City Legal and Finance committee moves forward on Block 5 project
RAPID CITY, S.D. (KEVN) - The Rapid City Council’s Legal and Finance committee approved a proposal to build a multi-purpose building on St. Joseph Street. The process has been ongoing for setting up a special tax district to help make the project more viable.
The proposed Block 5 project from Lloyd Companies is focused on building a multi-use facility between 5th and 6th streets downtown in what is now a parking lot. The building would include commercial businesses, as well as residential space, and a Hyatt Place hotel.
Sarah Hanzel, city planning projects manager, says the project, once completed, would revitalize the downtown economy.
“By the nature of incorporating that diverse mix of uses, getting more people downtown and living there, more opportunities to stay downtown from a hospitality perspective, it really adds to the potential for the downtown area,” Hanzel said.
The Lloyd Company applied for the Tax Increment Financing district as a project to specifically contribute to economic development.
City Attorney Joel Landeen says it’s been a long process, and the city is successfully addressing the funding issues surrounding the building.
“Rather than this being the beginning of the process, the council approval is, at this point, coming toward the end of the process,” Landeen said. “Lloyd has already done a lot of work in terms of agreements with the hotel, and preliminary financing approval.”
The Legal and Finance Committee strongly supports the economic development effort, and Legal and Finance Committee chair Darla Drew says that Lloyd Companies has a unique opportunity to contribute.
“We’re giving the property to you to use in the best possible way,” Drew said. “It’s not our only opportunity we’ll ever have to have a wonderful building downtown, I’m sure there are other areas that will become available. But this is something that we’ve been working on for a long time.”
The committee unanimously decided to move forward with the project.
The proposal moves next to the full council.
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