University Place participation agreement amendment
Amendment to the tax-increment participation agreement for the University Place Community Development Project Area, replacing a 300,000-square-foot Class A office benchmark with 100,000 square feet of new retail. The Redevelopment Agency approved the change March 12, 2024 with setback and buffering requirements and a bar on using the new retail to earn residential units.
- Where it stands
- Approved
- Type
- Development agreement
- Location
- University Place, Orem
- Applicant
- University Place
Every hearing and vote
March 12, 2024 · City Council
Amendment to University Place participation agreement
Approved · 5-0
City Attorney Steve Earl explained that University Place earns tax-increment reimbursement for infrastructure by meeting benchmarks. Because demand for office space fell after COVID-19, the resolution replaces the 300,000 square feet of Class A office space required in benchmark 3 with 100,000 square feet of new retail, shifting later benchmarks down 100,000 square feet until benchmark 8, which is unchanged. The developer has met benchmarks 1 and 2, there is no deadline, but the maximum increment requires completion by 2039. The new retail sits next to existing homes, so setbacks and tree buffering are required, and the added retail cannot be used to earn additional residential units under the PD-34 zone's 1.5 units per 1,000 square feet of retail limit (about 1,500 units on roughly 1.2 million square feet). Earl said the amendment adds no jobs or sales tax but keeps the incentive to expand.
- Zone: PD-34
- Change: 300,000 sq ft office replaced by 100,000 sq ft retail in benchmark 3