Pipeline move to expedite development along I-65 in Crown Point
By Carrie Napoleon Post-Tribune correspondent May 8, 2014 7:34PM
Updated: June 10, 2014 7:07AM
CROWN POINT — A movie theater, restaurant or even a hotel all are uses that city officials envision for land along the 109th Avenue and Interstate 65 gateway into the city.
However, development has been stalled on the west side of 109th Avenue because of an underground oil pipeline.
To try to spur development, city officials have paved the way for developer I-65 Properties LLC to recapture the cost of moving the pipeline, which will make the four lots, about 60 acres, that it recently purchased buildable.
Todd Kleven, vice president of I-65 Properties, said the company is working with the pipeline owner, Buckeye Pipeline, to relocate about 1,600 feet of pipe and is eager to attract development.
“We will be going to Las Vegas in May to market the land,” Kleven said.
For the past several years, Crown Point officials have attended the International Council of Shopping Centers Global Real Estate Convention in Las Vegas to showcase the city.
The conference is a one-stop shop for retail businesses looking to expand their footprint. This year, the conference takes place Thursday to May 20.
Kleven said the pipeline has been a deterrent to interested businesses due to the relocation cost. City officials estimate that it will cost about $650,000 to move the pipeline.
In April, the city’s redevelopment commission signed off on the agreement that will enable I-65 Properties to recapture that cost, plus 6 percent interest, if development occurs, increasing the value of the land.
The city’s board of public works and safety has approved the agreement as well.
The 60-acre site lies within a special taxing district designed to facilitate development through tax breaks. Attorney David Nicholls said the recapture agreement is development-based, and if no development happens before the special district expires in 15 years, I-65 Properties will not be reimbursed.