Village mulls how best to lay the foundation for a new Waterford industrial park

By Dave Fidlin

Correspondent

A new industrial park could soon land within the Village of Waterford, but a number of issues – including where such a development would be placed – still hang in the balance.

Members of the village’s Community Development Authority met June 2 and discussed the proposal with representatives of Bear Realty, which specializes in transactions in southeastern Wisconsin and northern Illinois.

The CDA discussed a number of conceptual issues with Bear agents Joe Busch and Kevin McKillip, including land acquisition and the potential need to install municipal infrastructure.

As with any project, one of the largest questions is cost – or, more specifically, how much money would be needed to bring such a project to the launch pad.

“We’re not in the real estate business,” said Village President Tom Roanhouse, who chairs the CDA. “But we are looking to grow our tax base. We want to preserve what we have while we look toward tomorrow.”

No specific locations were discussed at the recent CDA meeting, but members said land along either Highway 36 or Highway 164 likely is best for such a development.

A number of scenarios, including annexation of town land, and negotiating with property owners could be necessary to see such a project through.

Busch said the land purchase itself could be the easier part of the equation. Whether or not the village should fund installation of assorted infrastructure – including streets, storm water utilities and other amenities – is another matter.

“You have to be careful about how you approach sellers,” Busch said, pointing out that the services of a broker would be beneficial in negotiating a sale price between the buyer – in this case, the village – and the seller.

Another big-picture question explored by the CDA is how much land the proposed business park should encompass. Busch and McKillip recommended developing the site incrementally, perhaps 10 acres at a time, and building out as demand grows.

Trustee Stephen Denman, who serves on the CDA, said he believes it would be prudent to lay down village infrastructure on an as-needed basis, rather than dole out the funds all at once for a project with an unknown development timeline.

Also under review is how the village would fund its part of such a development. Relying strictly on tax-supported funds within the village’s general operating budget would likely not be feasible.

One possibility could be the establishment of a tax incremental financing (TIF) district.

TIFs provide a mechanism that allows municipalities to borrow money for infrastructure improvements. The increased property tax revenue from the improved land is then diverted from the tax rolls to pay off the loan.

While a number of questions still loom, the CDA has been overwhelmingly supportive toward developing a business park within the village.

Burlington had a business park that sat stagnant for a period of time, but development picked up steam in the mid 2000s as tenant interest grew. Waterford’s CDA members believe a similar scenario could take place within the village.

“We’re probably a little behind in putting out the welcome mat for this kind of development,” Roanhouse said. “But we want to deliver what people expect.”