Aquarium TIF Facts
If Tax Increment Financing (TIF) is approved, Kuvera Partners will be fully funded and ready to begin building the 46,000-square-foot Aquarium at the Boardwalk on the property of the long-vacant Grand Palace. The City’s consultants have validated that without TIF assistance, Kuvera’s anticipated rate of return would not be sufficient to justify the risk of making such a substantial investment.
Here are some key facts from Kuvera Partners about the proposed $51 million project:
- Our request for $7 million in TIF assistance is based only on what we need. Although we’ll have $9.5 million in eligible expenses, we are not requesting the full amount.
- We are projecting to be able to entirely repay the TIF in 15 years – well in advance of the 23-years allowed by the TIF statute.
- The TIF assistance is only being requested so we can build the aquarium. This will be the catalyst for us to be able to develop the remainder of the property. We will not be requesting TIF for the additional development of this property, meaning all tax revenues will go directly to the schools and other taxing districts.
- Our TIF plan complies with the City’s policy for the use of TIF – the amount requested is 13.7% of total project costs. This is significantly less than the 20% threshold allowed under the City’s policy.
- Our own equity contribution to the project is 29.7%, nearly double the 15% minimum equity contribution required by the City’s TIF policy.
We didn’t set out to build an aquarium. The results of eight separate research studies convinced us that building an aquarium is the best way to attract new visitors to Branson.Tej Sundher, Partner, Kuvera Partners
- H2R Market Research found that an aquarium will bring new visitors to Branson and cause existing visitors to come more often, stay longer, and spend more money.
- Based on the extensive market research by H2R, the aquarium will positively impact other local businesses, including attractions and shows, with particularly significant gains for restaurants and lodging.
To get updates on the proposed Aquarium at the Boardwalk, sign up at www.www.aquariumattheboardwalk.com.