Magnolia Marketplace, the $24 million retail development on Claiborne Ave. in Central City, received the last leg of its state-related financing approval today.
The Louisiana State Bond Commission voted to approve the sale of $2.3 million in bonds that will be repaid with an increased sales tax at the development. Just last month, the City of New Orleans approved a 1-cent sales tax on items sold at the development.
With the added 1-cent tax, sales tax at Magnolia will be 10 percent. It will revert back to nine percent after the $2.3 million is paid off. The revenue will be used for infrastructure work, including sewers.
Stirling Properties, the developer behind Magnolia Marketplace, has stated that the development is 100 % leased, with tenants that include TJ Maxx, PetSmart, Subway, Capitol One, Michael’s, Ross Dress for Less, T-Mobile, Shoe Carnival, Raising Cane’s and Ulta Beauty.
The commission voted 13-1 to approve the bond sale.
Stirling claims that the development will bring more than 200 jobs to the area.
CityBusiness reports that the owners are seven principles from Stirling Properties, including Townsend Underhill, plus Robert Nolan, an attorney with Adams and Reese LLP, David Gallo, president of Gallo Mechanical in Metairie, Gladstone Jones, a partner in Jones, Swanson, Huddell & Garrison, LLC. Two employees at Stirling, Rick Skelding, a commercial real estate broker, and Rhonda Sharkawy, a senior retail leasing and development executive.