Kenner tax break to lure Kohl's department store considered

4 acres eyed at Chateau Village Shopping Center

Kenner officials are considering offering tax incentives to lure a Kohl's department store to the largely vacant Chateau Village Shopping Center. Public records suggest the suburban Milwaukee retail chain might build a 64,000-square-foot store on four acres at 3501 Chateau Blvd.

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Clik here to view.The Associated PressKohl's operates more than 1,000 department stores in the United States

The City Council is scheduled to decide Thursday whether to designate the site as a tax increment financing district, which would let city officials wave some of the sale tax revenue that the store would ordinarily have to pay to City Hall. The size of the tax break would be subject to negotiation and, later, City Council approval. Thursday's measure "just sets up the footprint of the actual TIF," said Mike Quigley, Kenner's chief administrative officer.

Under a similar tax increment financing district, Kenner already has agreed to waive $1.4 million in sales taxes for the Target department store that opened in July at The Esplanade mall. The Kohl's store would be smaller than the 138,280-square-foot Target building, however, so its tax break would be commensurate to the size of the venture, Quigley said.

Kohl's operates more than 1,000 stores in the United States, including six in Louisiana. The only one in the New Orleans area is near Covington. Company officials have not responded for requests for comment on the Kenner negotiations.

Quigley said city officials are pleased about the possible improvements to Chateau Village. Efforts to redevelop the site emerged in 2006, with the idea of about 100 apartments on top of shops. Chateau Estates subdivision residents and city officials didn't like that proposal or a subsequent one, a hotel with a shopping center.

In 2008, the City Council finally approved a planned unit development scheme that includes a shopping complex with one anchor store. Details are subject to the Planning and Zoning Department and the City Council approving revisions requested by the developers, Quigley said. He said developers will meet with city planners probably next week before submitting their application.

"It's a nice store," Quigley said. "We're happy to have them."