Wesley Chapel’s planned downtown to come with a $33 million incentive
Pasco County commissioners authorize a special tax district and loan for the developers of Avalon Park Wesley Chapel.

By C.T. Bowen
Tampa Bay Times
Published: Feb 17, 2020

WESLEY CHAPEL — Developer Beat Kahli says the downtown core of Avalon Park Wesley Chapel represents a $736 million investment in streets, parking decks and space for offices, stores and urban residences.

To help keep things rolling, Pasco County is committing more than $33 million, mostly in a 30-year property tax rebate, for a portion of the infrastructure costs. Pasco County commissioners approved the economic incentive package Tuesday.

Formerly known as New River, the project carries the name Avalon Park West, but will be rebranded as Avalon Park Wesley Chapel, said Kahli. The downtown, located on the north side of State Road 54 less than a mile west of Eiland Boulevard, is projected to include more than 350,000 square feet of commercial and office space and approximately 2,400 residences on 215 acres. The so-called traditional neighborhood design provides commercial and civic uses near the residences.

The intent is to create a pedestrian-oriented community where people can walk, bike or drive a short distance to schools, shops, restaurants, offices and recreational space.

"It is our vision that Avalon Park Wesley Chapel will be a place where families can build memories and traditions together in a town they can call their own,'' said Kahli, CEO of Avalon Park Group/sitEX.

Under the incentive, the county would establish a tax-increment financing district in which a portion of the property tax revenue within the area’s boundaries will be rebated to the developer to pay for public facilities such as parking garages. The tax district is a strategy used countywide for transportation and in specific areas, like four of Pasco’s cities, for redevelopment. In this case, it would be for 30 years and account for a $32 million public subsidy to the downtown. It equates to about 38 percent of the public improvements that are expected to cost $83.2 million.

The rebate totals about 16 percent of the tax payments to the county over the 30-year life of the incentive, allowing the county to retain $166.5 million.

"We’re making money for the county. That’s an important point,'' said the developer’s land-use attorney, Clarke Hobby.

A Pasco County Office of Economic Growth analysis said the project would create 1,065 full-time jobs and add $39.3 million annually to the local economy.

Kahli commended Pasco County officials, past and present, for encouraging the new-town neighborhood concept over traditional subdivisions that reinforced the county as a bedroom community to Hillsborough County.

"There was a change of heart in Pasco County,'' said Kahli. "There was a realization that only building homes is an economical loser. You need to build towns, not subdivisions.''