The Montrose Urban Renewal Authority has received up to $2 million in grant funding for tenant site improvements for the Flex Buildings within the Colorado Outdoors campus, according to a news release from the City of Montrose.
The grant comes from the Colorado Office of Economic Development’s Colorado Creative Industries Division, which, in collaboration with Colorado Department of Local Affairs, is overseeing Colorado Community Revitalization (CCR) Grant Program.
The program was established by Senate Bill 21-252 and allocates $65 million to organizations starting new construction or bolstering building projects.
“The City of Montrose extends our gratitude to OEDIT for being selected to receive this important grant funding that will ensure that businesses focused on the creative industries are able to expand and/or locate in the Flex Buildings at Colorado Outdoors,” City Manager Bill Bell and MURA board president said in the release.
Last fall, during a MURA board meeting, the board approved and authorized City of Montrose staff to apply for the CCR grant in order to cover increased costs. Kendall Cramer, the city’s innovation and citizen engagement community program manager, reported a few months earlier that tenant site improvement costs for the Flex Buildings increased 149% (a little more than $2.3 million) since 2020. Now, that total is around $2.6 million, or over 200%. Effects from the pandemic have exacerbated supply shortages, leading to price increases for commodity items.
The initial increase was due to material costs jumping to $70.29 per square foot, up from $28.19.
According to the release, the request from Colorado Outdoors for gap financing regarding the Flex Buildings met the grant program’s criteria. MURA was deemed an eligible applicant.
“This award is a critical investment in rural Colorado and the Montrose community. We are so grateful for the support of the Colorado Creative Industries team and its council. We can’t wait to get started,” David Dragoo, founder of Mayfly Outdoors and president of Colorado Outdoors, LLC, said in the city’s news release.
Colorado Outdoors’ had already planned an investment of $1.5 million for tenant site improvements. MURA will provide $1.1 million for horizontal infrastructure improvements, fulfilling the 1:1 match that is required by the grant.
The Flex Buildings are currently undergoing tenant site improvements, which are expected to be completed during the first quarter of 2022. Future tenants who have signed lease agreements to relocate or move into the buildings are expected to move in during spring and summer of 2022.
Josue Perez is a staff writer for the Montrose Daily Press