Red Berry Project Sparks Questions On Taxpayer Funded Economic Development

City Coluncil has finally given the go ahead to the city supported phase of a planned $150 million plan to renovate the grounds of the Red Berry Mansion on the city's east side, but it was not without controversy over the role of taxpayer funded subsidies in neighborhood revitalization, News Radio 1200 WOAI reports.

The massive project includes the extension of the Salado Creek Hike and Bike Trail into the grounds of the mansion on Gembler Rd. near the AT&T Center, as well as restoration of the mansion itself to be managed by the RK Group as an event venue.

There are also plans for a 169,000 square foot office building to house the RK Group as well as other businesses, and plans for shops and restaurants on the site.

But the questions were raised about City incentives, including a $1 million tax rebate, to construct a 330 unit 'mixed income housing development,' with 50% of the units priced to include 'low income housing,' or what is now more sensitively referred to as 'worker housing.'

North side Councilman John Courage asked whether the redevelopment warrants what are called 'Class A,' or high level apartments, and he asked whether rents of $1100 to $1400 a month can rightly be called 'low income housing.

"Saying Class-A is something that we need in these areas, which we say is affordable but actually aren't, is a little misleading to our community," Courage said.

East side Councilman Cruz Shaw bristled at the suggestion that the east side 'doesn't deserve' higher level housing options.

"District Two deserves a Class-A housing stock, and I think this project is it," he said, adding that if there were a proposal to build Class-A housing as part of a redevelopment project in Courage's north side district, nobody would bat an eye.

Courage also said he is skeptical of claims that this major development, and the tax money which is being spent on it, will bring economic development to the east side.

"You know that we said the AT&T Center would be a big economic development generator over there, but it hasn't been," he said.

The proposal passed with only Courage voting against it.

"This project will be catalytic and will facilitate more development in the surrounding area," the City said in its prospectus.  "The public improvements, housing project, commercial office building, and mansion restoration make up approximately 59 acres of the 85 acre site.  The remaining 26 acres will be developed in the future, and will not receive any additional incentives."

Red Berry was a colorful gambler and politician who died in 1969.  He served terms in the Texas House and Texas Senate, but is best known for being a leader in the city's booming gambling and vice sector in the 1950s.  Legend has it that he won the land where the mansion now stands in a card game.

The City acquired the mansion and its property in 2012 and has been working hard to come up with a development plan for the area.


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