Peru Mall TIF could attract new business

In an effort to spark interest in the Peru Mall, the city of Peru is considering a tax increment financing (TIF) district for the 48-acre parcel.

The City Council approved an inducement resolution for the proposed site at a recent city council meeting, which could lead to increased interest in the Peru Mall and a formal city ordinance in summer.

“It’d be great for the city, great for the county, great for shoppers and it’ll be wonderful for residents of Peru,” said Peru Economic Development Director Bob Vickrey.

The resolution allows for the Peru Mall to begin improvements to the facility now that would be reimbursed later should the TIF be approved.

The Peru Mall has struggled in recent years due to the loss of J.C. Penney, Sears and Bergners due to nationwide closures.

The majority of the property is owned by GK Development, which owns the Peru Mall, but eight of the proposed 48 acres of TIF district makes up the former Sears building owned separately by Sears Holdings Corporation.

Vickrey said the city of Peru continues to meet with GK Development on a regular basis to discuss options for the mall and discussion around the advantages of a TIF district began in 2015, before the mall lost a number of its anchor stores.

It’s expected the TIF will eventually lead to additional retailers but the city is mum on specific details of what GK Development has planned for the site, as well as how long it may take to attract new businesses, as they signed a non-disclosure agreement with the developer.

Vickrey said a number of additional steps are required before the city will consider adopting a city ordinance for the TIF later this summer.