Financing for Development of Publix in Pigeon Forge

Client Type: Government

We represented the City of Pigeon Forge, Tennessee, in a unique financing for the development of a new Publix Super Market. To offset the cost of the land and aid in the development of this project, the City, working with its Industrial Development Board, allowed the developer to make payments in lieu of tax for 20 years, instead of paying normal property taxes, and leveraged those payments in order to borrow funds to pay for a portion of the development costs. The City will benefit greatly from having a large sales tax producing retailer in its tourism development zone.

We represented the City of Pigeon Forge, Tennessee, in a unique financing for the development of a new Publix Super Market. To offset the cost of the land and aid in the development of this project, the City, working with its Industrial Development Board, allowed the developer to make payments in lieu of tax for 20 years, instead of paying normal property taxes, and leveraged those payments in order to borrow funds to pay for a portion of the development costs. The City will benefit greatly from having a large sales tax producing retailer in its tourism development zone.