Oktibbeha County is one step closer to developing a new industrial park after Starkville aldermen joined supervisors in supporting an almost 400-acre site northeast of the Highway 82-Highway 25 bypass and pledging $7 million toward the project.
The board voted 5-2 after representatives of the business community, the Greater Starkville Development Partnership Board of Trustees and Mississippi State University backed the Golden Triangle Development LINK plan to acquire the Strange, Stanley and Waldrop properties — parcels of land near the intersection of Highway 82 and Highway 389 — for industrial development.
Ward 6 Alderman Roy A. Perkins and Ward 4 Alderman Jason Walker opposed the matter.
The LINK will now continue negotiations with landowners of the properties, all of which are in various trusts and other ownership statuses, on purchase prices since LINK Chief Executive Officer Joe Max Higgins said a reduction is needed to offset the cost of clearing the sites of potential cultural resources.
LINK estimates show property acquisitions are estimated to cost about $6 million, but Higgins said he’ll seek a $2 million adjustment for mitigation efforts.
The properties are all under purchase options through July, and their owners must agree to lower their prices before the development can come to fruition.
A bond intent resolution is expected to come before aldermen next month and is expected to require a 2.6-mill tax increase from the city and a 1.75-mill hike from supervisors, who also pledged $7 million toward the project earlier this month.
A talking points memo issued by the GSDP board previously estimated a Starkville homeowner would pay an additional $44 per $100,000 worth of assessed property per year, while county homeowners would pay an additional $18 annually in the same scenario.
Both the city and county are expected to service the debt with estimated $567,000 annual payments spread across 20 years.
Mayor Parker Wiseman, who previously supported the LINK’s option to develop a smaller tract of land south of the municipal airport, changed his position and supported the Stanley, Strange and Waldrop project after business leaders came out en masse for the larger, more expensive industrial park.
“I have seen a groundswell of support and optimism from business community leaders at large like I’ve never seen before,” he said. “I firmly believe we’re in the midst of tremendous momentum as a community. You can feel it.”
The entire project represents an $18 million investment by Starkville, Oktibbeha County and 4-County Electric Power Association. The electric company previously pledged to develop a 60 megawatt substation at the property, and Higgins said the guarantee extends to six months after the first industry commits to the park.
A lack of power has kept Cornerstone Park, located near the proposed south Starkville project, from taking off, Higgins said. Those same concerns could have also capped the LINK’s secondary option, as 4-County previously pledged to increase the area’s capacity to about 12 megawatts by 2018.
Approximately $3.34 million is estimated for road improvements at the Strange, Stanley and Waldrop site, while another $1.5 million will construct an elevated water tank dedicated to serving the property.
The overall development does not include an estimated $10 million project to extend natural gas lines that will serve all of Oktibbeha County.
Deemed an essential infrastructure project by Higgins, the lack of natural gas capacity could hamper future development initiatives across Oktibbeha County. Higgins said Atmos Energy has roughly $3.5 million it is willing to commit toward an improvement project if an industry meeting certain criteria wants to locate in the area, but local leaders must work in the next 18 months to fully solve the issue.
Higgins first unveiled details of the proposed industrial site in March. Dubbed the “game-changer on 389,” the complete project will develop 13 individual lots combining for 192.98 acres, a 28.3-acre site for a proposed speculative building, a 6-acre site for a 4-County Electric Power Association substation and a 157.3-acre parcel for a large industry or future expansion.
The Strange property (80 acres) is in an estate trust; the Stanley property (130 acres) is owned by multiple family members; and Waldrop property (150 acres) owners consist of Dudley Waldrop and his brother, LINK Chief Operating Officer Joey Deason said last week. The LINK is dealing directly with Michael Gagnet with the Stanley property, he said.
A fourth parcel — up to 25 acres for Tennessee Valley Authority right of way — is in an undivided trust of former District 3 Supervisor candidate Denny Daniels. Daniels said this weekend he has no part of the trust or control over it.
Carl Smith covers Starkville and Oktibbeha County for The Dispatch. Follow him on Twitter @StarkDispatch
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