Apr. 7, 2025 noon
(WGTD)---The Racine City Council has voted to give a Milwaukee-based developer a $9.7 million loan to incentivize four downtown Racine development projects.
Dominion wants to build on the success of its Verdant hotel and restaurant by building a 40-unit apartment building nearby, demolish a dilapidated building, rehabbing a small storefront with upper apartments and constructing a high-end spa immediately to the south of the hotel.
On a 12 to 2 vote last week, the council approved a plan to financie $9.7 million offer by transferring funds from a downtown tax incremental financing district and borrowing the rest from the state.
Responding to apprehensions from some council members, city Finance Director Kathleen Fischer said incentives are often times needed to spur development. "The City of Racine has a lot of challenges with development," she said. "Our sites are not easy. Our sites are not simple. We do not have developers knocking down our door."
Melissa Kaprelian was one of the two ‘no’ votes. "I know that we need economic development. I'm not arguing that fact," she said. "It's just so hard to say yes--let's do it. Let's make it a spa. How do you feel residents at home when you guys are having a hard time paying your bills and paying your increased taxes?"
Under the agreement that was approved, Dominion won’t have to repay the loan if the 40-unit apartment building is built within five years.
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