North Hills East & Kane: We Need Welfare

In grade school all of the developer’s kids were the ones with that extra sense of privilege- it seems so obvious now that they got it from their parents.  Raleigh is one of the fastest growing cities in the nation; as it grows, you have to wonder how the developers who profit most from this growth, acquired their sense of privilege.  It seems they are justified in this because much of the city and county commissioners agree developers should get what they want at the expense of citizen’s dollars. You may have been following our discussion of John Kane’s plan to get every tax paying citizen in Raleigh to pay for his parking decks.  After all, it is the citizens that will be blessed with his forth coming onslaught of Starbucks (the existing North-Hills-mush includes 3) and pseudo urban pastiche.

If Kane gets the money - what does this say to other developers?  Every time something is built- the necessary infrastructure will be subsidized? We will pacify whining developers when they cry about being picked on? It is not as if this area sits as ghetto or needs to incentivize shoppers.  The existing portion of North Hills is a Visa/Mastercard mecca and Kane can be assured the next portion will be too.  What do we owe to Kane, or any other commercial developer in North Raleigh if not healthy taxes to refund the city for all of its contributions to make these shopping centers function.  To think Council members constituents would support these expensive parking decks over infrastructure development, or that developers deserve assistance in building out commercial venues in the sprawling residential North Raleigh is ludicrous.

So now the County Commissioners unanimously approved the funding, while our city council sits divided.  Who are they helping with all of this?  I thought they served citizens? If Kane can muster another $600 million when we provide $75 million why can’t he just provide $675 million on his own?  Parking decks have been quite the controversy and our automobile society needs them to function properly. After all, this city isn’t providing inviting substantial transit, and the malls are making it as inconvenient as possible.

Rob Geary does a good job of describing the situation in the Indy last week:

Actually, Kane’s pitch is akin to the folks who cut taxes for the rich so the rest of us would be better off. Kane would like a tax cut on his North Hills East development so the rest of us Raleigh taxpayers, though seemingly stuck with a $75 million bill—or is it $140 million?—would be better off.

I don’t know John Kane. I’m told he’s a nice guy. And he’s done a good job of redeveloping, without subsidies, the old North Hills Mall. Nor is this issue of the parking decks about what he can do with North Hills East; Raleigh City Council has already given him the green light for most anything he wants over there, except that the buildings can’t be higher than 35 stories.

But if there’s one issue in the Raleigh elections that says it all about the candidates and where they stand on development issues, it’s Kane’s parking decks. Kane wants to borrow $75 million for parking decks that he’ll own, not the city; and he wants the taxpayers to pay off his debt by cutting taxes on North Hills East by about $140 million (his figure) over the period of his loans.

Don’t worry though folks- Kane’s sense of privilidge will prevail. Meeker’s adamant opposition is countered by a meek retort:

“I don’t understand why he’s attacking our project,’ Kane said.   ...   “At some point we’ll have to force the issue,” he said.

N&O

Mr. Kane, don’t threaten the city with a strip mall and claim you can’t do proper development unless we provide the infrastructure.  Our citizens will not benefit from this project in even a fraction of the scale that you and your investors will.  If anything we will be saddled with the poor traffic solutions you provide in that area, and 20 years of reduced tax revenue.  Developers have acted as profiteers in this city long enough, and you should be expected to do your due diligence before you can obtain that mountain of profits.