Yesterday representatives from the LeMay Museum asked the City Council’s Economic Development Committee to consider financing support for the museum through the City’s Community Development Block Grant (CDBG) Entitlement. The US Department of Housing and Urban Development’s (HUD) Section 108 loan program allows CDBG Entitlement communities, like Tacoma to borrow money for certain community development activities. The LeMay project qualifies as an economic development activity within the Section 108 program.
The $3,500,000 of Section 108 loan proceeds will be leveraged with New Market Tax Credits, a conventional loan from US Bank and equity to build phase I of the LeMay Museum on a site provided by the City of Tacoma near the Tacoma Dome.
Phase I, which will begin the permit process this spring, is anticipated to create 90 jobs and will consist of:
- 150,000 square foot Collector Car Center displaying 600 cars
- 8 Galleries
- Theater in the round
- 1 kilometer road displaying vehicles and exhibits
- Banquet hall
- Councours Club
- Club Auto
- Education Center with library and classrooms
- Auto maintenance facility
- Four-acre show field
The museum anticipates future private retail development and a dining complex housing a multiplex theater.
The full council will hear the financing proposal at the April 15th City Council meeting.