What you need to know
According to city documents, the extension continues the city’s lease with Tiendas del Rio for a five-year term, which will bring in approximately $525,834.53. Revenue generated by the lease will be deposited in the Community Development Block Grant Fund.
The Community Development Block Grant Entitlement funds are used to provide community development for low- and moderate-income residents and are used to fix deteriorated infrastructure in the city’s older neighborhoods, according to the City website.
- Projects which improve or create housing for low or moderate income homeowners and renters
- Projects which stimulate economic conditions of low and moderate income persons
- Projects that improve or develop community facilities that benefit low and moderate income persons
- Projects used to install or improve a low or moderate income community’s infrastructure
The backstory
According to city documents, the city received an Urban Action Grant in July, 1984, to construct the River Walk Extension, which helped spur private investment and connected the river walk to the River Center Mall. In 1987 and 1988, the city was also awarded the Community Development Block Grant funds to assist with building out four retail spaces underneath the Commerce St. Bridge adjacent to the River Walk. The City then leased these spaces to create a vibrant transition from the River Walk to the River Center Mall.
In 2006, the city approved the original lease with Tiendas del Rio for the use of 1,172.9 square feet of storefront space, which expired Dec. 31, 2021. From 2021-2025, the city and the tenant remained in a holdover period where the tenant paid rent consistent with the original repayment plan.
