The construction of a 90-unit market-rate apartment complex at Madison Barracks, Sackets Harbor, will proceed under a three-phase plan of development pending approval of a revised payment-in-lieu-of-taxes agreement by the Jefferson County Board of Legislators.
A resolution concerning the PILOT agreement, which provides a 50 percent tax abatement plan over 10 years for Lawler Realty LLC, Sackets Harbor, will go before the boards Finance and Rules Committee tonight. The full Board of Legislators would then have to approve it.
If accepted, it will replace a resolution passed in May when the project, estimated at $4 million, was scheduled to be built all at once.
Breaking construction into three phases will help the developer secure financing for the project as renters move in and revenue begins to flow, according to Donald C. Alexander, CEO of the Jefferson County Industrial Development Agency.
However, according to the numbers provided in the new resolution, lengthening the construction period will increase projected expenses by almost $1 million, resulting in an additional $111,000 in PILOT payments to the village of Sackets Harbor, town of Hounsfield, Sackets Harbor Central School District and the county.
Construction of the first two buildings, with 20 units, has already begun, according to Michael W. Campbell, a developers representative.
The second phase will include 30 units in three buildings, and the third phase will have 40 units in four buildings for a total of 90 units, Mr. Campbell said.
Mr. Alexander said the project will help develop Sackets Harbor and address the need for housing associated with Fort Drum.
After the PILOT agreement expires in 10 years, the propertys taxable status will return to 100 percent.
The village, town and school district have approved the new agreement.