Plano City Council approved a project and financing plan for a tax increment reinvestment zone, which includes the proposed redevelopment of 200 acres into a life sciences campus called the Texas Research Quarter, during the Aug. 27 meeting.
"We are committed to collaborating with the community to build a dynamic ecosystem that will drive innovation, attract and grow top-tier talent, support groundbreaking research, and accelerate the production and delivery of important treatments to patients in Texas and beyond," Eric Danielson, managing director and head of real estate development at NexPoint, said in the news release.
The gist
A tax increment reinvestment zone allows a portion of property value gains, up to 100% of increases in appraised value, to be contributed to a tax increment fund that pays for public improvements within a defined area.
According to city documents, the city will contribute 65% of appraised value gains to the tax increment reinvestment, while there plans to add a 50% contribution from Collin County and 30% from Plano ISD. The total cost for projects, including administrative costs, are over $577.9 million.
The final payment into the tax increment reinvestment zone will occur by Jan. 31, 2050, per city documents.
Some context
Council members initially approved a tax increment reinvestment zone for the redevelopment area in January. Zoning to allow the development of a life sciences campus was approved last November.
The redevelopment will include space for manufacturing, research and development and residential spaces.
“The city of Plano is proud to collaborate with NexPoint in transforming this iconic site into the next major life sciences hub in North Texas,” Doug McDonald, director Economic Development with the city of Plano, said in the news release. As the life sciences industry continues to expand in the region, we are confident that the Texas Research Quarter will emerge as a pivotal center, further solidifying the metroplex's reputation as the 'Third Coast' for biotechnology research and manufacturing.”
What’s next?
NexPoint is working with Plano ISD and Collin County to contribute to the tax increment reinvestment zone. According to the news release, agreements with both could be completed in late 2024.
Construction is also planned to start later this year, after PISD and Collin County solidify commitments to the tax increment reinvestment zone, NexPoint Chief Communications Officer Lucy Bannon said.
