PEORIA — The developer of a popular coffee chain coming to a busy Peoria intersection could be the beneficiary of a development deal with the city.
Peoria is proposing a tax-increment financing deal with the developer of a Dutch Bros Coffee shop that is being built at the intersection of War Memorial Drive and University Street. The store is targeting an opening date sometime in the fall.
The terms of the TIF deal, if approved by the Peoria City Council on Tuesday night, would see the developer reimbursed on TIF-eligible expenses up to $1.2 million or until the end of the TIF, whichever occurs first.
However, 75% of the tax increment available is currently going to a previous developer as part of a different deal, meaning the Dutch Bros developer would only be able to see 25% of the available reimbursement. When the previous deal closes, the reimbursement for Dutch Bros would grow to 50%.
Despite not being completed yet, the Dutch Bros site has already been listed for sale by the developer for $3 million. The listing says a 15-year corporate lease comes with the property. The TIF agreement would pass on to the next owner.
City Councilman Alex Carmona, whose 2nd District is home to the development, is generally not a fan of TIFs but said he does support this deal and is excited for the Dutch Bros to open.
“I think it’s all really valid and I am really excited to see Dutch Bros come to Peoria,” Carmona said. “I’ve seen it change so many things back in Colorado, so many different areas. It’s kind of like a pretty crazy anchor business, so really looking forward to it.”
This article originally appeared on Journal Star: Popular coffee chain could get tax development deal from Peoria
Reporting by JJ Bullock, Peoria Journal Star / Journal Star
USA TODAY Network via Reuters Connect
By JJ Bullock, Peoria Journal Star | USA TODAY Network
