HomeMy WebLinkAboutProposed Resolution - 3/30/2026EXHIBIT A
Mountain West Development, LLC Tax Increment Reimbursement Agreement
TERM SHEET
Parties: Mountain West Development, LLC (“Developer”) and the Salt Lake City Community
Reinvestment Agency (“CRA”)
Scope: The Pickle and Hide development is a mixed-use project located in the CRA’s 900 South
HTRZ to be constructed in two phases located at approximately 739 S. 400 West. Phase I
includes the renovation of the Bissinger Co. Hides building, including the preservation of its
front façade and a portion of its side walls for a total of 40% of the exterior, to accommodate
5,500 square feet of commercial space and a multifamily addition to the rear. The residential
addition will include 141 units, 28 of which are affordable at 60% of the area median income
AMI) and below and 26 of which are affordable at 80% AMI. Phase II includes the demolition
and reconstruction of the Utah Pickle Co. building to accommodate 17,000 square feet of
commercial space as well as the renovation of the existing building known as Ed’s Restaurant
located at 345 W. 700 South for additional commercial space.
Each of the buildings include an activated ground floor use where at least 50% of the ground
floor, street- facing building facades contain an active use not exclusive to building tenants. The
Developer has provided sufficient evidence that tax increment is necessary for the project to
succeed to subsize a portion of revenue loss from affordable rental rates and increased buildings
costs associated with adaptive reuse projects.
Property: Developer desires to carry out development activities on three existing parcels
including P.I.N.s: 15-12-130-037, 15-12-130-034, and 15-12-130-03. Legal descriptions to be
included within final agreement.
CRA Participation:
The CRA will agree to reimburse the Developer 90% of the annual tax increment (“ TI”) the
CRA is entitled to receive from the taxing entities, subject to the terms of the Reimbursement
Agreement, for a term of 15 years or the sum of the remaining collection years of the Housing
and Transit Reinvestment Zone, whichever is less.
To obtain this 90% reimbursement, the project has included three additional public benefits
above and beyond the CRA HTRZ Tax Increment Reimbursement policy’s thresholds, each
worth an additional 10% reimbursement including:
1) Building Preservation, Rehabilitation, and Adaptive Reuse Walkability
2) Neighborhood Commercial and Services (FY25 annual housing funding priority)
Maximum Reimbursement
The maximum amount available for reimbursement shall be $6,094,254 (“Maximum
Reimbursement”). The annual TI Payment may be lower or higher than the projected amount
based on actual increment generated from the Property, provided, however, the maximum total
amount of the Reimbursement shall not exceed the Maximum Reimbursement.
CRA Policy Waivers
1. Section 2.c.i. of the CRAs HTRZ Tax Increment Reimbursement Program Policy that
requires a deed restriction be recorded against the property to ensure housing
affordability for a minimum term of 30 years may be waived and reduced to a minimum
term of 15 years.
2. Section 3.a.b. of the CRA’s Sustainable Development Policy that requires emission-free
building operation for all adaptive reuse projects receiving over $900,000 in CRA
funding may be waived for the designated restaurant spaces in Phase I and Phase II of the
project to accommodate gas stovetops. The rest of the project must comply with the
policy and operate without on-site fossil fuel combustion.
3. Section 4.a.ii. of the CRA’ s Sustainable Development Policy that requires projects to
achieve on-site net zero” operation may be waived; however, the project must achieve
“off-site net zero” standards in this requirement’s place at the level described as part of
the conditions of approval.
Conditions for Agreement Execution:
1. CRA approves all terms of the agreement.
2. Developer must submit a Statement of Energy Design Intent for both the “Pickle” and
“Ed’ s Restaurant” buildings achieving a score of 90 or higher, or, provide evidence the
buildings achieve an Energy Use Intensity (EUI) value corresponding with this score.
3. Developer must participate in Rocky Mountain Blue Sky renewable energy program at a
level to cover energy needs for the commercial space, common areas, and parking garage
as part of Phase I of the project for a minimum contribution of $350 a month.
4. Developer must utilize water-wise landscaping, smart irrigation systems, and, to the
extent possible, zero-emission landscaping equipment in installation and maintenance of
development landscaping.
5. Developer must submit a copy of the executed easement granting public access to the
midblock walkway between the Pickle and Hide building.
6. Developer obtains all required City approvals.
7. Developer and CRA execute legal documents as deemed necessary by the CRA and its
legal counsel.
8. Developer receives approval from the CRA and its legal counsel of all matters pertaining
to title, legality of the request, and the legality, sufficiency, and the form and substance of
all documents that are deemed reasonably necessary for the transaction.
9. Such other terms as recommended by the CRA’s legal counsel and staff.
EXHIBIT B
Legal Description
Parcel 1:
Parcel 2:
Parcel 3: