TOWN OF BROOKFIELD
- The Corners project took a giant leap forward Tuesday, when
the Brookfield Town Board approved a development agreement with
the Marcus Corporation that includes nearly $38 million in town
Keith Henderson expressed relief and happiness after the board
approved the development agreement without discussion.
He said he
feels it’s a “good agreement that will provide a good project
and protect the residents of the town.”
The Corners is
an outdoor shopping center with Von Maur, an upscale department
store, as its anchor and 150 luxury apartments to be built by
Mandel Group. The 460,000-square-foot development is planned for
the corner of Barker and Bluemound roads.
According to a
memo from Town Attorney James Hammes, the Marcus Corporation
plans to begin construction in 2014 on The Corners project, with
a completion and opening date in the fall of 2015. To help
accommodate the construction timetable, the Town of Brookfield
needs to begin the process of creating a tax incremental
financing district under the recently enacted TIF legislation
that permits the town to create TIFs under the same authority
granted cities and villages, according to the memo.
Corporation has projected that a total of $186 million in new
taxable value will be created within the TIF district, according
to the memo, as a result of The Corners project. That value is
estimated to generate an average of more than $3 million per
year in taxes that will be used to repay the TIF debt
As part of the
developer’s agreement with Marcus Corporation, the Town of
Brookfield will provide a principal amount not to exceed $37.5
million, plus a bridge to connect The Corners project with land
to the east estimated at $450,000, for a total of $37.95
million, according to the memo.
financial involvement will include net proceeds of CDA revenue
bonds to be issued by the Town of Brookfield, a municipal
revenue obligation and payment of net hotel and motel taxes on
any motel revenues generated by The Corners project over and
above the peak historic yearly highs of the town.
meeting Tuesday, Henderson said approving the development
agreement is the first part and that the town still has a lot of
work ahead related to the project’s financing.
Hammes’ memo, there are guarantees and protections built into
the development agreement, including the issuance of the CDA
revenue bonds being contingent on the town’s approval of all
site, construction and building plans, assurances that the
developer has clear title to all of the property involved in the
project, and approval of a development agreement with the Von