The Middleford Commons project in downtown Medford is a complex public-private partnership that will probably take the better part of a decade to complete. So it's unfortunate that it finds itself wrapped up in the misinformation and disinformation associated with a recall effort aimed at the Medford City Council.
Backers of the recall have made the Middleford Commons a big part of their strategy. In the midst of that nastiness, the facts are sometimes obscured. So here's a bit of a Q and A refresher on Middleford Commons:
Q: What is Middleford Commons?
A: The project would encompass about six city blocks in downtown Medford. It would include office space, retail space, a hotel, residences and public open space. Plans call for Lithia Motors to build a 10-story building for its corporate headquarters and a second two- to three-story building. The Medford Urban Renewal Agency would spend an estimated $14 million, mostly on a new parking structure and a downtown park. It would acquire some property, which it would then sell to Lithia for private development.
Q: How much will this cost?
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Q: Why should the public be involved in helping Lithia build its headquarters? Isn't this a giveaway to a big corporation?
A: It's hard to see how it is a "giveaway" to Lithia, since the company could build its offices on property it already owns near the Medford airport for no more than it will spend on the downtown project. In fact, it's the city that is the winner in landing a huge revitalization project that will pay for itself many times over in property taxes. Lithia is receiving no tax break to locate downtown and will pay an estimated $1 million in system development charges.
Q: Why is the city urban renewal agency spending money on this when the city itself doesn't have enough to hire more cops and fire fighters and to finish the sports park?
A: That's apples and oranges. Taking money from MURA to pay for city employees or projects would be like you robbing a liquor store to pay your rent. It's illegal. Urban renewal funds may be spent only on projects and work associated with improving the physical assets and attractiveness of the district.
Q: Won't this require the demolition of some historic buildings?
A: No, it will require the demolition of some old buildings. But, with all due respect, get real: Aside from whatever sentimental value they hold for a few people, they have little historical value and, in a few cases, are borderline eyesores. The Elks Lodge and the current Southern Oregon Historical Society building are not included in the project.
Q: Since the lifetime of the urban renewal district was extended, won't that deprive our schools of badly needed funding?
A: It will in the short term, but in the long term, it will result in a significant boost to the tax base. Recognizing that, Medford School District officials have supported the project. The project time line estimates that schools and other taxing districts will begin seeing revenues from the district within a decade at the latest.
Q: Why is a government agency involved in this at all? It seems like this is mostly a private development.
A: The basic tenet of a downtown urban renewal agency is that a front-end investment of public money not only helps create a stronger and more attractive business area (and more jobs), but also results in a long-term payback from increased property values that far outweighs the initial diversion of tax money.
If this project for some reason doesn't go through, Lithia still plans to move its car lots, which would leave a big chunk of downtown filled with vacant lots and — how do we say this politely? — a collection of mostly unattractive buildings. If the project goes ahead, downtown gets a major corporate headquarters, restaurants, a hotel, condos, a three-block-long park and a bunch of new jobs. We like the second option.
Middleford Commons likely will be an issue in the recall effort and in the November election. We think the council members should welcome that, because it shows the kind of progressive thinking that will help keep downtown alive and the city thriving.
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