Orange County NC Website
Browse       Search
2 <br /> outlined, work will move forward with other staff members to develop the first draft policy <br /> documents for further review. <br /> Steve Brantley and Dwight Bassett reviewed the Chapel Hill and Orange County <br /> Incentive Policy Worksheet, found in attachment 1A. <br /> Mayor Hemminger said staff has been attending different economic development <br /> outreaches in and around the research triangle area. She said there is growing economic <br /> influx into this region that can be tapped into. <br /> Mayor Hemminger said there are companies in Chapel Hill that want to grow and <br /> expand, but there is no space available. <br /> Chair McKee said there is UNC Launch, but there should be a framework for those <br /> companies that are outgrowing the Launch facilities. <br /> Steve Brantley said when he and Dwight Bassett have met in recent months, they have <br /> considered if there were incentives, and asked what are they looking to get out of these <br /> incentives. He said they also talked about how to fund incentives. <br /> Steve Brantley said the types of possible projects are a myriad of mixed-use re- <br /> development areas, large single purpose uses, as well as moderate and small-scale <br /> businesses and start-ups. <br /> Steve Brantley referred to synthetic tax increment financing and said there are <br /> examples of this being used across North Carolina. He said the basic concept is that the net <br /> new property tax values that spin off from such projects goes into the repayment of the <br /> synthetic tax increment financing. <br /> Steve Brantley said a second area could be a performance agreement that outlines <br /> what is agreed upon. <br /> Steve Brantley said there are projects that could require a State of North Carolina <br /> matching fund. He gave an example. <br /> Steve Brantley said smaller companies may represent a more marginal net new <br /> property tax value. He referred to Attachment 1 a to highlight the various options the County <br /> could pursue. <br /> Council Member Parker said there are two primary areas in which the Council has <br /> expressed an interest, the first of which is making Orange County and Chapel Hill an <br /> innovation community. He said the other priority is an inventory of spaces. He said either <br /> inventory needs to be created, or at least have specs for new inventory. He said the largest <br /> need seems to be job expansion and job creation. <br /> Council Member Palmer asked if spaces, such as industrial innovation zones, should <br /> be built in order to get ahead of the curve. <br /> Dwight Bassett said the market is not driving office space. He said retail is at a 6% <br /> vacancy and only two thirds of the market potential is being captured. <br /> Mayor Hemminger said whatever happens in Orange County benefits Chapel Hill, and <br /> vice versa. She said she was hoping Orange County would help the Town get the Eubanks <br /> Road area off the ground, and asked if there is an appropriate time to have those <br /> conversations. <br /> Chair McKee said the County would also like to be partners, and he hoped that some <br /> directions could be framed on a few of these items. <br /> Council Member Oates said she has heard from developers that it is difficult to get <br /> lenders to give funding to spec office space. <br /> Dwight Bassett said that is one of the barriers that is being faced on many projects. He <br /> said it is a matter of showing developers that the tenants will come if the spaces are built. <br /> Commissioner Price referred to the analysis of the current space, and asked if it would <br /> be wise to get ahead of the curve in terms of the types of spaces needed versus what <br /> currently exists. <br />