Avon Estates to Add New 24 Unit Apartment Building
AVON -- Avon Estates will undergo an even quicker expansion now that a new 24-unit apartment building will be started next month.
At the city council meeting Monday night, the council approved a one-dollar sale of a lot to be managed by INH Propertery of St. Cloud.
The city chose to sell the lot for below market value to get the highest possible, long-term return on Tax Increment Financing or TIF, since the city cannot collect the assessment already on the land itself.
TIF is usually given to a developer as long as a certain percentage of the building is deemed "affordable housing", however in the deal the city finalized Monday night the city itself will receive the TIF benefits.
Avon currently estimates that the 24 unit building will bring the city around $34,000 a year in revenue until 2033, possibly increased to around $55,000 a year in revenue if the property is expanded to a 36 unit building.
The apartments are expected to be done by summer next year.
The city council hopes that the new apartment will draw new families into Avon, and help them recoup costs related to the entire development.