(Beaver Dam) The Beaver Dam Common Council last (Monday) night approved an incentives plan for the Heritage Village Mall that will pave the way for as many as three new retail stores coming to Beaver Dam. Marshalls, Ross Dress For Less and Five Below are in talks with the Heritage Village Mall. The incentives package allows mall developers to prepare the space formerly occupied by the Boston Store for lease to the retailers. Trent Campbell is the Vice President of the Beaver Dam Area Development Corporation, which is the city’s economic development agency.
“Without the city incentive it is highly unlikely that these new retailers would be coming to Beaver Dam,” Campbell says, “that would likely result in their permanent loss to the city and it would likely lead to the loss of existing tenants as well. The next domino that would likely fall under that scenario, would be bank repossession of the property and that would likely be followed by discounted liquidation.”
The incentive being offered to the Heritage Village Mall totals $600-thousand dollars over ten years if $3-million dollars is invested to develop the former Boston Store for Marshalls and Ross Dress For Less. If Five Below agrees to a lease deal, mall developers would get up to $800-thousand dollars over ten years to compliment a $4-million dollar infrastructure investment.
“With city incentive assistance the project moves forward largely with private financing,” Campbell says, “we’re just a catalyst with the incentive money. Two or three prominent retailers join the Beaver Dam business community — I think the public would be excited about those added outlets for shopping — and the chances of retaining neighboring existing retailers are significantly enhanced.”
The funding for the incentives would come from the Tax Increment Finance District #8, which was established two years ago to prevent the onset of blight, repair roads and parking lots and encourage private development through incentives. TIF #8 encompasses 18 parcels over 86 acres of residential, commercial and industrial zoning in and around the mall with a base value of $6.2-million dollars and a life expectancy of up to 20 years. The TIF is expected to realize $18.2-million dollars in new value over that time, generating $7.1-million in tax increment for the city.
The stores have indicated that they would like to be open by this winter or early spring of next year.