FOR IMMEDIATE RELEASE
Media Contact:
Mary Trupo
Director of Communications
mtrupo@clvhts.com
Cleveland Heights City Council Unanimously Approves Financing for Catalytic Development
CLEVELAND HEIGHTS, OH, 02/19/2020 - Top of the Hill, a transformative mixed-use development at the gateway to Cleveland Heights, reached final financing approval last night at the City’s February 18th City Council meeting. This vital project, that will bring new investment, residents and businesses to the City, now moves forward with a projected groundbreaking in April of this year.
"Last night’s unanimous vote by City Council sends a clear message that Cleveland Heights is open for business," said Mayor Jason Stein. "We have listened carefully to our residents over the past several years, and the input from our residents has resulted in positive changes and improvements to the project. We believe that when all is said and done, the long-term benefits to the City and our school district will be realized by our residents and businesses."
The Top of the Hill Project refers to the approximately four acres of City-owned property at the corner of Cedar Road and Euclid Heights Boulevard at the top of Cedar Hill. "As a highly visible property at the gateway between the Heights and University Circle, developing this property has been a long-time goal of the City," Tanisha Briley, Cleveland Heights City Manager stated. "The Top of the Hill development is the largest and most substantial development in our City in decades. Careful planning and analysis have taken place over the last few years and the result is a robust private development that will bring growth and vitality to our City and drive economic benefits throughout Cleveland Heights. We are excited to get the shovels in the ground early this spring."
Linking the City to University Circle with a signature mixed-use destination district that serves as a gateway to the City has been a driving focus of the Top of the Hill project. Goals that guided the approval of the development include: creation of a dense, vibrant, pedestrian-friendly commercial district that dovetails with the surrounding neighborhood; provide a visual and symbolic entrance to the City; complement existing neighborhood businesses and serve as a destination for the region; catalyze additional development; create positive economic and fiscal benefits for the neighborhood and the City; improve existing parking; incorporate greenspace and use sustainable best practices; incorporate community feedback into the design; encourage the inclusion of minority-owned and female-owned business enterprises in the construction of the development. Also added were commitments to paying a prevailing wage and hiring local workers.
"I believe we have met all of the goals we set forth and I look forward to beginning construction very soon," Economic Development Director Tim Boland said. "Flaherty and Collins, one of the nation’s pre-imminent developers of mixed-use projects, has been a great partner throughout the entire process that culminated last night with the approval of the financing structure. Their track record and collaboration will help us deliver an appealing and vital addition to our City."
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Top of the Hill
Fact Sheet
The Top of the Hill is located in the popular Cedar Fairmount commercial district minutes from University Circle and major cultural and educational institutions and premier medical facilities. The project is expected to begin in the spring of 2020 and should be nearing completion in late 2021.
The TOH development project is an $83,000,000 prominent, mixed-use development at the gateway between Cleveland Heights and University Circle. The project is expected to include 261 market-rate luxury apartments, over 11,000 square feet of first floor commercial/retail/restaurant space, close to 25,000 square feet of green space, and a structured parking garage resulting in approximately 550 parking spaces.
Council’s approvals included legislation to establish the Tax Increment Financing (TIF) District, and the issuance and sale of economic development tax increment financing revenue bonds, not to exceed $26,000,000, as well as $1,850,000 in economic development nontax revenue bond anticipation notes in preparation of issuing bonds. The economic development nontax revenue bond notes will cover a portion of the costs associated with the construction of the project.
Total projected net revenue from the project, over the financial term, will amount to $14,300,000 for the City and more than $12,300,000 in taxes and school compensation from the TIF for the Cleveland Heights - University Heights School District as a result of this project.
The City’s commitment to the cost structure is about 2%, with the developer responsible for all other costs associated with the project.
Indianapolis-based Flaherty & Collins, one of the Nation’s pre-imminent developers of mixed-use projects, was selected as the City’s development partner in May of 2017 after a robust vetting process. The development is expected to offer luxury-style living with unmatched amenities. The plans for the project include first-floor co-working space, pet spa, dog park, indoor bicycle parking with a bike wash station, fitness center, and a tenth-floor pool, terrace and common space for socializing.