CC MEETING: August 18, 2015
DATE: August 12, 2015
TO: Leonard Martin, City Manager
FROM: Tom Latchem, Economic Development Director
Title
Consider A Resolution Authorizing The City Manager To Enter Into An Economic Development Incentive Agreement With Mary's Southern Kitchen, Inc.
Body
BACKGROUND:
Mary's Southern Kitchen previously operated as a catering service and restaurant at 1837 Frankford Road. The restaurant portion of the business has been closed for several years, and the owner now desires to re-open the restaurant at a more suitable location. The proposed location is the retail center at 1500 West Hebron Parkway. The owner also intends operate the catering service at this location, which is focused on serving sports, business, and institutional clients in Carrollton and throughout the Metroplex.
FINANCIAL IMPLICATIONS:
The total cost of tenant improvements is approximately $400,000. Under the Specialty Retail and Restaurant Incentive Policy established in June of 2014, Mary's Southern Kitchen is eligible for a grant of up to fifty percent (50%) of the tenant improvements. The owner has requested a grant not to exceed $182,500. At its meeting of August 4, 2015, the City Council Re-Development Sub-Committee reviewed the grant request and recommended that the grant be capped at $100,000.
IMPACT ON COMMUNITY SUSTAINABILITY:
In addition to investing in tenant improvements, Mary's Southern Kitchen will have a payroll of $350,000 annually and will employ 20 full-time and part-time workers with projected annual sales tax revenue to the city of over $8,500. The owner intends to enter into a five-year lease with an option to renew.
STAFF RECOMMENDATION/ACTION DESIRED:
This project is consistent with the objectives of the City's Specialty Retail and Restaurant Incentive Policy to recruit new and unique specialty restaurants to the city.
The attached incentive agreement outlines the terms and conditions of the grant. Staf...
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