Duke Realty Project

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Duke Realty is planning its largest development ever for 1,758 acres in Boone County along the east side of I-65 from the SR 334 (Zionsville) exit to the SR 267 (Whitestown) exit. The project would border Royal Run, Walker Farms, and Boone Meadow school. Development is forecasted on both sides of SR 334 near Royal Run. Duke considers the area proposed for this project to be the "best site for large-scale development in Indiana." A detailed description of the project is below. This information was obtained during a January 23, 2004, meeting of the Boone County Redevelopment Commission.

Duke's option agreements to buy land from 20 different landowners begin to expire May 2004. Before exercising these option agreements, Duke wants to have the required rezoning finalized. This rezoning will be in the form of a Planned Unit Development (PUD) proposal that Duke will submit to the Boone County Area Plan Commission in April. The PUD proposal would change the zoning in the development area from a mixture of agriculture, residential and general business to a set of standards that meets both Duke's needs and the requirements of Boone County's comprehensive plan.

The proposed project would include office buildings, high-tech companies, light industrial occupancies, manufacturing occupancies, distribution centers, hotels, motels, various retail outlets including restaurants and department stores, and residencies. The emphasis is to create a community where people live and work in the same place. There would be "lots of open space" with a trail system and pleasing sight lines. Apparently, similar projects may exist in Reston, VA, and Columbus, OH.

The total project has a 15-year time frame with retail and residential components completed during the first phase. Platinum Properties is leading Duke's residential portion of the project and expects 1,000 homes and 400 apartment units to be built. Duke wants to begin construction on the first phase by early 2005. No potential occupants have been identified for the project, but Duke indicates that the project has not yet been marketed.

At some point, probably in the near future, Duke will approach the Boone County Redevelopment Commission to request that a Tax Increment Financing (TIF) District be established for the project. Duke wants Boone County to issue bonds for the infrastructure and roads the project will require. While the numbers have not been finalized, it has been initially estimated that a total of $80 million in bonds would be needed for improvements such as utilities ($46.5 million), underground fire protection ($5.5 million), internal roads construction ($20 million), and external roads upgrade ($8 million). External road upgrades would include Boone County's portion of the cost to expand 146th Street/CR 300 S from I-69 to I-65, widen IN 267 and IN 334 from Hendricks County into Boone County, and add an interchange between IN 267 and IN 334.

The $80 million in TIF bonds desired by Duke would be issued in four phases. The first phase would total about $45 million and would begin with about $7.5 million issued this year. Supposedly, not all the tax money generated by development in the TIF District would be required to make the annual bond payments.

In addition to the TIF bonds, Duke indicates that public funding for the project could come from a variety of sources. The establishment of a county wheel tax would supposedly generate between $5 million and $15 million in revenue. Tax abatements could be extended to individual industrial occupants of the project. EDGE credits could be used. If a Certified Technology Park is established for high-tech users, up to $5 million in incremental sales tax could be captured. Infrastructure grants could be obtained from the Indiana Department of Commerce. The innkeepers tax generated by hotel and motel occupants could be dedicated to the project. The General Assembly could provide for sales tax increase financing. Roads funding could come from the Indiana Department of Transportation. 

Duke states that the project would have a positive economic impact in Boone County. Assessed value is estimated to increase $550 million by 2020. Personal property tax and county income tax revenues would increase. "Quality" jobs would be provided. The county's infrastructure would be improved.

Duke wants the county to provide a memorandum of understanding by May 1, 2004, stating that the requested bonds will be issued and that a wheel tax will be imposed starting in 2005.

Please let Watchdog Lebanon know what you think about the Duke Realty Project.

DUKE REALTY PROJECT DESCRIPTION:

Town Center Business District: This would be the "heart, hub" of the development. It would include 2- and 3-story office buildings and high-tech companies. A  hotel and an "outdoor lifestyle" retail center (with no enclosed mall) would also be included. There might be limited multifamily residential development in this area.

Town Center Residential Center: Multifamily empty-nester homes, such as apartments and townhouses, would be built on 100 acres. Retail and professional office occupancies would be included, along with parks and trails. There could be a small downtown village area with 2-story buildings that include businesses on the first floor and residential above.

Neighborhood Residential: Single-family residences will be built on 200 to 250 acres. Most of the residences will be in the $200,000 to $500,000 range.

Commercial District: Light industrial occupancies would be sought similar to Pike Township's Park 100. There would also be manufacturing occupancies. Trails would be planned throughout this district. This Commercial District, together with the Interstate Commerce area described next, would occupy 450 acres.

Interstate Commerce: This area of the project would include distribution centers and light industrial occupancies. Some retail occupancies, primarily hotels and restaurants, would be located along I-65.

Business District: Retail uses in this district would include "out lot" big box department stores, restaurants, hotels/motels and smaller professional offices. Townhouse condominiums would be sold for $150,000 to $300,000. "Nicer apartments" would also be built. Open space would be planned.

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This page was last updated on 03/19/10 .