DDA embraces retail incubator concept

Mark Urban, The Record-Eagle, Traverse City, Mich.
·3 min read

Apr. 17—TRAVERSE CITY — Attracting new business to downtown and assisting existing companies — particularly those in service industries — dominated a recent budget discussion.

The Downtown Development Authority board set a May 21 public hearing after a Friday morning review of its 2021-22 budgets for its two Tax Increment Financing districts and the general fund.

DDA CEO Jean Derenzy added a new line item for the TIF 97 budget for a retail start-up program. Similar to other cities in Michigan and Ohio, this proposed retail incubator would provide a space for new companies to launch and get established.

"As we begin to cautiously exit this pandemic, we need to really look at things a little different," Derenzy said of the proposed retail incubator, which she said is provided in the DDA legislation.

Derenzy said the proposed start-up program would also enhance diversity and equity in downtown. DDA board member Pete Kirkwood said the idea of a incubator is an investment.

"This is a real cool idea and it's the kind of thing a DDA ought to do," Kirkwood said.

In response to a question about the proposal helping spur the return of office workers downtown, Derenzy said it would be "more of a cause and effect" because "everything is intertwined."

Mayor Jim Carruthers said "attracting all workers downtown is an important effort for our recovery efforts."

Carruthers said maintaining existing retail and sustaining and supporting existing service workers at restaurants and bars is just as vital because of its impact on parking and housing. The mayor said collecting data on "what are true needs are" to workers in both retail and restaurants/bars is crucial to supporting "the backbone of downtown."

Derenzy said retention of workers in different industries "is always happening downtown."

Further discussion on the budgets for 2021-22 focused on public infrastructure projects that are part of both the TIF 97 and Old Town TIF budgets. Derenzy said "this is the year" to utilize the line item in bridge funding with bridges at Park, Cass and Eighth streets scheduled for work this fiscal year, and the West Front Street bridge at the end of the 2021-22 fiscal year and into the next.

"We have a lot of public infrastructure that's going on in our DDA district in the next, I would say, almost four years," Derenzy said. Also a key component in the 2021-22 budget is a Lower Boardman River unified plan. More public outreach is set for June or July with a final draft of the plan returning to the DDA in early fall.

In other business at the nearly 1 3/4 -hour meeting, the DDA board:

* Extended the emergency declaration to meet remotely through July 31, 2021.

* Received five bids from prospective developers on the infill development of Lot G. The bids will be open and reviewed and return for discussion in May and a formal request for proposals scheduled for no later than June.

* Approved a contract with Windemuller to not exceed $9,400 for the replacement of lights at the City Opera House.

* Heard from Transportation Mobility Director Nicole VanNess that smart meter installation is scheduled for May.

* Appointed Damian Lockhart to the finance committee and Steve Nance to the Traverse City Arts Commission.