Plan commission recommends measures to expedite downtown wine bar proposal

Mar. 2—JANESVILLE — The plan commission recommended two measures Monday that will further a proposed wine bar and mixed-use development downtown.

The commission approved a recommendation to the city council by two 5-1 votes for the acceptance and leasing of property at 13 N. Main St., which became a vacant lot last year after a building formerly deemed unsafe was razed.

Commissioner Andrew Udell abstained from both votes.

The recommendation is related to the proposed establishment of Genisa, a wine bar that would replace Legends Tavern at 11 N. Main St. The second floor in that building would be remodeled into gathering space and overflow bar seating. The third floor would have space for short-term lodging, according to a memo from city staff.

The lot at 13 N. Main St. would be transformed into outdoor patio seating for the wine bar.

Economic Development Director Gale Price said city officials thought it was in the developer's best interest for the city to gain ownership of 13 N. Main St. because it would keep the project on schedule without placing further financial burden on the developer, who would have ownership of 11 N. Main St.

The city does not expect the current owner of 13 N. Main St., Bruce Monson, to pay the $172,264 in outstanding property taxes and special assessment fees he owes after the demolition, according to a city memo and county tax records.

The city council in February approved a tax-increment financing agreement for the $2.5 million redevelopment project that paved the way for the city's ownership of 13 N. Main St. and the lease to the Genisa developer.

Price said in February the historic nature of downtown buildings makes redevelopment expensive and sometimes unrealistic for developers, which prompted the incentive agreement. City ownership is consistent with other revitalization projects, he said.

The city will absorb the accrued cost for demolition of the former 13 N. Main St. building, Price said in February.

Without the acceptance and lease agreement through the city, Price said Monday it would take Rock County at least six months to foreclose the property, which would push the project well past developer Greg Hughes' desired opening date this summer.

If the city council passes the latest proposals, the city would lease the 13 N. Main St. land to Hughes for $1 a year and give Hughes the opportunity to buy the property for $1 after five years, Price said.

If Genisa is successful for five years, it likely will continue to be successful for some time after, Price said. If not, the city will maintain ownership of the 13 N. Main St. lot and be able to market the property for future development, Price said.

The patio envisioned for the lot will be especially vital this year because of the continuing pandemic, Price said. Outdoor dining has been considered by health officials to be a safer alternative to indoor dining.

Beyond that, the outdoor patio will have direct access to the Rock River, which has been a hallmark of the city's overarching ARISE downtown redevelopment vision, Price said.

Commission member Carl Weber asked if the patio's position in the Rock River's floodway is of concern to the city. Price said the city had no such concerns.

Before the vote, Weber said the Genisa proposal is consistent with the vision Janesville has for downtown.

The city council will consider approving the land acceptance and leasing at its meeting Monday, March 8.