Amusement tax would be rebated to developers of O’Fallon Park Place, according to proposal

O’Fallon City Council is considering two additional taxes to offset costs associated with the proposed $300 million Park Place recreation-retail-residential-entertainment complex.

The taxes would be targeted at businesses within a specified business district that encompasses the project area.

One allows developers to collect up to an additional 1% sales tax that would be placed on retail goods above and beyond what is currently collected in the city. The other is a 5% amusement tax that would only be charged in the admission to such activities as golf, pickleball and rock climbing.

Aldermen are considering forming an O’Fallon Family Sports Park Business District for 320 acres, located west of Venita Drive and Porter Road intersection. It will only include Park Place, Family Sports Park, and the Old Base Factory.

The business district would be used to attract funding for a portion of the costs associated with building rehab, new construction and providing the supporting infrastructure needed for development, according to Community Development Director Greg Anderson.

“This is only for people who come in the door, it does not impact other businesses,” Mayor Herb Roach said.

Four percent of the funds collected through business district would rebated to the individual businesses, while 1% would to to the city for administering it, Roach said.

The joint effort by Bruce Holland of Holland Construction, Rich Gorazd of State Construction and Michael Hamburg of Pier Property Group could be the biggest development of its type to date in O’Fallon, currently estimated at $275 to $300 million.

The location is east of downtown and along the West Highway 50 corridor intersection with West State Street. This area includes several recreational fields, one vacant building, some parcels currently used for agriculture and some vacant land.

Two public hearings took place on March 17 without any comments made from residents opposed. Now, plans move on to the council’s community development committee for review on March 24.

After that, the project would be set for a first reading vote at the April 7 council meeting to approve the planned use zoning, creation of the 1% Special Business District, and the redevelopment agreement for the business district. It would be up for final approval at the April 21 council meeting.

Pier Property Group’s application to construct a mixed-use development that includes single family homes, two-family homes, apartment buildings, town homes, a hotel, retail facilities, restaurants, office space, golf entertainment complex, and entertainment venues on 105.81 acres has advanced from the Planning Commission’s March 11 meeting.

One of the three parcels of property included 24.99 acres owned by the city. The council recently agreed to place it under contract to sell to Pier Property Group for $1 million so they can begin site engineering design for the Top Golf-like golf complex planned along Venita Drive.

The project will require improvements to existing infrastructure, including an estimated $4 million in roadway improvements at the intersection of Highway 50 and Venita Drive and a $1 million signalized intersection at the entrance to Family Sports Park.

Other infrastructure investments include the relocation of Ameren transmission lines, installation of water and sewer infrastructure, public and private roadways, and on-site detention facilities.

Anderson said the developers have worked with city staff to design a site that will have minimal impact on the neighboring residential neighborhoods and will buffer the commercial and multi-family uses with new single-family residential properties.

He also pointed out that the development will be pedestrian friendly, providing boulevards, sidewalks and a newly constructed pedestrian tunnel for direct access to and from the O’Fallon Family Sports Park.

Pedestrian trails throughout the development, as recommended in the O’Fallon Bike Master Plan, which aims to connect O’Fallon parks to residents and the Goshen Trail, is also part of the plan.

The Community Development Department’s report to the Planning Commission established the hours of operation for the golf entertainment complex, which were OK’d as part of the approval.

The hours will vary by season:

APRIL-SEPTEMBER

Indoor facilities: 10 a.m. – 11 p.m.

Restaurant: 10 a.m. – 11 p.m.

Outdoor Driving Range or other outdoor entertainment: 10 a.m. – 10 p.m.

OCTOBER-MARCH

Indoor facilities: 10 a.m. – 11 p.m.

Restaurant: 10 a.m. – 11 p.m.

Outdoor Driving Rand or other outdoor entertainment: 10 a.m. – 9 p.m.

Other commercial retail locations will be open from 7 a.m. to 10 p.m. Restaurants will be open from 10 a.m. to 11 p.m.

The project was the subject of two open houses inviting residents to look over the plans.

At Monday’s meeting, Roach acknowledged the hard work of the staff involved in the presentations so that residents could discuss their concerns.

“This is a major undertaking, and before they come up with the final plans, everyone involved made a lot of effort for these presentations. It led to good exchanges with citizens,” he said.

More information about the project is available at https://www.ofallon.org/693/Park-Place-Development-Proposed-for-City.