OMAHA, Neb. (KMTV) — Central Omaha neighborhood reporter Molly Hudson is following up on this potential new deal to kick-start the crossroads development. That agreement includes the city taking ownership of the land and leasing it to the developer. Doing this, they say, ensures accountability. But what happens if the development never happens?
- According to documents, the city would acquire property for nearly $39 million in this first phase.
- The city will pay for it using bonds that will be presented to city council members later this fall, that debt will later be paid off from TIF revenue.
- The undeveloped land will be leased to the Woodbury Corporation, and they'll build on the site.
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"I get the terrible feeling that nothing is ever going to become of it," said Tom Olson, who has lived in the neighborhood north of Crossroads for 6 years.
The nearly $862 million project will be broken down into phases.
"This first phase which is very concentrated, and a large amount of the $860 million we are talking about, can start in the next 6 months, spring of 2025 and be complete by 2027," said Pete Festersen, president of Omaha City Council.
According to documents, the city would acquire property for nearly $39 million in this first phase.
The city will pay for it using bonds that will be presented to city council members later this fall, that debt will later be paid off from TIF revenue.
"The developer will pay their property taxes, as we all know how TIF works, the developer will pay their property taxes and those excess ad valorem taxes will actually then be given to the city to repay the city's cost to acquire the land and build the facilities," said Jennifer Taylor, Deputy City Attorney for the City of Omaha.
The undeveloped land will be leased to the Woodbury Corporation, and they'll build on the site.
According to the developer, starting next spring neighbors will see construction begin on new parking garages and apartment buildings near Cass Street.
Omaha leaders believe the agreement and the city's ownership of the land gives the city more say in the project.
"We now have a legal ability that we did not previously have to ensure that that maintenance is undertaken,” Taylor said. "If they don't fulfill their obligation to do the construction, we will own the property."
When demolition of the old Crossroads Mall began, we were told the new construction would be complete by 2026.
Now the new deadline is 2032.
