St. Louis, MO-based KP Development outlined plans for a $222 million business park on the former Chrysler site in Fenton as part of its request for nearly $60 million in public subsidies for the development. KP submitted its development plan to the St. Louis County Tax Increment Financing Commission earlier this month for a public hearing scheduled on July 20th. This month's appeal includes a request for an additional $17 million in state tax increment financing assistance, on top of the $34.6 million in TIF assistance KP Development is seeking from St. Louis County and Fenton.
The Fenton Logistics Park, KP's planned new development, would add around 2 million square feet of space for warehouses, offices and industrial tenants on a 295-acre site that has been unused since Chrysler made its last Dodge Ram pickup seven years ago. Associated Bank of Green Bay, WI, has preliminarily agreed to finance the redevelopment. A letter to Jim Koman with Fenton Land Investors LLC and KP Development from Associated Bank last month says "financing of the project would not be feasible without the incentives."
"They're going to have to make a significant investment to build upon those sites," said Patrick McKeehan, a longtime economic development official in the region and former director of the St. Louis Regional Automotive Partnership. "I'd rather see activity on the site then having it sit and not generating any economic activity."
KP Development completed its purchase of the property directly off I-44 and Bowles in Fenton in 2014; the price was not disclosed, but St. Louis County's appraised value for the site at the time was $17.2 million. Scott Haley, KP's senior vice president, said the site is suitable for light manufacturing, distribution centers and even office space. "We've had a lot of strong conversations with many types of users for that facility," he said.
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