Courtesy of Target Corporation
The Chelsea City Council approved on Dec. 2, during a regularly scheduled council meeting, economic incentive packages for The Shoppes of Chelsea and a Target that is proposed for the city, but still contingent on city, county and state traffic plan approval.
The vote was a 3-1 approval from the council with councilman Casey Morris voting against the motions.
The council moved forward in the next step toward finalizing an agreement with Franklin Land Associates LLC, which is an affiliate of GBT Realty, to purchase 20.3 acres of land on the corner of Chelsea Corners Way and Highway 47.
The developer extended an offer to Target Corporation to sell an 11.27-acre portion of the land.
Members of the Chelsea City Council voted to move forward toward an agreement between the city of Chelsea and Target Corporation for the development and construction of the commercial development on the corner of Chelsea Corners Way and Highway 47.
Chelsea Mayor Cody Sumners explained during the meeting that the agreement is a $15 million sales tax abatement where Target would get 1.5 cents of the 5 cents that the city collects in sales tax off the sales of the development.
This agreement would last until Target earns $15 million or the contract reaches 20 years, whichever comes first.
Concerning the agreement between the city and GBT Realty for the outparcels, GBT Realty withholds that the developer requests Chelsea to pay $2,400,000 at the closing of the agreement, which will be paid in three equal parts of $800,000.
The first payment would be made when the construction of the development begins with the subsequent two payments being made when construction is complete and when the developer signs leases for more than half of the allotted commercial square footage.
Two public hearings were held prior to the votes taken by the council regarding the developments of both the Shoppes of Chelsea and Target.
Pam Wilson, a resident of Chelsea, said she was concerned with the amount of traffic the development would bring to an already congested area.
“That area is already a bottleneck,” Wilson said.
Resident Paul McKee also spoke during the second public hearing encouraging the council to consider the unique aspects Chelsea could have with less commercial development than other cities.
McKee, who said he has grown up in the area, said there is something special about Chelsea in that it maintains a tightly-knit, small-town feel.
McKee said having a Target come to Chelsea could be a negative on both the environment and the city as a whole.
“Let us just think about it, because there are Targets everywhere,” McKee said.
Sumners said the development could tentatively open in fall 2027 or early 2028 if approved.
