Mayor Delores Martin is pleased to announce Southpointe Crossing, a major prospective development for the City of Manvel. KRC Acquisitions, Inc. (“KRC”), a joint venture comprised of Rockefeller Group Development Corporation (“RGDC”) and Kimco Developers, Inc. (“Kimco”) has contracted to purchase approximately 911 acres with almost two miles of frontage on the east side of SH 288, between SH 6 and Croix Road (CR 58). The city has been asked by KRC to create Tax Increment Reinvestment Zone Two (“TIRZ-2”) to help pay for the infrastructure costs primarily related to storm water facilities and roadway improvements including the construction of the overpass at SH 288 and Southpointe Crossing Pkwy as depicted on the proposed land use plan included as part of this presentation. This new interchange will have a regional impact that will encourage further investment in the city and Brazoria County. It will accelerate the grade separated crossing for Rodeo Palms Parkway by at least seven to ten years and will enhance the city’s presence on the SH 288 corridor.
This plan also includes a proposal to build a $3.5 million city hall/civic center, the widening of Iowa Lane’s 60’ ROW, currently improved by an 18’ gravel roadway, to a 120’ ROW with a four lane boulevard that would run from SH 6 to CR 58, major storm water management facilities and public parks. It is estimated that the total costs for the TIRZ-2 improvements in the area to be developed by KRC will be $54,861,000. These costs will be funded by KRC, subject to executing the Development Agreement with the city. The creation of TIRZ-2 will allow KRC to recover these dollars over time from the incremental increase in taxable value that will be created on the KRC property, which is forecast to grow to $677,176,000 over a ten-year development life. TIRZ-2 will provide the city with the capital improvements and infrastructure necessary to meet the needs of those desiring to move to our community but at no cost to our present citizenry. A separate schedule is attached that breaks out the type and estimated cost for the improvements to be funded by KRC on the subject 911 acres.
The city is also working to create two “in city Municipal Utility Districts” to allow for the water, waste water treatment and drainage facilities required to service this prospective development. These costs are estimated to total $55,128,000 and will be funded up front by KRC. The combined costs for TIRZ-2 and the MUDs are estimated to be approximately $110,000,000, all of which will be funded by KRC. This investment will be subject to the city’s approval of the creation and formation of these entities; city approval of the Planned Unit Development document being prepared by Kerry R. Gilbert & Associates, Inc. and KRC; and execution of the Development Agreement between the city and KRC.
Southpointe Crossing is planned as a mixed-use development comprised of commercial, retail, residential and Manvel civic center, to include a new city hall. The project is in the advanced phase of its planning and due diligence by KRC. Subject to final approvals by KRC’s investment committee of the land acquisition and city approval to crerate TIRZ-2 and the MUD formation, KRC could close its first phase in January 2007, with the balance of the land that is east of the GCWA canal and planned for residential housing, to be closed by July 2007. This residential component is planned for 1,680 lots in a variety of sizes and will feature homes by some of the regions most well known homebuilders.
The primary entry will be at SH 288 and Southpointe Crossing Pkwy, a to-be-built four-lane esplanaded boulevard that will connect with Rodeo Palms Pkwy to the west. A diamond pattern, urban interchange, similar to the one nearing completion at CR 59 and SH 288, will be built and LJA Engineering & Surveying, Inc. has started the schematic design and engineering for the interchange. The city has worked closely with County Judge John Willy, Gerald Roberts, Brazoria County’s engineer and TxDOT’s Angleton office to insure that the long-term interests of the city and county will be served by this proposed major improvement.
RGDC is one of the nation’s leading development firms. Owned by The Rockefeller Group, an owner, developer and manager of institutional properties for over seventy years, most prominent being the world renowned Rockefeller Center in New York City, its real estate resources are extensive. The development corporation is currently planning and developing over 13 million square feet of building space. Southpointe Crossing would be RGDC’s first development project in Texas.
Kimco Realty Corporation, the parent company of Kimco Developers, Inc., operates as a real estate investment trust (“REIT”) and is the largest publicly traded owner and operator of neighborhood and community shopping centers in North America. In addition the company develops retail properties for sale, invests in real estate related securities and mortgages secured by real estate. Kimco has extensive holdings in the Houston region that include The Fountains shopping center on U.S. 59 and the highly acclaimed Market Street mixed use project in The Woodlands’ Town Center.
RGDC and Kimco are jointly developing a new town center for the city of Miramar, Florida and it is now under construction.