An amendment to a special tax district will allow Olympia Fields to become more social — as in, a place for families to play, not just live and shop, near the historic ski hill.
The Oconomowoc Common Council on Sept. 2 authorized the city to enter into an agreement with Neumann Developments, outlining each side’s financial obligations for Tax Increment Financing District 7 for the development of The Social, a year-round destination for families, adults of all ages and corporate clients.
The move allows the city to subsidize the development in exchange for added taxable property that would be generated by The Social within an existing tax district, which, more broadly, has already secured retail establishments, restaurants and homes off Summit Avenue.
The Social would incorporate outdoor attractions, including sand volleyball and snow tubing, and indoor activities including pickleball, golf simulators, bowling, ax throwing and rock climbing. The Social would also have a full-service restaurant, a sports-viewing venue, a coffee shop, an ice cream parlor and a cocktail lounge.
Under the agreement, The Social would have to generate an additional $50.6 million in new property value, called an “increment,” beyond what the ski hill area currently is worth. In turn, the city would pay for $3.75 million in public improvements, including a new Snyder Way road, and $6 million in incentive payments to Neumann.
Taxes generated by the added property value would pay off the public debt within 19 years, according to Bob Duffy, the city’s economic development director.
The council had previously signaled its support for both the development and the changes to the tax district. As planned, the development would turn the former Olympia Resort grounds that once included a hotel and ski chalet on the slope into a new active entertainment complex with a 60,000-square-foot venue.
Separately, but somewhat related, the city will enter into an agreement with Wangard Development, which has proposed a mixed-use residential and commercial development project in the northwest quadrant of a roundabout at Pabst Road and Olympia Fields Drive. That development is expected to add about $36 million in new property value.
Oconomowoc created the TIF district in November 2020 to spur development in what legally had to be declared a “blighted” area of the city, a definition that suggests the private sector was unwilling to invest in an outdated, underutilized and deteriorating property.
Contact reporter Jim Riccioli at [email protected].
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‘ Some details of this article were extracted from the following source www.jsonline.com ’
