Montgomery County councilmembers on Tuesday unanimously approved the creation of the 294-acre Viva White Oak Development District. Their resolution included the use of the county’s first Tax Increment Financing (TIF).
The project will be located adjacent to the U.S. Food and Drug Administration campus. It is expected to house commercial, residential, retail and public space as well as a life science center. There is a site set aside for a future elementary school.
The $2.8 billion project is a big boost to the eastern part of the county, according to several councilmembers. It is expected to create 17,000 construction jobs and 9,000 full time jobs.
But don’t expect anything to happen quickly. The town center will open in 2028, and the varied housing and hotel portions will be completed between 2031 and 2038. The life sciences complex is predicted to open in November of 2043.
Because much budget will be spent before Viva White Oak is completed, the council approved a special financing system that dedicates future property tax revenue for the county. It will allow the project to raise money upfront through bonds by pledging increased property taxes down the road.
Once developer bonds are paid off, the county will collect all taxes from the property.
Councilmembers approved of the financing plan, explaining that once the development is operational, the county will collect taxes on property that has increase in value.
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