City: No start date yet for mall project
The transformation of Greenville’s Crossroads Mall into a “big box” shopping center is expected to begin in the near future.
Greenville City Manager Massoud Ebrahim said late last week he had not heard from developers behind the project as to an exact start date for the work, although the most recent announcement said the effort was expected to begin by the first week of February. The developers have four weeks to get under way, as the current building permit for the project runs until the end of this month.
In March 2012, the City of Greenville entered into an agreement with Triyar/Crossroads Greenville Properties for a multi-million dollar redevelopment of the property. The city would receive a portion of the increased sales taxes generated by the redevelopment of the mall, splitting the increase with the mall’s owners.
Under the terms of the agreement, Triyar/Crossroads intends to invest approximately $11 million on the transformation. Under the proposed plan, mall anchors Staples, Belk and JC Penney will remain at their current locations, while Beall’s and Hibbett Sports will be relocated into newly created spaces, with the remainder of the leasable area occupied by retailers new to the project.
Tenants which have been confirmed for the center include Marshall’s, Ross, Petco, Encore Shoes and Rue 21. A separate building on the property will be leased to Mattress Firm and Great Clips.
Under the agreement the City of Greenville will pay the developer grant payments calculated on anticipated sales tax increases.
As of March 2012, Crossroads Mall was generating $23 million in annual taxable sales based on a five-year average.
After the improvements are made, the project is estimated to generate $47 million in annual taxable sales.
The City will continue to collect 100 percent of the sales tax payments on the $23 million base which equates to an annual sales tax revenue of $316,250.
The term of the agreement is 15 years and any additional sales tax generated from the project will be split equally between the city and the developer.