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1933 Carmel Salon Design – Explanation

William Shaffer’s recent letter to the editor regarding land purchased by the Carmel Redevelopment Commission for the 1933 Lounge project contains incorrect information.

The Carmel City Council unanimously authorized the CRC to purchase land for the Project along Rangeline Road for $3.5 million at a public meeting on August 1, 2022 (City Council Resolution CC 08-01-22-02). The CRC then approved the purchase at a public meeting on November 16, 2022 (CRC Resolution 2022-32). A $3.5 million payment was then made for the purchase of the property, signed by Henry Mestetsky, CRC Executive Director, and Ann Bingman, City Controller.

CRC did not spend twice what was approved, Mr. Shaffer said. CRC or any other city-related entity would never spend public funds without proper approvals and checks and balances.

CRC contributed the land, along with another $350,000 parcel it owned, to the project. The result was the transformation of unproductive parking lots and several rental homes into a $30 million redevelopment that includes 43,000 square feet of new workplaces at its headquarters, a destination restaurant, Huse Culinary, 11 townhomes for sale and a public parking lot.

The city will retain any future property tax increase financing, which will generate $4.7 million in revenue for the city over the life of the TIF area.

William Hammer is president of the Carmel Redevelopment Commission.