By LINDSAY WELBERS
The developers of City Hyde Park had their request for $11.3 million in tax increment financing approved by the 53rd Street Tax Increment Financing (TIF) District Advisory Council at its Jan. 25 meeting.
The $11.3 million will be used to help fund a $22 million gap in funding for the Jeanne Gang-designed building that will eventually house a Whole Foods grocery store and 182 rental apartments.
The remaining gap will be filled using new market tax credits, said Peter Cassell, spokesman for the Silliman Group, which is building the property. City Hyde Park will be built on the site of the former Village Shopping Center at 51st Street and Lake Park Avenue.
New market tax credits would put millions of dollars back into Silliman’s coffers by returning a percentage of the equity investment.
The TIF advisory council approved spending the money unanimously.
Demolition on the site was initially scheduled for the fall of 2012. Cassel said he now expects demolition on the old buildings to take place in the late summer or early fall of 2013. Construction is expected to take two years and the building should be complete in late 2015 or early 2016.