City Center Financing Breakdown
Developers pitch city leaders for a new city center in Elmira. The project could generate more than a million dollars a year in tax revenue.
Elmira (WENY) - Developers pitched city leaders today for a new city center in Elmira. The project could generate more than a million dollars a year in tax revenue. The courtroom in City Hall was packed with people waiting to hear abut the project. The developer, Mike Elzufon's flight was delayed, so he made his pitch over the phone. George Miner from STEG helped break down the financing, projected to top $40 million. Elzufon's company is putting in $4 million.
A little more than $5 million will come from the state if the Southern Tier Regional Economic Development Council wins a grant. $13 million is expected from increased tax revenue generated by the project. George Miner says $17 million will come from bank loans, after an occupancy study is complete.
“Before a bank is going to dedicate money towards a hotel they want to see a study that shows people are going to use it and are going to pay whatever the cost is,” says Miner.
Mayor Sue Skidmore is excited about what the project brings to the city.
“The properties that we have there now generate a little over $80,000 a year in taxes which is split between the county the school district and the city. This new project is going to generate over a million two,” says Skidmore
Those are the numbers, but what's the draw???
“What we've noticed in our marketing with regional tourism for example,” says President of the Chemung County Chamber of Commerce Kevin Keely. “Elmira is a very attractive site, geographically attractive site, for a lot of visitors to the entire finger lakes, upstate region.”
Before moving forward, the developer and STEG will present the project to the city school district leaders and the County Legislature.