County approve Black Hills Marketplace TIF

The Pennington County Board of Commissioners approved the creation of Tax Increment Finance (TIF) District No. 8 for the Black Hills Marketplace development during its meeting June 3, marking a significant investment in future housing, commercial growth, infrastructure improvements and economic development in western Rapid City.

The Black Hills Marketplace project is planned at the intersection of Catron Boulevard and Fifth Street and is designed as a mixed-use development featuring residential, commercial, hospitality and public infrastructure improvements. The project is expected to provide new housing opportunities, create jobs, expand commercial amenities and improve transportation and drainage infrastructure in one of the fastest-growing areas of Pennington County.

According to project estimates presented to the commission, the development will include approximately 500 multifamily housing units, 130 single-family homes, more than 400,000 square feet of retail, hospitality and restaurant space and future employment and industrial opportunities. The project is anticipated to generate approximately 900 permanent jobs and more than 2,000 construction-related jobs.

The approved TIF will help fund critical public infrastructure improvements, including the extension of Fifth Street and Black Hills Boulevard, new turn lanes on Catron Boulevard, water and utility infrastructure, regional drainage improvements, detention ponds and other site preparation necessary to support future growth. Many of these improvements address longstanding infrastructure and drainage challenges in the area while preparing the corridor for future development.

As part of the development, the project team has also committed to donating approximately six to nine acres of land to Pennington County for potential future county facilities and services.

“This was not a decision the commission made lightly,” said Brittney Hand, Pennington County Planning and Zoning director. “Tax Increment Financing is a tool that the board evaluates very carefully, and throughout this process, the commissioners took the time to thoroughly review the proposal, and ensure the public benefits justified the investment. This is only the eighth TIF district approved by the Pennington County Commission, which speaks to how selective the board is when considering these requests. Ultimately, the commissioners recognized the value this project brings through new housing opportunities, critical infrastructure improvements, job creation and long-term economic growth for our community.”

The project represents a collaborative effort between Pennington County, the City of Rapid City and the development team to address infrastructure needs while supporting future growth in an area that serves both residents and visitors traveling through the Hwy. 16 and Hwy. 79 corridors.

For more information regarding the TIF approval, including a presentation done by Hand, see the commission meeting recording at youtu.be/USwy3UYUmaw?si=wetL1BaczizZI3_X&t=2310.