Council OKs $158M mixed-use project

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Development east of Ind. 37 in Noblesville continues as a new mixed-use project will change the landscape of a 240-acre area along Ind. 32/38 and Presley Drive.

Boomerang Development wants to build what will be known as the Noblesville Northeast Business Park and Crossroads. At its Aug. 13 meeting, the Noblesville Common Council approved an economic development agreement with Boomerang to execute the plan.

“(The project) will consist of 102 acres of land designated for industrial business park development (Area A), 40 acres for commercial development (Area E), and the remaining acreage will be senior multi-family (Area B), senior two-family detached (Area D) and additional multi-family development (Area C),” said Judi Johnson, economic development director for the City of Noblesville.

The agreement requires that Areas B and D must be operated as age-restricted communities.

The agreement also allows for the issuance of approximately $6.3 million in bonds to construct regional infrastructure improvements, which Boomerang will then purchase.

“The debt service payments will not be in obligation to the city, which minimizes city risk,” Johnson said. “The city also will pledge the tax increment revenue from the developments of Area B and Area C in order to pay the debt service on the bonds. Based on the estimated projections of the areas, 75 percent of the tax increment will be needed for annual debt service payments. The remaining 25 percent of the tax-increment revenue will be available for the city and the (redevelopment commission) to use for any permissible purposes.”

Johnson said when the project is complete, the land will have a new assessed value of approximately $158 million, an increase from the current assessed value of $2,242,200.

“Some of the benefits of this development to the city are that it meets our housing study gaps,” Johnson said. “It’s a new business park development in the city. It increases our net assessed value. It installs significant infrastructure improvements. The developer assumes all risk by purchasing the bonds. Approximately $2.6 million tax increment dollars will be available annually to the city upon full build out.”

NOBLESVILLE NORTHEAST BUSINESS PARK AND CROSSROADS LAYOUT

Area                            Description                                                               Projected assessed value

A                           Industrial business park                                                              $64,448,000

B                           Senior multi-family housing                                                        $14,250,000

C                           Multi-family housing                                                                   $18,920,000

D                           Senior two-family attached housing (duplexes)                         $23,540,000

E                           Commercial development                                                         $36,700,000

$157,858,000 total

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