By Dan Spalding
News Now Warsaw
WARSAW — City Council President Jack Wilhite is one of several people applauding the city’s decision to use $1.2 million two years ago to help financially revive Marketplace of Warsaw shopping center.
Wilhite says the decision by the city to use $1.2 million in tax increment finance revenue was a good move that will bring the city benefits for years to come in the form of sustained tax revenues from the property near the corner of Center Street and US 30.
The arrival of Bealls — announced earlier this week — brings the shopping center’s occupancy rate up above 80 percent two years after an infusion of money from the city and Sullivan Wickley, the Atlanta-based developer, into the deteriorating retail property that had lost many of its tenants and was likely on the verge of closing.
While he’s leery of government ever playing favorites, Wilhite points out that the city stepped in after it became clear that the shopping center could lose its final few tenants and become a major blighted area in an area that sits just yards away from a main corridor.
The past investment, he said, ensures future tax revenue while boosting the business climate.
“These investments come back and help us with tax money. They also help keep the tax rate down. It’s really a win-win situation,” Wilhite said.
He’s also quick to point out that news of the store coming to Warsaw has been popular with some.
“I can tell you my wife is very excited,” Wilhite said. “She’s gone to a number of Bealls when we go down to Daytona and she’s excited. I can tell you that.”
Warsaw is not alone in choosing to support the private sector in redevelopment efforts for shopping centers.
John Murphy, a partner with Sullivan Wickley said the firm spent millions of dollars of its own money in numerous ways to rehabilitate the property. Much of that involved replacing heating and air conditioning units that had quit working as well as improving the parking lot.
More recently, the company upgraded sidewalks along many storefronts as Sullivan Wickley pushes to fill a few remaining storefronts on the property.
Murphy said support from municipalities — especially with the use of tax increment finance money — is a trend seen across the country as developers try to revive shopping centers hurt by shifts in the economy and American spending habits.
“The city leadership used the TIF money in the right way, versus other cities subsidizing new construction — that’s silly. That’s just giving developers money,” Murphy said.
Along with Bealls, the developer has since brought in Big Lots, Gabe’s and Planet Fitness to the shopping center.
Several store managers and employees said they were pleased with the investment and arrival of Bealls, but many could not talk on the record because of corporate policy.
That was not the case for Stephanie Hood, manager at Shoe Sensation, which is possibly one of the longest-standing tenants in the shopping center.
“I am so thrilled that it’s opening!” Hood said. “I go to the one in Florida and the one in Columbia City. This is going to be so close so I can spend all the money I make!”
She also sees it as a benefit to the shoe store, which sits on the far east end of the property near where a Bureau of Motor Vehicles branch office had previously been located.
“It’s gonna generate business and we need that since the BMV just moved out so that’s going to make a huge difference,” she said.
Beals is expected to open this fall in the storefront just west of Gabe’s.
Bealls also has a store in Plymouth.
