The Mitchell City Council on Tuesday approved the creation of a Tax Increment Financing District, or TIF, for renovations on the former Shopko building. The building was purchased by Krohmer Plumbing. Money for improvements and other incentives comes from the growth in property tax revenues by developing the property. Johnson told the council that the TIF is similar to others approved in Mitchell. The project costs incurred by Krohmer will exceed the TIF amount of just over $527,000, with Krohmer funding the remainder of those costs.
Krohmer Plumbing will occupy roughly half of the building. It is hoped that two retail businesses will occupy the other half. One of those may be a national retail business, although it is not yet known what retail businesses may move into the building.
Renovations to the building are expected to be completed this fall. Krohmer Plumbing will leave its current location, which is on South Ohlman Street.