2014-08-01 / Community

Arundel cottages plans again approved

By Alex Acquisto
Staff Writer

ARUNDEL — By a vote of 26-2, residents approved the Arundel Seasonal Cottages Municipal Development and 25-year TIF (tax increment financing) District Wednesday, July 23.

Residents previously approved the measure in June. However, due to clerical issues at a local newspaper, the town did not notify residents of the scheduled special town meeting in the required amount of time, which is at leastseven days.

The approved location of the TIF district where the Arundel Seasonal Cottages Seasonal Resort will be located is approximately 159 acres between Route 1 and Mountain Road.

Joe Paolini, the developer, will construct 259 seasonal cottages during the next seven to 10 years. The size of the units will range from 850 to 1,350 square feet, and will be valued at $220,000, according to the town’s development program.

“Approximately 40,000 square feet of commercial business/ retail space is also planned at a construction cost of $4 million, making the total estimated construction cost for the project $58,390,000,” reads the proposal. The business/ retail space would be developed on a 9.2-acre parcel of land that fronts the property.

The project will create approximately 23 full-time permanent positions, said Jim Damicis, Paolini’s representative.

The resort will also spur economic benefit to the town by expanding the tax base and providing activities that will attract additional development. “Based on industry multipliers, it is estimated that 40,000 square feet of business service/retail (space) would generate approximately 100-200 additional employees,” according to the town document.

In a letter written to the town earlier this summer, Paolini told residents, "An estimated $10 million in revenues will be generated to the town during a 25-year period: $5 million to the town's general fund, and $5 million to the town for use in infrastructure and economic development.”

Town Planner Tad Redway told residents in June, “The town incurs no liability whatsoever. It has no commitments in any way, shape or form, any other financial commitments other than the arrangement on the valuation that is generated by the developer.”

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