Latest news with #RodYates
Yahoo
20-02-2025
- Business
- Yahoo
Destination Nebraska Act: New path proposed for Rod Yates' mega project in Gretna area
Rod Yates, owner of Nebraska Crossing shopping center, has another potential shot at creating a sports entertainment campus under a legislative proposal by State Sen. Beau Ballard of Lincoln. (Cindy Gonzalez/Nebraska Examiner) LINCOLN — Faced with instant skepticism from some state lawmakers, businessman Rod Yates Wednesday unveiled a new plan he hopes will get his much-discussed sports-themed tourist magnet up and running between Lincoln and Omaha. Having scrapped his earlier application to develop the Gretna area project as a 'good life district' under Nebraska law, Yates' latest and more compact version would take shape under a proposal by State Sen. Beau Ballard of Lincoln. Ballard, joined by the Yates team, outlined Legislative Bill 637 during a public hearing before the Legislature's Revenue Committee on Wednesday. He said the Destination Nebraska Act allows for the establishment of two 'destination sites' in the state that in time could create jobs and draw big tourism dollars. While Yates is not specifically named, the bill is tailored for a 1,000-acre project site that expands his existing 40-acre Nebraska Crossing shopping center campus near Interstate 80 and Highway 31. Yates told the committee that at a full buildout he projects $2 billion in annual retail sales and 20 million visitors a year with pro athletic teams, a youth sports resort, arenas, housing, furniture district, retail and entertainment venues he foresees occupying the project site. Fundamental features of Yates' previous plan remain the same, but LB 637 calls for elements that state lawmakers described as unusual and opponents, in some instances, called unconstitutional. For example, the legislation calls for the destination project site essentially to become its own village, which would have power to sell bonds and use public tax increment financing to help pay for development of the district. The Nebraska Department of Economic Development would be charged with determining an occupation tax to be imposed in the area. Indeed, the plan also calls for the current Nebraska Crossing mall to be de-annexed from the City of Gretna, becoming a part of the new village Yates compared to the economic development zones that Walt Disney World uses in central Florida. 'You're creating a city for all intents and purposes,' said State Sen. Brad von Gillern of Omaha, committee chair. 'This is a very unusual approach … I am skeptical of.' The proposal relies on a close partnership with the Nebraska DED, which Ballard said would need a few staffers to guide destination districts. Sens. Mike Jacobson of North Platte and Kathleen Kauth of Omaha raised questions and concerns about the use of TIF on destination sites. 'I admire your ambition, but I do see some problems,' said Jacobson. Kauth raised several concerns and said she did not believe TIF was intended for use on 'prime land' such as the farmland surrounding Nebraska Crossing between the state's two biggest cities. Von Gillern said also that he was 'struggling from a credibility standpoint,' as he recalled the Yates' team coming to the Legislature two years ago, seeking passage of the Good Life Transformational Act that it has now abandoned. 'I feel like we're having some deja vu,' said Kauth. In response, Yates acknowledged that the Nebraska Destination Act seeks 'some unique things.' But, he said, 'it's a tremendous opportunity' to create a 'new front door' for the state and to rake in new tourism dollars and keep young people in the state with jobs and entertainment. No more than two such destination districts could be formed for a duration of 40 years under the bill, and the price tag of each would have to surpass $3 billion, create jobs and build new-to-market venues and retail that would draw at least 10 million visitors a year to a site spanning up to 5,000 acres. You're creating a city for all intents and purposes. This is a very unusual approach … I am skeptical of. – State Sen. Brad von Gillern of Omaha LB 637 is one of multiple options the Nebraska Legislature is expected to consider this session as they work to replace, improve or even eliminate the Good Life Transformational Projects Act, which was intended to incentivize creation of one-of-kind tourism projects. Originally adopted in 2023 and updated last year, the Good Life legislation has stirred controversy, particularly as it applied to the Gretna good life district that was established based on Yates' application and project vision. Among concerns was the loss of more than $2 million state sales tax revenue as progress on the Gretna district was delayed. Under the Good Life legislation, the state sales tax within up to five designated districts was to be cut in half, from 5.5% to 2.75% — with the idea being that the difference be recaptured and used to help finance new 'transformational' developments within the district boundaries. In Gretna, Yates and city officials could not reach an agreement on terms to execute his multimillion dollar youth sports and retail vision. City leaders said Yates' demands were too financially and legally risky for taxpayers. Yates said his vision was too big for the city officials to handle. Ultimately, Yates pulled away from any involvement with the City of Gretna and started working with Ballard. He sees LB 637 as a way to still carry out his mega sports-themed vision — but with the Nebraska DED as a partner rather than the City of Gretna. The City of Gretna and other developers, meanwhile, are seeking to keep alive the good life district designation and related state incentives, even without Yates' participation. The DED is reviewing that request. Among opponents of LB 637 was Mike Rogers, a bond attorney representing the City of Gretna. He named multiple legal and constitutional problems, including that removal of Nebraska Crossing stores from the City of Gretna would cut off the city's power to collect taxes there. He said Gretna has outstanding bond contracts that rely on sales tax revenue and property taxes. Lynn Rex, executive director of the League of Nebraska Municipalities, also objected, citing a statute that says state credit shall not be given or loaned in the aid of an individual association or corporation. 'This bill is unconstitutional on its face,' she said. A handful of proponents — including developers who said they planned to partner with Yates and build venues at the site — spoke in favor of LB 637 and the new-to-market retailers and recreational activities it could bring to the state. Yates said his team's vision would take state sales tax in Nebraska Crossing from $11 million a year today to as much as $125 million annually at full buildout. Former State Sen. Lou Ann Linehan of the Elkhorn area, the architect of the original Good Life bill, was out of town but submitted a written letter of support for the Ballard bill. She said Yates helped revitalize rundown property into the Nebraska Crossing mall, and said he and business partner Johanna Boston 'have committed to significant new investments to bring fresh retail concepts to Nebraska.' Ballard said one key amendment in LB 637 called for destination site applicants to own the property within the project site. That was a sticking point in Yates' previous effort to develop a 'good life district' in the Gretna area — as he owned but a fraction of the property within the designated district boundaries, and the City of Gretna balked at a suggestion that it acquire land by eminent domain. Ballard said he was motivated by the potential for additional tourism and other revenue that could help reduce property taxes. Moreover, Ballard said he has had numerous friends move from Nebraska because of amenities, entertainment and retailers they find elsewhere. He believes destination sites could help retain and attract talent. To be considered, an applicant must provide: Cost of proposed development Financing plan Economic impact study Number of jobs to be created Visitors expected Statement laying out return on public investment As written, the bill allows applicants to keep most of its application information secret except for expected development costs and the number of jobs to be created. The Revenue Committee did not take any immediate action on whether to advance the bill to the full Legislature for debate. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
05-02-2025
- Business
- Yahoo
Woodsonia reveals new multimillion-dollar retail, sports venue option for Gretna good life district
An amphitheater with 15,000 to 17,000 seats and a covered roof, spanning 120 acres and attracting 50 major concerts a year, would be a signature component of Woodsonia's proposed transformational project at the Gretna good life district near the Nebraska Crossing shopping center at Interstate 80 and Highway 31. (Courtesy of Woodsonia) (Courtesy of Woodsonia Real Estate) GRETNA, Nebraska — An alternative multimillion-dollar retail and entertainment project surfaced Tuesday night as a potential lifeline for the embattled Gretna good life district once led by businessman Rod Yates. Drew Snyder of Woodsonia Real Estate revealed his vision to the Gretna City Council, showcasing signature features such as a 15,000-seat outdoor concert amphitheater and a world-class multisport facility. His hope, which was mirrored by the City Council, is to keep alive the 2,000-acre good life district designation and related state financial incentives previously approved by state officials for the creation of a unique destination. The future of the Gretna district — the largest and most high-profile of five allowed under the state's Good Life Transformational Projects law — has been up in the air since Yates asked to terminate his state-approved application that established the project site. Officials at the Nebraska Department of Economic Development have given the city and other developers until Feb. 12 to submit evidence that a transformational project is still viable at the site and that the designation should not be dissolved. The district includes and surrounds Yates' Nebraska Crossing shopping center at Interstate 80 and Highway 31. Snyder, in partnership with Kansas City-based 635 Holdings, said he wanted to present his development and financial plan to the council before he submitted it to the DED. His message: 'State of Nebraska, don't shut the district down. Keep this district intact, and let us move forward with these projects. Amazing things can happen.' Snyder called the proposed $125 million outdoor amphitheater 'an absolute needle-mover' for state tourism that would span 120 acres and host about 50 major concerts a year. Envisioned also across about 700 acres: a Jack Nicklaus-designed golf course surrounded by housing; a St. James multisport facility, a JW Marriott hotel, a retail campus spanning 400,000 square feet and a giant Wally's 200-pump gas station and travel center. As approved by the state under the Altogether, Snyder said, those pieces are projected to bring in up to about $700 million in total gross revenues a year, about 30% of that in sales from out-of-state visitors. He expects to attract up to 7.5 million visitors annually, about 2 million of them from other states. Tourism dollars and unique attractions are key components of good life districts and considered crucial to keeping the designation, said Gretna Mayor Mike Evans. While the City Council did not formally endorse the Woodsonia redevelopment plan Tuesday night, Evans said it is central to a separate package and economic development study the city will submit to the DED to prove the district is still viable and should retain its distinction. Evans said that Woodsonia, as any other developer, would have to go through an approval process later if the district remained intact. Other moving parts also could impact the future of the Gretna good life district — and possibly the three other state-approved districts in Omaha, Grand Island and Bellevue as well. Nebraska Gov. Jim Pillen, who has raised questions about the good life district law, seeks to 'reverse' the state's sales tax diversion and clawback the public funds that had been carved out to help build out the good life districts. Those changes, proposed in the governor's two-year budget, would first have to be debated by the Nebraska Legislature. At least three different state lawmakers also have introduced good life district-related bills that could spur substantial changes. Some lawmakers have criticized how the state incentive for the good life districts played out. The Legislature cut the state sales tax within approved districts from 5.5% to 2.75%, with the idea being that the difference would be recaptured to help pay for major development of the district. In the case of Gretna, as the process dragged on, about $2.2 million in taxes went uncollected and was essentially lost. The district did not see that money, as a special election needed to access the revenue was delayed. City residents narrowly approved the district's taxing authority in January. The affirmative vote allowed city officials to develop an economic development program, and the city, starting in March, will start recapturing the vacated state sales tax, Evans said Tuesday. Another factor in play is that Yates has not given up his pursuit of developing a mega sports-focused campus in the district that includes and surrounds his Nebraska Crossing shopping center, though he is seeking a different path and now has a slimmed down 1,000-acre version of his vision. 'We're going 100 miles an hour,' Yates told the Nebraska Examiner on Tuesday. Yates said his team currently is working with State Sen. Beau Ballard of Lincoln, who has introduced legislation that provides Yates another shot at the project he has worked on for two years. The first phase would rise, Yates said, on property within the existing district boundaries, but it would be governed by different rules and incentives outlined in Ballard's Legislative Bill 637, the Destination Nebraska Act. Yates said he hadn't heard details of other plans for the area and couldn't comment on the possibility of co-existing with other developers in the general area. He said he is awaiting the DED's determination on whether to dissolve the Gretna good life district. 'The more relevant question is where is the DED in all this?' said Yates. One thing for sure, Yates said, is that his revised plan would not require approval from the City of Gretna, which rejected his earlier demands. Gretna officials said Yates' terms were too risky for taxpayers and that he essentially wanted the city to use its power of eminent domain to forcibly acquire land from other property owners for his project. Yates said he recently had a 'town hall meeting' with property owners in his latest 1,000-acre quest, and was pleased with the reception. Evans, on Tuesday, said there is room in the good life district for multiple developers and said he welcomes Yates to return to the negotiation table. During his presentation, Snyder thanked Yates for his 'vision and fortitude' that helped launch the good life district legislation. He said his team has — which has developed numerous multi-use projects in Nebraska, including the Topgolf Omaha development — already invested millions of dollars in preparing its plan and has partners and financial commitments in place. Woodsonia owns about 150 acres of the 700-acre campus it envisions. Snyder said the rest is under a contract to buy or in negotiations. If DED gives the green light, he says, the proposed $400 million retail campus and 50,000-square-foot Wally's gas and travel center would begin quickly. Wally's, a national brand, is projected to pull in 2.5 million visitors a year who likely would shop and spend money at surrounding venues, Snyder said. Anthony Montemarano, who owns a landscape company in the district boundaries, was among a few property owners who addressed the City Council. Montemarano said he has always been 100% supportive of seeing a transformational project rise at the site, and also was encouraged by Yates' plan. He said he mostly wanted to understand 'what was going on' and now feels like he is better informed. 'It appears as though we're going to begin,' said Montemarano. 'Let's get the show on the road.' SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
