Third Ward Housing & Revitalization Plan Purpose
Develop a Housing Plan that guides equitable growth both in the short term and for the next two decades
Create a Revitalization Strategy for the 3rd Ward that ensures outcomes that strengthen the local economy and prevent economic displacement.
Conduct engagement that is thoughtful and meaningful while also building off of past planning and engagement efforts
Empower stakeholders to carry the plan forward and ensure that community change is reflective of who they are
Why We Are Developing This Plan
Similar to municipalities throughout the St. Louis metro, University City is reliant on sales tax revenues to fund essential public services such as police, fire, and sanitation.
“Market at Olive” is a commercial development at the intersection of Olive Boulevard and I-170. It represents a significant sales-tax generating engine for University City. The $211-million development consists of approximately 50-acres on both the south and north sides of Olive Boulevard, bordered by I-170 on the west and McKnight/Woodson Road on the east. Designed to take full advantage of the adjacent Interstate frontage, “Market at Olive” is a regional draw that attracts shoppers (and their sales tax dollars) from neighboring municipalities.
The development’s first phase includes a 160,000 square foot Costco Wholesale store on the north side of Olive Boulevard that opened in 2022. Other expected businesses include Chick-Fil-A, Raisin’ Canes, Chase Bank, First Watch and Chipotle.
Through the use of Tax Increment Financing (TIF), which captures a portion of the increased taxes realized from the Market at Olive, $15 million in revitalization funds for the 3rd Ward will be generated over time: $10 million for 3rd Ward residential neighborhoods and $5 million for the Olive Boulevard Commercial Corridor.
This planning effort, FOR THE 3RD WARD, is designed to create strategies for investing those TIF funds in a way that increases housing values, promotes economic diversity, encourages homeownership, and revitalizes the 3rd Ward.
What is Tax Increment Financing (TIF)?
TIF is a tool for economic development provided under Missouri law that may be implemented by local municipalities to incentivize development.
In a TIF district, taxing districts (city, school board, library, etc.) continue to receive certain taxes at the level they were before the TIF was initiated. For the duration of the TIF (maximum 23 years), any increase in real property taxes within the defined TIF district redevelopment area is put in a fund and used to pay costs associated with the redevelopment project. This fund also receives 50% of new sales taxes generated within the redevelopment area. After 23 years, the taxing districts once again begin collecting 100% of the taxes from the redevelopment area.
Allowed TIF Redevelopment Activities
3rd Ward Residential (RPA2)
Housing rehabilitation and other housing activities
Neighborhood Improvements
Acquisition of residential property
Landscaping
Demolition
Park development
Construction of housing
Renovation of commercial properties
Olive Blvd Commercial (RPA3)
Renovation of commercial property
Acquisition of commercial property
Demolition
Public improvements
Landscaping
Park development
Construction for commercial uses
