VIRGINIA BEACH, Va. (WAVY) — Virginia Beach City Council has voted to spend $24 million to help build parking garages for the redevelopment of Pembroke Mall.
In March, 10 On Your Side reported that Pembroke Square Associates asked the city to dedicate $24 million to build two parking garages.
The garages would be part of a more than $161 million redevelopment plan that would construct a new hotel, apartments and senior living facilities.
During a presentation to City Council in March, many members appeared supportive of the public-private partnership.
The city would pay about $30,000 per parking space. Once the $24 million debt is paid, the extra tax revenue from the new development would go into the city’s general fund.
After the $24 million debt is paid off, the extra tax revenue from the new development will go into the city’s general fund.
Pembroke Mall officials released a statement Tuesday night saying the public-private partnership is essential for reimagining the Pembroke Mall.
“The positive relationship between Pembroke Square Associates and the City of Virginia Beach spans many generations. As we reimagine the Pembroke Mall, we recognize that the City is an essential partner. Our work together responds to the Pembroke Urban Master Plan – specifically, to be ‘an urban, pedestrian-friendly design that would connect it to the central business district’ and to transform the area to an appealing destination for the public. This is an important project for our community, and we are excited about the vast opportunities that it will bring for residents, visitors and the City’s economy.
“We appreciate City Council’s consideration of this request, which will bring muchneeded parking to the Pembroke area and contribute to the overall success of our redevelopment. The City’s investment will make them the owner, operator and manager of the garages, while the private companies developing the property, including our senior living, apartments and hotel, will be responsible for paying the related taxes to the City. Once the City’s initial investment is recouped in taxes, current and future taxes will be paid into the general fund.
“Having the City’s participation as the owner and operator of the planned parking garages, which will be free to the public, will provide both short-term and long-term support that will benefit the City, its residents, future visitors and our project.
“Public-private partnership is a necessity for projects of this type, and we are grateful for the positive feedback from City leaders about our plans for the reimagining of the Pembroke Mall. We have made a strong commitment by way of a substantial investment in Pembroke Mall’s redevelopment, and we fully intend to turn that into economic benefit for Virginia Beach.”