKL's plan identified many of the same issues as the Study Committee and more
particularly indicated, "the City must develop creative public/private joint development
opportunities and provide public improvements as incentives for development".
Through a series of economic and real estate factors, nothing materialized from the two
studies during the 1990's, and the situation in North Overton continued to stagnate.
However, at this time, a local developer has come forward with a plan to redevelop about
90% of the North Overton area and has petitioned the City to establish a Tax Increment
Financing (TIF) District to provide the necessary public funds to enter into a public-
private partnership. City staff, working with the developer, has prepared a list of public
infrastructure projects, which will stimulate and enhance the redevelopment of North
Overton. It is expected that the North Overton Area Tax Increment Financing
Reinvestment Zone planned expenditure of approximately $28.9 million for public
infrastructure improvements will result in future development/redevelopment in the Zone
which will increase the taxable value by approximately $445 Million over the Zone's 30-
year life.
As set forth in Section 311.011 of the Tax Increment Financing Act of the Tax Code, the
Project Plan for the North Overton Area Tax Increment Finance Reinvestment ZtJne,
Lubbock, Texas must and does include the following elements:
1. A map showing existing uses and (!Onditions of real property in the Zone and a
map showing proposed improvements to and proposed uses of the property.
Attached as Exhibit A is a map showing uses of real property in the North Overton
TIF Reinvestment Zone and attached as Exhibit B is a map indicating potential
locations of proposed public improvements in the zone.
Page I
North Overton TIF Third Amended Proj~t Plan
2. Proposed changes of zoning ordinances, the master plan of the municipality,
building codes, and other municipal ordinances.
No changes anticipated at this time except to zoning ordinances. Zoning ordinances
will be modified to provide architectural guidelines and special zoning considerations
to provide for redevelopment of the North Overton area as a pedestrian-oriented, neo-
traditional development.
3. A list of estimated non-project costs.
Non-project costs within the Zone area are those development costs not paid for by
the Zone. These costs will include, but are not limited to, 461 .8 Million of new
development. The detailed list of estimated non-project costs from 2006 through
2013 are included as Exhibit C.
4. A statement of a method of relocating persons to be displaced as a result of
implementing the plan.
In the process of developing and redeveloping the Zone, it is not contemplated there
will be any involuntary relocations. However, it may be necessary to relocate
individuals and businesses through voluntary buyout. In the event that this is
required, the City or private developer will follow the procedures that would be used
in the development or construction of other public or private improvements outside
the Zone.
Page2
North Overton TIF Third Amended Project Plan
NORTH OVERTON PROJECT PLAN (11/8/05)
TIF Expense Phase 1 Total Cost
Street reconstruction/resurfacing
AlE services
Reconstruction, curb & gutter
Rotaries
Rotary amenities
AlE services
Landscaping -irrigation, lighting, s~t furniture
Glenna Goodacre Boulevard
A/Esei'Vices
Replace cum & gutter
ROW acquisition
Glenna Goodacre Blvd. Amenities
AlE services
Landscaping -irrigation, lighting, street furniture
Landscaping Parkway
AlE services
Landscaping-irrigation. lighting, street furniture
Water/Waste Water
Replacement & relocation
Electric utility -underground
Pioneer Park Improvements
Marsha Sharp Frwy. Frontage
University Ave. Improvements
Replace curb & gutter
Public Facility
Subtotal
Administration Costs
Total Phase 1 TIF Cost
Phase 2, Years 7 -30
Debt Service
Total TIF Cost
Total Phase I TIF Cost
"Total TIF Expenditures as of 9130/05
Balance
* Bond Issuance
7/15103
8115/05
Total
$7,150,000
$575,000
$1,930,000
$3,200,000
$3,425,000
$3,250,000
$3,995,000
$500,000
$100,000
$190,000
$4,300,000
$28,615,000
$350,000
$28,965,000
$43,686,000
$16,356,000
$89,007,000
$28,965,000
$4,081,833
24,883,167
$3,796,000
$9.290.000
$13,085,000
Page 3
North Overton TIF Third Amended Project Plan
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Exhibit "A"
EXISTING LAND USE
Exhibit A: North Overton
Tax Increment Financing
Reinvestment Zone
Existing Land Use
November 2005
... Til
E.'thibit "A"
North Overton TIF Third Amended Project Plan
*-. .....__
E:J -··--o -...-o -o ::.=-·-·--~~~~=---
Exhibit "B"
PROPOSED IMPROVEMENTS AND PROPOSED USES
Overton Park Master P lan
University T111ils
.-. ..._...,-
. I I, I /Jottt u/
Main SCJUI Condominiums
Exhibit ~s"
North Overton Third Amended Project Plan
Exhibit "C'• List of Estimated Non-Project Costs &~'U''-"'• -Mil .... JL.t.V-A "w.t. 'V•a 'lolo"ifl> &'VAll• ••-_..,. ... _ .t.V" A •V&J'""'•• ....,. .. __ ..,.,..,. •• _.. -.... ...... -.-"' ____ ..,. !New Construction l CY 200~ CY 200~ I CY 200~~ CY 200~ CY lOt oil CY 201111 CY 2011! CY 101 [Tract I·A • Starbuck:s/Bank/Maloufs 4 116,449.00 6,550,000.00 . • J. ]I I rrract 1-B-TBA • I 4,488,517.00 II 7,625,000.00 'I ~ I rrract2-A-Restaurant/Retail I . II 4,391,575.00 R . I II a~ rrract2-B-TheCentre . 5,791,821.00 ~ -I . .I 'I I ~ rrract 3. R~tail . §I . II 23,700,828.00 II I rrract 4 • Dmerstem 2 !=· ====· =l·!=· =====l-!=· ====11======1~=====1\1====--11~===11 rrract 5. Possible Centre I 15,560,814.00 II '§I II [ract 6-TBA-Multi-Family 'I · 27 654 572.00 _ ~~ Tract 7. Hotel . • • 33,238,030.00 I ~~ Tract 8 • Dinerstein 3 I 9,091,158.00 • II · II I I Tract 10 ·Main Street Condo 4 • -II 5,645,944.00 II I Iract 11 ·Main Street Condo I 5,515,272.00 • II · 1j !] [ract 12-Main Street Condo 2 • I 5 418,000.00 • . II [ract 13-Main Street Condo 3 -6,479,151.00 • § ~~ I frract X-Walmart • 25,210,136.00 I -I I I § Tract A· Dinerstein I --. . _ §I II I Misc. Commercial • 24,191,884.00 I 25,000,000.00 • I Pth toR Retail I · 18 309,700.00 18,950,000.00 • I I II ll I ~ami!~ Phase 1 II · 2,360,756.25 4,700,000.00 4,700,000.00 I 4,700,000.00 I ~~ family Phase 2 • • II 1,860,756.25 4,200,000.00 4,200,000.00 4,200,000.00~ Wamily Phase 3 II · -II -3,660,756.25 I 6,000,000.00 ll 6,000,000.00 II 6,000,000.00 I ramily Phase 4 II . . .. -I 2,610,7S6.2S 4,9SO,OOO.OO 4,950 000.00 4,950,000.00 [otal New Construction 1124,398,700.00 I 140,615,105.25 120,720,558.25 12,560,756.25 lt7,510,7S6.15 llts,tso.ooo.oo llto,9so,ooo.oo II 4,950,000.00 I Exhibit .. C' Nonh Overton Third Amended Project Plan
FINANCING PLAN
(Third Amended)
North Overton Area
Tax Increment Financing Reinvestment Zone
LUBBOCK, TEXAS
NOVEMBER 2005
Page I
North Overton TIF Third Amended Financing Plan
City of Lubbock
I FINANCING PLAN
The Financing Plan provides infonnation on the projected impact that the North Overton Area
Tax Increment Finance Reinvestment Zone (Zone) could have on the property described in
Appendix A. It will also describe how that impact could be utilized to enhance the area and
region through leveraging the resources of each entity that participate in the project.
Below is a summary of the Financing Plan items required by law:
1. A detailed list describing the estimated project costs of the zone, including
administrative.
The total project costs over the life of the zone will be approximately 72.7 million, not
including interest payments on debt service. The detailed list of projects is included in
Appendix B.
2. A statement listing the kind, number, and location of aU proposed public works or
public improvements in the zone.
• Capital costs, including the actual costs of the acquisition and construction of
public works, public improvements, new buildings, structures, and fixtures; the
actual costs of the acquisition, demolition, alteration, remodeling, repair, or
reconstruction of existing buildings, structures, and fixtures; and the actual costs
of the acquisition of land and equipment and the clearing and grading of land;
• Financing costs, including all interest paid to holders of evidences of indebtedness
or other obligations issued to pay for project costs and any premium paid over the
principal amount of the obligations because of the redemption of the obligations
before maturity;
• Any real property assembly costs;
• Professional service costs, including those incurred for architectural, planning,
engineering, and legal advice and services;
• Any relocation costs;
• Organizational costs, including costs of conducting environmental impact studies
or other studies, the cost of publicizing the creation of the Zone, and the cost of
implementing the project plan for the Zone;
• Interest before and during construction and for one year after completion of
construction, whether or not capitalized;
Page2
North Overton TIF Third Amended Financing Plan
City of Lubbock
• The amount of any contributions made by the municipality from general revenue
for the implementation of the project plan;
• Imputed administrative costs, including reasonable charges for the time spent by
employees of the municipality in connection with the implementation of a project
plan;
• The cost of operating the Zone and project facilities; and
• Payments made at the discretion of the governing body of the municipality that
the municipality fmds necessary or convenient to the creation of the Zone or to
the implementation of the project plans for the Zone.
• All public improvements or public works projects will be in the area shown in the
map in Appendix A.
3. Economic Feasibilty Study.
• An economic feasibility study has been completed and is included as a part of this
Financing Plan as Appendix C.
4. The estimated amount of bonded indebtedness to be incurred.
• The debt capacity produced from the estimated tax increment should yield
approximately $28.965 million in funding capacity.
5. The time when related costs or monetary obligations are to be incurred.
• Monetary obligations will be incurred with each bond issue; however, 1t IS
expected that development agreements will be in place, which would provide
sufficient tax increment to pay debt coverage for each bond issuance.
6. A description of the methods of financing all estimated project costs and the
expected sources of revenue to finance or pay project costs including the percentage
of tax increment to be derived from the property taxes of each taxing unit on real
property in the Zone.
• Project costs will be financed using bond issues with payment provided by tax
increment funds received. The revenue sources will be the real property taxes
captured by the Zone, which will account for 1 00% of revenues used to fund
project costs and bonds issued.
Page3
North Overton TIF Third Amended Financing Plan
City of Lubbock
•
7. The current total appraised value of taxable real property in the Zone.
• The appraised value of the taxable real property in the Zone that the Lubbock
Central Appraisal District certified in July 2002 was $26,940,604. This amount is
the base value for the district in calculating future increments. The current
captured appraised value according to the 2005 certified TIF roll is $144,869,221.
Page4
North Overton TIF Third Amended Fmancing Plan
City of Lubbock
8. The estimated appraised value of the improvements in the Zone during each year of
existence.
Table 1
YEAR
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
202 1
2022
2023
2024
2025
2026
2027
2028
2029
2030
2031
2032
TOTAL
• The estimated appraised value of the improvements in the Zone per year is listed
in the following table.
ANNUAL CAPTURED VALUE
ESTIMATED
ESTIMATED ESTIMATED ADJUSTED CAPTURED
DEMOLITIONS~ K NEW DEVELOPMENT~ K VALUE$K
--
(2,019) 12,406
(12,395) 21,632
(2,362) 99,842 -24,840 -128,209
-113,300
-18,404
-15,647
-13,477
-9,719 -4,312
----
--
----
------------------
--
------
--
(161776~ 461.788
-
10,387
9,237
97,480
24,840
128,209
113,300
18,404
15,647
13,477
9,719
4,312
-------------------
445.012
PageS
North Overton TIF Third Amended Financing Plan
City of lubbock
• The estimated annual incremental funds available from development and
redevelopment in the Zone are listed in the following table.
Table 2 ANNUAL INCREMENTAL FUNDS AVAILABLE
ESTIMATED ESTIMATED ESTIMATED
YEAR ADJUS'[f:D CAPTURED CUMULATIVE CAPTURED ANNUAL TAX
VALUE, $K VALUE.$K INCREMENT1 IK *
2002 ---
2003 10,387 10,387 -
2004 9,237 19,624 96
2005 97,480 117,104 158
2006 24,840 141,944 930
2007 128,209 270,153 1,139
2008 113,300 383,453 2,168
2009 18,404 401,857 3,078
2010 15,647 417,504 3,225
20ll 13,477 430,981 3,350
2012 9,719 440,700 3,458
2013 4,312 445,012 3,536
2014 -445,012 3,572
2015 -445,012 3,572
2016 -445,012 3,572
2017 -445,012 3,572
2018 -445,012 3,572
2019 -445,012 3,572
2020 -445,012 3,572
2021 -445,012 3,572
2022 -445,012 3,572
2023 -445,012 3,572
2024 -445,012 3,572
2025 -445,012 3,572
2026 -445,012 3,572
2027 -445,012 3,572
2028 -445,012 3,572
2029 -445,012 3,572
2030 -445,012 3,572
2031 -445,012 3,572
2032 -445,012 3,573
TOTAL 891007
* &lied ott 100% participaWn ud projected tax l'tltes ofi City-$ 0.44720; County--$0.26162; Hospilal-SO.II034; W111er Districi-
S0.008300.
&Jseil on estimated coiJected tuMIIllt of illcre~nt (97.00% coUectiorr rille)
2% gruwtlt through 2013, 0% tlttreajter
8. The duration of the zone:
The duration of the zone is 30 years.
Page6
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix A
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Appendix A
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix B
NORTH OVERTON TIF PROJECT COSTS ~~-~~...;..;....;;,_;,__ Total Cost Project
Street reconstruction/resurfacing
AlE sefVices
Reconstruction, curb & gutter
Rotaries
Rotary amenities
AlE services
Landscaping -irrigation, lighting, street furniture
Glenna Goodacre Boulevard
AlE services
Replace curb & gutter
RON acquisition
Glenna Goodacre Blvd. Amenities
AlE services
Landscaping-irrigation, lighting, street furniture
Landscaping Parkway
AlE services
Landscaping -irrigation, lighting, street furniture
Water/Waste Water
Replacement & relocation
Electric utility· underground
Pioneer Park Improvements
Marsha Sharp Frwy. Frontage
University Ave.lmp~vements
Replace curb & gutter
Public Facility
Subtotal
Administration Costs
Total Phase 1 TIF Cost
Phase 2, Years 7 • 30
Debt Service
Total TIF Cost
Total Phase I TIF Cost
*Total TIF Expenditures as of 9/30/05
Balance
• Bond Issuance
7/15/03
8115/05
Total
$7,150,000
$575,000
$1 ,930,000
$3,200,000
$3,425,000
$3,250,000
$3,995,000
$500,000
$100,000
$190,000
$4,300.000
$28,615,000
$350,000
$28,965,000
$43,686,000
$16,356,000
$89,007,000
$28,965,000
$4,081,833
24,883,167
$3,795,000
$9.290.000
13,085,000
Appendix B
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C
TAX INCREMENT
FEASIBILITY
ANALYSIS
North Overton Area
Tax Increment Financing Reinvestment Zone
LUBBOCK, TEXAS
Prepared for
City of Lubbock
JUNE2002
SC R DER & CLINE, LLC
4800 Broadway, Suite A
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Index
Forward
Section 1:
Section II:
Section DI:
Section IV:
Section V:
Appendix C
Addison, TX 75001
INDEX
History
Current Situation
Future Plans
Tax Increment Analysis
Tables
Table 1: North Overton Project Plan
Table 2: Private Development Projects
Table 3: Annual Captured Value
Table 4: Annual Incremental Funds Available
Table 5: Annual Incremental Funds Contributed
Table 6: Income Without TIF
Table 7: BPP Inventory Estimate,$ K
Table 8: Income With TIF
PAGE
2
3
4
8
9
11
13
13
14
15
16
17
18
19
20
AppendixC
North Ovenon TIF Third Amended Financing Plan
City of Lubbock
AppendixC
FOREWORD
Schrader & Cline, LLC was asked to prepare a Feasibility Analysis using tax increment
fmancing to encourage redevelopment of the North Overton Area Tax Increment Financing
Reinvestment Zone in the City of Lubbock, Texas. This area of the City needs public
infrastructure projects that will provide a stimulus for redevelopment and enhancement of the
area.
Section I summarizes the history of the North Overton area.
Section II reviews the current situation.
Section III details future plans, and
Section IV details the tax increment analysis
Section V shows tables
The following projections of development and tax revenues are subject to change. As underlying
conditions in the national and regional economy change, the pace and value of new development
and redevelopment projected for the TIF area may shift. Future property tax rates are
particularly difficult to predict given their dependence on changes in the tax base, the mix of
taxes levied and the various jurisdictions' overall fiScal and budgetary policies. Thus, the
projected tax increments are subject to change. The analysis of future tax increment funds is
dependent on a series of projections, assumptions, and other inputs; the report should be
reviewed in totality.
Neither this report nor its conclusions may be referred to or included in any prospectus or
part of any offering made in connection with private syndication of equity, sale of bonds, sale of
securities or sale of participation interests to the public without express written approval.
Schrader & Cline, LLC
Addison, Texas
June2002
AppcndixC
North Overton TIF Third Amended Filancing Plan
City of Lubbock
Appendix C
I Section 1: HISTORY
The North Overton area of the City of Lubbock was established in 1907 on a tract of land just
west of the existing ''town site". It thus became the first major real estate operation in town.
Lots being offered by Dr. M. C. Overton sold at a steady pace, but a good portion of the land was
sold in large tracts. The first houses were built in 1907, and Broadway, the main street of the
addtion, became a fashionable street on which many prominent Lubbock residents built homes.
By the 1920's, the Overton Addition became an integrated part of Lubbock through paving
projects and the annexation of all its land to the City. This development was enhanced by the
establishment of Texas Technological College along the western boundary of the neighborhood
in 1925. As a result, part of Overton developed as a neighborhood serving the new student
population; boarding houses dotted the area and a variety of businesses catering to the college
trade developed along College Avenue.
The neighborhood by the late 1920's and early 1930's was generally middle class, with home
ownership predominating. To this day, many of the North Overton homes still standing were
built in the 20-year period before 1940. Many of these were FHA homes.
The post-war attendance boom at Texas Tech created a shortage of student housing. Although
non-conforming apartments were not legal under the city zoning ordinances, there was a tacit
agreement between homeowners and the City that allowed the conversion and leasing of
apartments without pennits or conformity to city building codes. This decision created many of
the substandard units that plague the North Overton neighborhood today. Rental property
became an important part of the Overton scene as an increasing number of owners moved to
south and southwest Lubbock. Owners converted gm:ages into apartments, subdivided houses,
and the population of the neighborhood began to rise.
By 1960, the increasing enrollment at Texas Tech encouraged a rash of apartment buildings.
This influx of rental housing eliminated much single-family housing, caused traffic congestion,
AppendixC
North Overton TIP Third Amended Financing Plan
City of Lubbock
AppendixC
and introduced a transient population that destroyed the stability of the area. Speculation became
an important part of the real estate market in North Overton, where whole blocks of houses were
bought up in anticipation of massive profits from apartment complexes. In addition, spot zoning
began to destroy the stability of the neighborhood as the threat of encroaching high-density
apartments frightened older residents into selling out.
By the 1980's, the Lubbock City Council recognized that the passage of time, market trends, and
land use changes had created severe pressures on North Overto~ and felt there was an urgent
need to analyze the problems and potential of the area. As a result, the council appointed the
Overton North Study Committee on November 11, 1982. The Committee established as its
mission:
"To explore methods of stabilizing property values in North Overton while allowing the
area to develop to its fullest potential, with a focus on improving living conditions and
the quality of life."
In general, the Committee noted that:
o North Overton has changed from a fairly stable single-family residential
neighborhood to a high-density, renter-occupied, deteriorating area;
o Out of town ownership and/or management of housing has increased, further diluting
the pride of ownership in the area;
o Generally vacancy rates have increased;
o Apartment complexes-most built before the 1975 zoning ordinance placed new
parking and landscaping requirements on apartments-are scattered across the
neighborhood, often isolating single-family residences and increasing congestion;
o Weeds, abandoned vehicles, and trash, especially on vacant lots and in alleys are
common in North Overton;
o Whether due to rental occupancy of single-family housing or increasing apartment
development, the decrease in ownership leads to a lack of pride in the neighborhood;
and
AppendixC
North Overton TIF Third Amended Financing Plan
City of lubbock
AppendixC
o Crime statistics in the North Overton neighborhood are high.
After examining the various trends in North Overton, the Study Committee formulated strategies
to address the area's problems and potential. The strategies would:
o Allow street closures to pool land for large development projects, or to promote
pedestrian access to redevelopment areas;
o Encourage development of pedestrian oriented services for North Overton residents;
o Promote North Overton as a place for Tech students to live;
o Consider alternative financing programs for revitalization projects-possibilities: Tax
Increment Financing, Tax Abatement, Urban Development Action Grants, Industrial
Revenue Bonds;
o Encourage well-planned housing development, particularly that utilizing large tracts
of land;
o Encourage emphasis on home ownership; and
o Encourage lending policies to facilitate home ownership.
Unfortunately, the admirable goals of the Overton North Study Committee have not been
implemented for a variety of reasons.
First, there was a severe downturn in the real estate market during the mid-to-late
1980's.
Second, no developer stepped forward with a plan to consolidate the myriad of
small residential lots into developable tracts.
Third, there were limited public/private partnership opportunities.
In March 1989, RTKL, a land use planning firm retained by the City of Lubbock, issued a
Redevelopment Plan for Downtown Lubbock that included the North Overton area The RTKL
report identified many of the same issues as the 1982 Study Committee. Some of RTKL's
comments about the North Overton area were:
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C
o North Overton is one of those duplex and multi-family areas going through a
churning process that produced urban blight. It is becoming a high-crime area
desperately in need of stabilizing redevelopment.
o A university the size of Tech typically generates the development of a "campus
town", or a significant number of college-oriented retail businesses located within
walking distance of the campus. However, a campus town is missing in Lubbock;
retailers that used to be located across from the Tech campus have since moved to
outlying areas.
o Where North Overton once supplied many of the residential units for Texas Tech
students, many of those students have since moved to newer complexes in suburban
Lubbock.
o North Overton is experiencing a critical level of deterioration. One of the
contributing factors appears to be the extent to which "spot zoning" of apartment
complexes was allowed in a single-family neighborhood.
o Once apartments were developed, single-family homes were purchased as rental units
by absentee landlords;
o With no new multi-family housing starts, and the continued aging of existing garden
apartments, there could be a need for student housing in the North Overton area in the
next few years; and
o Redevelopment of the North Overton area will depend on enough land assembly for a
critical mass of housing to provide an incentive for residential builders to start a range
of housing programs over several years of continual development. The City should
establish new zoning standards that permit a wide range of housing types within
North Overton.
o The community must recognize the importance of private investment and the needs of
the development industry. The City must develop creative public/private joint
development opportunitks and provide public improvements as incentives for
development.
Through the 1990's, the situation in North Overton continued to stagnate.
AppendixC
North Overton Tif Third Amended Financing Plan
City of Lubbock
Appendix C
/Section II: CURRENT SITUATION
At this time, the North Overton neighborhood continues to be an area in distress.
o Population is declining, vacancies are high (32.6% compared to 7.8% for City);
o Owners occupy only 7.3 % of the properties compared to 51.5% in the City;
o Crime is high; and
o Many properties are in poor conditio~ abandoned vehicles and weeds are prevalent,
and there is little to attract anyone to this neighborhood other than extremely low
values and rents.
However, in spite of this (or possibly because of all this) a local developer has come forward
with the express purpose of purchasing and redeveloping about 90% of the North Overton area.
Currently the developer owns approximately 80% of the property he intends to develop. The
developer has submitted a petition to the City of Lubbock requesting that the City establish a Tax
Increment Finance (TIF) Reinvestment Zone to provide the necessary public funds for entering
into a public/private partnership. This public/private partnership will provide for a significantly
enhanced redevelopment of the North Overton area by using public funds for upgraded
intersections, additional landscaping, improved street lighting, park improvements, and street and
utility replacement/reconstruction. In order to ensure this higher quality redevelopment project,
the City has retained J. D. Wilson and Associates to provide design concepts for a pedestrian
oriented district and the City also has prepared redevelopment guidelines and TIF participation
guidelines.
The redevelopment being proposed through use of this public/private partnership follows many
of the strategies noted in the 1982 Overton North Steering Committee report and the 1989
Redevelopment Plan for Downtown Lubbock prepared by RTKL. Plans call for street closures
to allow for larger development projects, student housing will be provided, there will be a variety
of well-planned housing projects, retail to support the neighborhood and the Tech student
population; and the entire development will be pedestrian oriented. Enhancing and upgrading
this private redevelopment will be pubic projects financed by TIF funds.
Appendix C
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C
[ Section ill: FUTURE PLANS
As part of the public/private partnership which will be used to stimulate, enhance and support
redevelopment of the North Overton area, a list of public infrastructure projects has been
developed by City staff as shown in Table 1. These infrastructure projects are designed to
replace 70-year old utilities, provide new street lighting and signalization, upgrade Pioneer Park,
and provide for enhanced landscaping, wider sidewalks, and street furniture. Funding for these
public projects will be financed by TIF funds generated by private redevelopment projects.
Private development projects planned for the North Overton area as part of a public/private
partnership and shown in Table 2, include the following:
TYPE SQ. FT. UNITS
Office
Retail
112,000
277,000
Residential
Multi-Family 928
Single-Family/Garden/Town Homes 333
Retail development in North Overton will be supported by both Tech students and the
neighborhood residents. Based on estimated student buying power of $125 per month per
student, Tech students alone could support between 150,000 and 187,000 square feet of retail
development assuming $200 to $250 worth of annual sales per square foot. In addition to Tech
students, the surrounding neighborhood will utilize the retail development and the retail support
area will be further expanded with the completion of Marsha Sharp Freeway frontage roads
expected in 2008.
No new office space has been built in the Overton area or even in the nearby Central Business
District for several years. The small 112,000 square foot office building being planned for the
North Overton area should fill up rapidly, most likely with tenants from older office buildings
nearby.
Appendix C
North Ovenon TIP Third Amended Financing Plan
City of Lubbock
Appendix C
Prior to the redevelopment planned by this proposed public/private partnership, there were about
3,200 residential units in the North Overton area. However, only about 2,200 were occupied-
by approximately 5,000 residents. With this redevelopment, there are only 1,261 units planned,
about 75% of which are muJti-family, with the remainder a mix of single-family, town house,
and garden houses. This is a much lower density than the development which previously
existed, and we have no doubt this reduced number of units will be absorbed quickly. In
additio~ about 25% of the multi-family units are being planned for Tech students. If this
development for students is successful (and it should be), the number of multi-family units for
students may be increased to 50%.
It is anticipated that build-out of this public/private partnership will occur over a seven year
period and will provide an increase in real property value of approximately $1 71 million. This
increase will be offset however, by a loss in value from demolition of existing improvements of
approximately $17 million. All of this results in a net real property value increase of overt $154
million. Detail of this forecast is shown in Table 3. In addition to the increase in real property
values, it is also anticipated that business personal property and inventory values will be
increased by about $8 million as shown in Table 7.
AppendixC
North Overton TIF Third Amended Fiuncing Plan
City of Lubbock
Appendix C
J Section IV: TAX INCREMENT ANALYSIS
This section documents the detailed analysis and inputs used to generate the tax increment
revenue estimates. Tax increment financing involves:
• Designating an eligible redevelopment area as a tax increment reinvestment zone;
• Soliciting participation of the taxing jurisdictions;
• Setting the assessment base at the level of the most recent assessment; and
• Diverting tax revenues generated by the increase in assessed value to a tax increment
fund for funding public improvements.
Thus, future tax increment revenues depend on four elements:
• The timing and value of new development and redevelopment;
• Appreciation of existing land and improvements;
• The value of any existing improvements demolished to make way for new
development; and
• Future tax rates and the percentage of participation of each taxing jurisdiction.
This analysis will include only tax increment above the base from redevelopment in the Zone.
We have not included any tax increment from increases in value of existing development. Table
2 indicates the projected assessed value and timing of the redevelopment planned for the North
Overton area within the Zone.
Assessment policies in Lubbock County set building assessments at 1 00% of fair market value,
roughly equal to construction costs for new construction. Assessed values are established as of
January 1 of the tax year. Thus, new development in 2002 goes on the tax rolls for the Tax Year
2003. Taxes generated against values in one tax year are due and collected at the beginning of
the following tax year. Thus, for this analysis, tax increment is available beginning in tax year
2004. Table 3 uses the New Development values shown in Table 2 and deducts the loss of value
as a result of demolition of existing improvements to generate an Adjusted Captured Value.
Table 4 used the Adjusted Captured Value as shown in Table 3, and tax rates for each of the
AppendixC
North Ovenon TIF Third Amended Financing Plan
City of Lubbock
Appendix C
taxing jurisdictions, to develop the Annual Tax Increment. Table 5 takes the same Annual Tax
Increment and shows the increment provided by each taxing jurisdiction.
During the proposed 30-year life to the North Overton Area TIF Reinvestment Zone, the tax
increment fund would collect a total of $35,893,000. This tax increment will provide sufficient
funds to pay for all the public infrastructure projects listed in Table 1, even if the TIF Board and
City elect to finance these projects by issuing bonds.
Finally, Table 6 projects the tax income to all taxing jurisdictions without the North Overton
Area TIF Reinvestment Zone. This table indicates that all participating taxing jurisdictions are
projected to receive a combined total of$8,217,471 during the 30-year life of the TIF. Table 8
projects the tax income to all taking jurisdictions with the North Overton Area TIF Reinvestment
Zone which includes tax income from Business Personal Property and Inventory as shown in
Table 7. In this case, all participating taxing jurisdictions are projected to receive a combined
total of$8,878,000 during the 30-year life ofthe TIF. As indicated by these tables, the income to
all taxing jurisdictions during the life of the Zone is more with the Zone than it is without, even
though the jurisdictions are also providing a combined $35,893,000 to the TIF Fund to pay for
the proposed public infrastructure projects.
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C
I Section V: TABLES
Table 1 I NORTH OVERTON PROJECT PLAN
PROJECT
PHASE !-First 6 Years
Marsha Sharp frwy Frontage
0 Improve 81ntersections+ Frontage
0 Landscaping & street lighting
University Avenue Boulevard
0 Signalize 3 Intersections
0 Landscape Median
0 Replace Street Lighting
Pioneer Park Improvements
Eighth Street Boulevard
0 Reconstruction
0 Landscaping
0 Street lighting
Main Street Reconstruction
0 Reconstruction
0 Remove/palletiz Brick
0 Replace ®b & gutter
0 Landscaping
0 Street lighting
Storm Sewer
Landscaping, Sidewalks, Street Fumi1Ure, etc.
Street lighting
Commons, Land Acquisition
Commons, Development
Street Reconstruction/Resurfacing
0 Remove/replace culb & gutter
0 Binuninous Paving on remaining Streets
Alley Paving
Water Line Replacement
Wastewater Line Replacement
TOTAL BOND ISSUES (1-5)
Administration
TOTAL PHASE I TIF COST
PHASE //-Years 7-30
Public Infrastructure
TOTALTIFCOST
Cost,$
BOND ISSUE t
2001
0
0
0
130,000
0
240,000
0
0
0
150,000
50,000
80,000
130,000
0
80,000
40,000
900,000
90,000
990,000
0
990,000
Cost,$
BOND ISSUE 2-5 TOTAL
2003.2006 TIFCOST3 $
1,000,000 1,000,000
900,000 900.000
500,000 500,000
560,000 690,000
490,000 490,000
580,000 820,000
780,000 780,000
118,000 118,000
830,000 980,000
450,000 500,000
420,000 420,000
250,000 250,000
1,100,000 1,180,000
1,800,000 1,930,000
0 0
2,500,000 2,580,000
1,500,000 1,540,000
13,778,000 14,678,000
150,000 240,000
13,928,000 14,918,000
7,000,000 7,000,000
20,928.000 11.9181000
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C Table 2 ~ PRIVATE DEVELOPMENT PROJECTS Land Use COMMERCIAL Acreage Bldg!Sq Ft $/Sq Ft 2003 Retail Center 17.71 270,025 106 Leasehold Improvements 216,000 65 Bank 0.43 1,559 218 Land Value Inc. 13 Office 5.17 112,502 76 Land Value Inc. 10 MULTI-FAMILY Units $/Unit I Site A 9.22 166 54,701 l land Value Inc. 3.25 SiteB 13.36 240 54,602 12,981,860 land Value Inc. 3.25 1,890,727 Site C 15.63 281 54,649 Land Value Inc. 3.25 SiteD 13.36 240 54,602 Land Value Inc. 3.25 OTHER Units $/Unit I I Single Family 61.23 195 180,000 Garden Homes 6.14 102 165,000 Town Homes 5.79 36 165,000 TOTAL 14.{172~87 2004 1,643,981 245,983 13,381,850 1,890,727 8,775,000 4,207,500 1,485,000 3116301041 New Development Values, $ 2005 28,661,220 8,981,872 1,306,053 15,201,792 2,212,184 8,775,000 4,207,500 1,485,000 7018301621 2006 2007 2008 4,680,000 4,680,000 4,680,000 4,275,092 4,275,092 1,126,026 1,126,026 8,775,000 8,775,000 4,207,500 4,207,500 1,485,000 1,485,000 24.548,618 24~48,618 416801000 AppendixC North Overton TIF Third Amended Financing Plan City of Lubbock
Table3
YEAR
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2029
2030
2031
2032
TOTAL
Appendix C
ANNUAL CAPTURED VALUE
ADJUSTED CAPTURED
DEMOLITIONS I K NEW DEVELOPMENT I K VALUE$K
--
(3,703) 14,873
(4,003) 31,630
(5,883) 70,831
(1,588) 24,549
(1,599) 24,549
-4,680
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
--
(161765l 1711112
-
11,170
27,627
64,948
22,961
22,961
4,680
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
154.347
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C
Table4 IANNUALINCREMENTALFUNDSAVAILABLE
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2029
2030
2031
2032
TOTAL
ADJUSTED CAPTURED
VALUE, $K
11,170
27,627
64,948
22,961
22,961
4,680
* Based on 100% participation and tax TOles of:
CUMULATIVE CAPTURED
VALUE,$K
11 '170
38,797
103,745
126,706
149,667
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
154,347
ANNUAL TAX
INCREMENT. $K *
97
337
900
1,100
1,299
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
1,340
35.893
City-$ O.S7000; County-$0.19170; Hospila/-$0.09798; W01er District-$0.00830
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Table 5
YEAR
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2029
2030
2031
2032
TOTAL
Appendix C
IANNUALINCREMENTALFUNDSCONTRIBUTED
CITY
63
221
591
722
853
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
880
23,570
ANNUAL TAX INCREMENT $ K
(By Taxing Jurisdiction)
COUNTY HOSPITAL
21 11
75 38
198 102
243 124
287 147
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
296 152
7.928 4,070
WATER
DISTRICT TOTAL
2 97
3 337
9 900
11 1,100
12 1,299
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
12 1,340
325 351893
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C
Table 6 I INCOME WITHOUT TIF
Income to Jurisdiction Without TIF **, $ ............. REAL BUSINESS
PROPERTY PP& INI/ TOTAL WATER
YEAR 1/ALUE, ~K VALUE, ~K VALUE~K QIX COUNTY HOSPITAL DISTRICT
2002 24,419 * 2,580 * 26,999 ----
2003 24,419 2,580 26,999 153,984 51,757 26,454 2,241
2004 24,419 2,580 26,999 153,894 51,757 26,454 2,241
2005 24,419 2,580 26,999 153,894 51,757 26,454 2,241
2006 24,663 2,606 27,269 153,894 51,757 26,454 2,241
2007 24,910 2,632 27,542 155,433 52,275 26,718 2,263
2008 25,159 2,658 27,817 156,987 52,798 26,986 2,286
2009 25,662 2,711 28,373 158,557 53,325 27,255 2,309
2010 26,175 2,765 28,940 161,726 54,391 27,800 2,355
2011 26,699 2,821 29,520 164,958 55,478 28,355 2,402
2012 27,233 2,877 30,110 168,264 56,590 28,924 2,450
2013 27,778 2,935 30,713 171,627 57,721 29,502 2,499
2014 28,056 2,964 31,020 175,064 58,877 30,093 2,549
2015 28,336 2,994 31,330 176,814 59,465 30,393 2,575
2016 28,620 3,024 31,644 178,581 60,060 30,697 2,600
2017 28,906 3,054 31,960 180,371 60,662 31,005 2,626
2018 29,195 3,085 32,280 182,172 61,267 31,314 2,653
2019 29,487 3,116 32,603 183,996 61,881 31,628 2,679
2020 29,782 3,147 32,929 185,837 62,500 31,944 2,706
2021 30,080 3,178 33,258 187,695 63,125 32,264 2,733
2022 30,381 3,210 33,591 189,571 63,756 32,586 2,760
2023 30,685 3,242 33,927 191,469 64,394 32,912 2,788
2024 30,991 3,274 34,265 193,384 65,038 33,242 2,816
2025 31,301 3,307 34,608 195,311 65,686 33,573 2,844
2026 31,614 3,340 34,954 197,266 66,344 33,909 2,872
2027 31,931 3,374 35,305 199,238 67,007 34,248 2,901
2028 32,250 3,407 35,657 201,239 67,680 34,592 2,930
2029 32,572 3,441 36,013 203,245 68,354 34,937 2,960
2030 32,898 3,476 36,374 205,274 69,037 35,286 2,989
2031 33,227 3,510 36,737 207,332 69,729 35,639 3,019
2032 ---209,401 70,425 35,995 3,049
TOTAL 51396J.88 118141893 9171613 781577
* Estimated FuJure Growth:
2002-2005 0% Year
2006-2008 1% Year
2009-2013 2% Year (After Marsha Sharp Freeway fronJage road completion)
2014-2021 1% Year
**Based on tax raus of: City-$ 0.57000; County-$0.19170; Hospital--$0.09798; Water District-$().00830.
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C
Table 7 I BPP & INVENTORY ESTIMATE,$ K
YEAR OFFICE RETAIL MULTI-FAMILY TOTAL
JNV BPP
2002 -----
2003 ---20 20
2004 ---35 35
2005 -3,375 675 65 4,115
2006 -6,750 1,350 60 8,160
2007 394 6,750 1,080 55 8,279
2008 1,182 6,750 864 50 8,846
2009 1,575 6,750 691 45 9,061
2010 1,260 6,750 553 40 8,603
2011 1,008 6,750 553 35 8,346
2012 806 6,750 553 30 8,139
2013 645 6,750 553 30 7,978
2014 516 6,750 553 30 7,849
2015 516 6,750 553 30 7,849
2016 516 6,750 553 30 7,849
2017 516 6,750 553 30 7,849
2018 516 6,750 553 30 7,849
2019 516 6,750 553 30 7,849
2020 516 6,750 553 30 7,849
2021 516 6,750 553 30 7,849
2022 516 6,750 553 30 7,849
2023 516 6,750 553 30 7,849
2024 516 6,750 553 30 7,849
2025 516 6,750 553 30 7,849
2026 516 6,750 553 30 7,849
2027 516 6,750 553 30 7,849
2028 516 6,750 553 30 7,849
2029 516 6,750 553 30 7,849
2030 516 6,750 553 30 7,849
2031 516 6,750 553 30 7,849
Assumptions:
Office: One-fourth space occupied in 2007, an additional one-half occupied in 2008, fmal one-fourth occupied in
2009. BPP in office space valued at $14/sq. ft. Following full occupancy value, BPP depreciated at 20% per year
for 5 years. Assume turnover to new tenants will keep BPP values at that level for remainder ofTIF life.
Retail: Assume one-half occupied in 2005, fully occupied in 2006. Inventory valued at $25/sq. ft., BPP valued at
$5/sq. ft. Inventory values remain constant over the TIF life. BPP depreciated at 20% per year for 4 years.
Assume turnover to new tenants will keep BPP values at that level for remainder ofTIF life.
Multi-Family: Assume four developments with BPP values of $20,000 each. One occupied in 2003 one in 2004,
and two in 2005. BPP depreciated at $5,000/year until 2012, then will remain constant as furniture and equipment
are replaced with new.
AppendixC
North Overton TIF Third Amended Financing Plan
City of Lubbock
Appendix C
Table 8 I INCOME WITH TIF
BASE REAL d.!1M!1. I Income to Jurisdiction With TIF **,$
I -·
BPP&INV BPP&INV CUMYALUE ' WATER
YEAR YALUE, !,K YALlJE, 5_/( !K CITY COllNTY HOSPITAL DISTRICT
2002 26,999 -26,999 ----
2003 26,999 20 27,019 153,894 51,757 26,454 2,241
2004 26,999 35 27,034 154,008 51,795 26,473 2,243
2005 26,999 4,115 31,114 154,094 51,824 26,488 2,244
2006 26,999 8,160 35,159 I 177,350 59,646 30,485 2,582
2007 26,999 8,279 35,278 I 200,406 67,400 34,449 2,918
2008 26,999 8,846 35,845 201,085 67,628 34,565 2,928
2009 26,999 9,061 36,060 204,317 68,715 35,121 2,975
2010 26,999 8,603 35,602 205,542 69,127 35,332 2,993
2011 26,999 8,346 35,345 202,931 68,249 34,883 2,955
2012 26,999 8,139 35,138 201,467 67,756 34,631 2,934
2013 26,999 7,978 34,977 200,287 67,360 34,428 2,916
2014 26,999 7,849 34,848 199,369 67,050 34,270 2,903
2015 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2016 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2017 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2018 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2019 26,999 7,849 34,848 198,634 66,804 34144 2,892
2020 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2021 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2022 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2023 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2024 26,999 7,849 34,848 I 198,634 66,804 34144 2,892
2025 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2026 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2027 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2028 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2029 26,999 7,849 34,848 I 198,634 66,804 34144 2,892
2030 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2031 26,999 7,849 34,848 198,634 66,804 34,144 2,892
2032 . . -198,634 66,804 34,144 2,892
TOTAL 518301162 1.9601779 1.002,171 84.888
**Baud on tax rates oft City-$ 0.57000; CounJy-$0.19170; Hospilld--$0.09798; Water Distric:t-$0.00830.
AppendixC
North Ovenon TIF Third Amended Filancing Plan
City of Lubbock