The city of Powell has taken another step toward the annexation of land off Sawmill Parkway that will be used for retail and medical purposes, including a Target store.
At its final meeting of the year Dec. 17, Powell City Council held its first reading of an ordinance that would annex 60.23 acres from Liberty Township.
"What this annexation will do is, strictly, relocate the municipal boundaries," Powell City Manager Steve Lutz said.
The council likely will vote on the annexation after the second reading at its next meeting, set for Jan. 7, 2014.
The majority of the land, bordered by North Hampton Drive, Bradford Court and Southwind Drive, will house a development called the Shoppes at Wedgewood. Target will be the anchor store for the development; tenants for seven outlots have not been announced.
Council announced a preannexation agreement for the Shoppes at Wedgewood Development in September. The deal also included 15 adjacent acres owned by Mount Carmel Health System, which may use the site for office or medical space in the future.
Lutz said the annexation will generate significant income and property-tax revenue in exchange for city services.
"They're willing to have an additional layer of tax placed upon them, which is the city's income tax and the city's property tax ... and then our police department will service this area," he said.
The city estimates Target alone will have a $3 million annual payroll and a real property tax value of $9 million. The store is expected to open in November 2014.
The developments will be added to the city's Commercial Tax Increment Financing District, meaning designated property taxes from the projects will be added to a special fund for streetscape work and traffic improvements in the area.
The Target site previously was the subject of a long, costly legal battle between Liberty Township and a developer who wanted to put a Walmart on the land.