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HomeMy WebLinkAboutA040 - Letter from Robert Gelina in favor of tax abatement December 18, 2000 Robert J. Gelina 2935 Ridgetop Road Ames, Iowa 50014 Mayor & City Council City of Ames 515 Clark Ave. Ames, Iowa 50010 Dear Mayor and Council, I am writing relative to the tax abatement proposal for the Somerset Addition. Our family presently owns apartment structures in North Ames, South Ames, Campustown, and Somerset. All the buildings have been new construction and we have found that the building costs in Somerset are above all other areas of the City. Even though the building costs are higher and the amenities are greater we are not able to secure adequate rents to provide a competitive return on our investment. We feel that the reason for this disparity is that the development is presently not adequately built out to provide the Village atmosphere that will make it a more desirable living environment. At this point the Somerset lacks both an adequate population base and commercial development to support the desirable aspects of a Village. We support the Village concept and believe that, if completed, it will be a very desirable neighborhood in the City of Ames. One of our big concerns is that if the Village concept is not given support by our elected officials the developers will look elsewhere for investment purposes. We presently own additional non- developed multifamily ground in Somerset and feel that it may be better to put off building until further development occurs. We are also keenly aware that others are in the same position and further development will be slow. It is our intention to continue to build within the City of Ames and feel that without the abatement we will need to look elsewhere for additional development ground. In closing, I want to make it perfectly clear that we support the Somerset Village concept and have invested there in hopes of seeing it become a viable addition to the City of Ames. Our biggest concern is that the rate of development has been hampered by the costs that need to be incurred to meet the Village requirements. We believe the tax abatement is necessary to accelerate the rate of development to make Somerset viable for homeowners as well as multifamily investors. Sincerely yours, Robert J. Gelina ,Property Owner, Somerset Addition