The owners of the St. Louis Cardinals announced a second phase to their “Ballpark Village” development across the street from their stadium yesterday, and blah blah, $220 million, 550,000 square feet of new construction, “mixed-use neighborhood where people live, work and play,” okay, here we go:
St. Louis Alderman Jack Cotar will introduce legislation to amend an existing development agreement that enabled the first phase of Ballpark Village on Tuesday…
According to the announcement, the “development team is proposing to use a portion of the new tax revenue generated solely within the Ballpark Village project area, including an additional self-imposed 1 percent TDD sales tax, to underwrite the bonds issued to support project infrastructure costs. Only taxes generated by the Ballpark Village project itself, as well as private equity and debt investments by the development team, will be used to finance Ballpark Village.”
This should come as no surprise, as the first phase of the Ballpark Village — a bizarro grandstand-slice-themed shopping mall with an equally bizarro racially coded dress code — got $116 million in subsidies back in 2006, mostly from tax-increment funding: i.e., kicking back property and sales taxes to the developers, who can then use them to pay off their own construction costs. It’s unclear exactly how much Cotar’s bill will propose handing over to the Cardinals owners — that “TDD” is a sales tax surcharge in the ballpark area, which if it’s narrowly drawn could just come out of the team’s pockets, but property taxes or existing sales taxes would just be a straight kickback. The original Cardinals stadium deal wasn’t too bad for the public as these things go — about two-thirds of the cost was shouldered by the team owners — but they’re making up for lost subsidy time with all the additional development across the street. Excellent job on the bait-and-switch, Bill DeWitt and friends!