The City of Worcester’s $ 2.9 million tax break for Madison Properties’ 121,000 square foot mixed-use building adjacent to the $ 160 million Polar Park baseball stadium in Worcester, received the final state approval, according to a state press release Thursday.
Known as the Left Field Building, the current project will include ground-floor retail space, four office floors, a rooftop terrace and an underground parking garage, according to the press release.
The project involves a $ 50 million investment, according to the Massachusetts Economic Assistance Coordinating Council, which has given final approval to the city’s 15-year, $ 2.9 million tax increase funding agreement. from Worcester.
The Left Field building is expected to create 255 jobs for Worcester residents, according to a request Madison submitted to the city.
Last fall Madison Downtown Holdings, LLC, the Bostonian developer of Madison Properties, applied to Worcester City Council for permission as a certified project to apply for the Massachusetts Economic Development Incentive Program.
The 15-year targeted tax payment schedule outlined in the request begins in 2024, starting at nearly $ 280,000 in annual taxes and ends at $ 369,328 in 2038, all of which are reduced payments from this. that Madison would pay in property taxes to Worcester’s existing commercial property tax. rate.
In the third year of the tax deal, the developer has the option to terminate the schedule and negotiate an alternative TIF plan with the city for the remaining years, as requested.
The request was unanimously approved by city council last fall.
In the same request, Madison made two more certified project designation requests to seek assistance from EDIP’s TIF for projects to build a hotel and 60,000 square feet of commercial office space.
A fourth request was for permission to apply to the Massachusetts Housing Development Incentive Program for a 125-unit, $ 11.3 million residential project.
There are no additional city or state incentives in the pipeline following final approval this week, said Amy Peterson, spokesperson for the city of Worcester.
Denis Dowdle, the principal of Madison Properties developing the Left Field building, was unavailable for comment on Friday.
EDIP is overseen by the State Economic Aid Coordination Council. Madison Properties’ award was one of eight statewide projects, which in total are expected to create 375 new jobs and leverage $ 130 million in private investment.