Clayton tax district could renew blighted area

Some empty strip malls and dilapidated houses in Clayton County soon will be bulldozed and replaced with hotels, offices and new homes.

The County Commission voted 3-0 Monday for tax allocation districts to be established on about 3,000 acres in northwest and central Clayton County.

County officials estimate the development will add an additional $8.227 billion to the tax base and create 15,777 permanent jobs.

Several developers already have expressed interest in building hotels, offices and light manufacturing businesses in the area and were waiting for the approval, said Robin Roberts, Clayton County’s economic development director.

Roberts was reluctant to release details about the developers since no contracts had been signed, but said they were anxious to move forward.

“The interest is there, particularly in Mountain View and northwest Clayton,” Roberts told the commission. “If we get financing, we could see that development start in 2009.”

The tax allocation districts are designed to attract developers to undesirable areas by offering incentives, such as road improvements, parks or sewer upgrades paid for by the county.

“The areas that are stagnant don’t have roads and have image problems,” said Rick Padgett, of Huntley Partners, Clayton’s development consultant. “We’re removing barriers to economic development.”

The two districts fall in areas full of deteriorating buildings, unsafe and unsanitary conditions, high crime and outdated roadways, county records show. County officials say they will attract developers to these areas because of the proximity to Hartsfield-Jackson International Airport and I-75.

The northwest district includes 1,303 acres between the airport, the interstate, Flat Shoals Road and the Fulton County line. The central district includes 1,776 acres along Tara Boulevard, Mount Zion Road, Upper Riverdale Road and Old Dixie Highway — the heart of Clayton’s commercial district.

County Commission Chairman Eldrin Bell said the TADs will provide an opportunity for the county to apply for federal funds under President-elect Barack Obama’s economic stimulus package.

“By having this in place, we have leverage for infrastructure improvements, such as road improvements, park developments and stormwater drainage work,” Bell said. “And it will provide jobs and much-needed support for our budget so we’re not totally dependent on taxpayers.”

Some commissioners said they were concerned about the possibility of the developments being stalled because of the county’s questionable financial standing. Last week, Moody’s Investor Services said it was watching Clayton’s finances and considering lowering the county’s bond rating.

If that happens, it could mean higher interest rates for TAD bonds, said Edmund Wall, the county’s financial adviser.