Buckeye may be getting a new shopping center by early 2022 on the corner of Jackrabbit Trail and Indian School Road.
During its Jan. 19 meeting, Buckeye City Council approved moving forward on an economic development agreement for a new retail center called Jackrabbit Ranch.
Developer SimonCRE owns 13 acres at the southeast corner of Jackrabbit Trail and Indian School Road and plans to develop a 72,000-square-foot shopping center there.
The city is requiring SimonCRE to construct two eastbound lanes on Indian School Road in front of the project.
“Obviously, that intersection will become very congested in the future, and it would be better to plan for it now and add that third lane today,” said Economic Development Director Dave Roderique. “There will be essentially three through lanes plus the turn lane.”
According to agenda documents, this $18 million project will create about 75 to 100 new jobs, with the city receiving a projected $7.5 million in sales tax revenues over the first 10 years of operation.
The development agreement calls for the city to reimburse SimonCRE for a maximum of $300,000 for the cost of the third lane.
The city will also reimburse 49% of the construction sales tax, or a projected $161,000 out of an estimated $330,00 construction sales tax, plus a reimbursement of $139,000 in permit and plan check fees.
The maximum reimbursement total is $600,000.
The two reimbursements are performance based, so SimonCRE must first build the facility infrastructure and pay the required construction taxes and building permit/plan fees in order to be reimbursed.
If the development agreement for Jackrabbit Ranch is approved at the next council meeting Feb. 2, SimonCRE plans to begin construction this spring in order to have an opening in early 2022.
“This is putting dollars and incentives right where we want them to go,” said Councilwoman Michelle Hess. “I appreciate that, and I appreciate the developer being willing to take on that front cost. I think this is a great idea.”