Tax abatement on Aisle 5

July 24, 2007
Back to TopCommentsE-mailPrintBookmark and Share
Marsh Supermarkets is hoping for final approval next month O’Malia’sof a five-year tax abatement worth about $50,000 for a renovation of its downtown O'Malia's store. The company plans to invest $1.5 million in the project. Abatements for retail developments are rare, and this one seems particularly unusual since the store sits in a great location amid a growing downtown residential population. Marsh also doesn't plan to add to the store's staff of about 45. What do you think: Is this a justified reward for investing in the neighborhood, or is the city giving away too many tax breaks?
UPDATE: Marsh has decided to drop the abatement request.
ADVERTISEMENT
  • There should absolutely NOT be an abatement for this. Among many other reasons, the big, big, BIG issue is the horrible precedent it would set. Any business that wanted to renovate could ask the city for an abatement.
  • It's a poor design. Are they considering redesigning it? It's dingy, tightly stocked, and not very clean. They are trying to be too much to too many people. I've seen more attractive markets in Moscow. DT is screwed without a decent grocery, and while it SEEMS like they have a corner on the market, DT dwellers don;t exactly compare to the suburban shoppers who fill up (at our house anyway) at about $200 week in groceries. My bet is Marsh is threatening to leave unless they get the abatement.

    It used to be pretty decent spot for lunch, but pretty much sucks now. Last meal i had there from the grill was complete garbage.

    I'd think it neat to see the data that shows just what each household spends on groceries in the +/- mile square area. Could be surprising.
  • Unless the property in question is horribly blighted or a not-for-profit group is trying to do some good in the community, I don't think the city should be in the business of subsidizing renovations. Certainly not for perfectly healthy businesses like O'Malia's.

    If Marsh is threatening to leave downtown over a $50k abatement, they can screw off. Asking for $50k on a $1.5M renovation looks like they're asking for a hand-out to me. They certainly don't NEED the $50k to get the renovation done.
  • As much as I want this downtown store renovated, I agree that it sets a very dangerous precedent for the city to grant abatements to a) a company that is capable of making the renovations in the normal course of business and b) sitting on a retail outlet in a rapidly appreciating area.

    Sadly, with our cities history of handing out tax breaks, Marsh could easily hold this store hostage. All of continue to suffer -- or just drive north for groceries.
  • I have to say I feel the same way. No special treatment or monies should be given to a business that is wanting to renovate their establishment or else others will follow suit. O'malia's has been a great fixture for our growing downtown and will be missed if they should pull out for not getting the $50K abatement. But, if they should leave I am sure there will be another more appreciative grocer to enter behind them and fill in the gap. I think Sun Capital is a big enough company that they can afford to eat $50K on a $1.5 million renovation project.
  • Give 'em a break. This is a much-needed grocery downtown that needs much-needed attention. I look forward to the place being renovated.
  • No abatements for retail, no abatements for projects that don't create new decent jobs or tax base.

    I live in Center Township. My taxes are high enough, and I need the money...to spend at O'Malia's downtown on my way home from work.

    I'm sure Sunflower, or Whole Foods/Wild Oats, or Trader Joe's would love their spot.
  • I agree with ThuderMutt. I still think they are going to need tottoally redesign the store....its set up just wrong, IMHO.
  • Agree with CorrND. Retail abatement should be rarely used, and even then, only to boost a blighted area. O'Malia's as the only grocery store downtown should not receive an abatement for a renovation that should improve its business! What the heck is next!?

    By the way, O'Malia's landlord is none other than Crystal DeHaan. Wonder if that factors into it.
  • The City should not provide tax abatements for this renovation. This mindset that downtown is still somehow a redevelopment zone and government should provide financial incentives is ridiculous. The City has to stop reinforcing this idea and put an end to financial offerings to private development.

    I would be happy to see Marsh leave and a more suitable grocer (ie. Whole Foods) come to downtown. Whole Foods understands urban markets and could provide a much better service to downtown residents.
  • ABSOLUTELY NOT!
  • I don't consider d'town blighted or in need of redevelopment. There should absolutely be no tax abatement of any type for this renovation. Thats the problem with center township property now...too many tax abatements.

    I can't believe that the city would even consider this in light of recent issues with the county income tax increase, etc.
  • How about no abatements anywhere? It is a ridiculous
    practice and should be outlawed.

Post a comment to this blog

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT
  1. I never thought I'd see the day when a Republican Mayor would lead the charge in attempting to raise every tax we have to pay. Now it's income taxes and property taxes that Ballard wants to increase. And to pay for a pre-K program? Many studies have shown that pre-K offer no long-term educational benefits whatsoever. And Ballard is pitching it as a way of fighting crime? Who is he kidding? It's about government provided day care. It's a shame that we elected a Republican who has turned out to be a huge big spending, big taxing, big borrowing liberal Democrat.

  2. Why do we blame the unions? They did not create the 11 different school districts that are the root of the problem.

  3. I was just watching an AOW race from cleveland in 1997...in addition to the 65K for the race, there were more people in boats watching that race from the lake than were IndyCar fans watching the 2014 IndyCar season finale in the Fontana grandstands. Just sayin...That's some resurgence modern IndyCar has going. Almost profitable, nobody in the grandstands and TV ratings dropping 61% at some tracks in the series. Business model..."CRAZY" as said by a NASCAR track general manager. Yup, this thing is purring like a cat! Sponsors...send them your cash, pronto!!! LOL, not a chance.

  4. I'm sure Indiana is paradise for the wealthy and affluent, but what about the rest of us? Over the last 40 years, conservatives and the business elite have run this country (and state)into the ground. The pendulum will swing back as more moderate voters get tired of Reaganomics and regressive social policies. Add to that the wave of minority voters coming up in the next 10 to 15 years and things will get better. unfortunately we have to suffer through 10 more years of gerrymandered districts and dispropionate representation.

  5. Funny thing....rich people telling poor people how bad the other rich people are wanting to cut benefits/school etc and that they should vote for those rich people that just did it. Just saying..............

ADVERTISEMENT