City Council committee approves Midtown Commons agreements
Martin Kidston
(Missoula Current) A housing and commercial development in the Midtown district moved closer to reality on Wednesday after a Missoula City Council committee approved several agreements tied to the project.
Midtown Commons, estimated at around $100,000 million, will provide up to 250 housing units, including condos priced in the mid $300,000s and a well-appointed park.
The City Council's Land Use and Planning Committee approved the agreements on a 10-1 vote, with Kristen Jordan in opposition.
If the project wins approval next week from City Council, it would bring development to a lot that has sat vacant for more than 40 years. The city will sell the 15 acres to Miramonte Companies for $7.9 million while providing $10.9 million in tax increment to help develop the infrastructure.
Miramonte will repay the city for half the infrastructure cost, or $5 million.
“Our goal is to pay this off as quick as possible,” said Chris Kimmerly, owner of Miramonte.
John Warner, board president of the Missoula Midtown Association, said the project will serve as the district's first major development since the adoption of the Midtown Master Plan.
District advocates have praised the project for meeting a range of Midtown goals.
“It will serve as a catalyst toward further development of the plan,” said Warner. “This parcel of land is in a key location and has been underutilized for 40 years. We're looking forward to having Midtown Commons as a neighbor.”
Several critics of the plan said they weren't against the development as a whole. Rather, they have lobbied to see the city to preserve a portion of the vacant lot, which has served as defacto open space for years.
Portions of the 15-acre parcel include an irrigation ditch that attracts wildlife and offers a dense but aging stand of mature trees. Visionary documents created for Midtown in the past have also identified the area as potential open space, though that was never made official.
“We're excited to have new neighbors,” said resident Carrie Schreiber. “We've never contested whether or not to develop it. But it's always been smart development and working with a natural feature.”
Cathy Scribner added, “It's more than just some cottonwoods. It does provide an incredible flyway for many species of birds. It could truly be incorporated into a new park and make it an amenity.”
Regular users of the area claim they've spotted various owls and other migratory birds, along with deer. But city officials said the property was never designated in official plans as potential open space.
Rather, they said, it was purchased with the intent of development and to help meet Missoula's housing needs.
“It was not purchased as parkland or public land for recreation,” said Parks and Recreation Director Marina Yoshioka. “While residents may be using the existing space for recreation and wellbeing, it's not currently a city park. The parcel was purchased with the intent of development.”
Bob Cole with the Missoula Irrigation Company said it was open to working with the city on rerouting the irrigation ditch if plans require it. However, he cautioned against transforming the ditch into an “attractive” feature once a park is developed on site.
Doing so could leave the city liable, he said.
“We want the project to go through,” he said of Midtown Commons. “But we'd like people to know that the ditch is for irrigation. The water that goes through the ditch isn't necessarily for playing in. We don't ever say come and play in our ditch. It's an attractive nuisance, but it's really not to be played in.”
The promise of infill development and a range of housing options priced below the median point have others praising the project for its housing potential.
While a final development plan has not been approved, the current proposal calls for a range of housing types including single-family homes, apartments and condos. The exact blend of each type hasn't been determined.
Kimmerly said the price target for the condos sits at around $350,000. The project is targeting the high $400,000s for the duplexes while the single-family homes will sell for more.
When each product closes, a portion of the sale will go to repay the city $5 million for the cost of infrastructure. The city will cover the remaining $5.9 million in infrastructure costs with tax increment from the district.
“Our goal here is to develop and sell a product under the median sales price,” said Kimmerly. “That's our business model and I think it's going to be successful. I guarantee these loans. I'm not a huge corporation. But I'm very confident we'll be in the $300,000s (for the condos).”
Others praised the project for its delivery of housing amid Missoula's housing crisis. The city could funnel revenue from the $7.2 million property sale into to the Affordable Housing Trust Fund while Miramonte's $5 million reimbursement will go back into the Midtown district. Some of that could help subsidize a nearby deed-restricted housing project at Franklin Commons.
Infill development also helps preserve outlying areas from urban sprawl, advocates said.
“Missoula needs more homes, and we do need them in town,” said resident John Wolverton. “Focusing inward helps save our surrounding open space lands that we all adore very much. This is an opportunity to move forward and get toward those goals.”