Posted on February 17, 2015 at 2:34 PM by Darren Musselwhite
February 6, 2015 Update
Tanger Outlets and the City of Southaven have set the date for the official groundbreaking ceremony for this new development for Friday, March 13. Please see the link below for Tanger's press release.
http://investors.tangeroutlet.com/file.aspx?IID=103061&FID=27350247
January 8, 2015 Original Report
The long-awaited and discussed outlet shops development will become reality in Southaven in 2015. Recently, Tanger Factory Outlet Centers, Inc. announced that it has partnered with Poag Shopping Centers, LLC in Memphis to develop an upscale, destination-style shopping center that will include 70 stores occupying approximately 310,000 square feet of retail space. The total development also has plans to include a hotel and 3 restaurants on the 54 acres of land on the northeast corner of Church Rd. and Interstate 55. Both Poag and Tanger are nationally known for the success of their previous developments throughout the region and country. See the following link for more information about these companies through their press release: http://investors.tangeroutlet.com/file.aspx?IID=103061&FID=26922020
The planning of this project has been underway since 2011 with Poag leading the discussions with the landowners, private investors, retail tenants, and the City of Southaven. Initially, the public financing part of the development was planned to be attained with a 20-Year Tax Increment Financing Bond which would have required the City and County to pledge funding developed by increases in property and sales tax revenues to qualify. This plan was replaced in 2013 when the developer made application and qualified for the Mississippi Development Authority's Tourism Rebate Program which will provide up to 30% of the total project with future sales tax revenues generated only by the development itself, and paid to the developer after the actual revenue is produced. This became a much better funding option for the public part as it eliminated any sacrifice of property tax revenue and will allow the City to complete their part of the funding in an estimated 6-year period as opposed to 20. This program uses the City's and also most of the State's sales tax revenue which is why the funding may be completed sooner. This is an estimated $115 million project which makes the Rebate Program's part approximately $34 million.
Many people have spent countless hours to bring this project to a ground-breaking point. Construction is expected to begin within days and the completion target date is projected in late 2015.
This will be one of the highest-quality developments in the history of our City, and it's my belief that it will create a resurgence of economic development in the Church Rd. corridor, thus adding to the quality of life and financial strength of our City.
