Joseph Freed and Associates was given an estimate on the amount of funding that the city of DeKalb is willing to issue for the redevelopment of Northland Plaza, but the tentative amount is about half of what the company originally requested.

In a meeting Tuesday, the Economic Development Committee recommended that the city invest almost $3.5 million in the redevelopment of the Northland Plaza, located at the corner of Sycamore and Barber Greene roads. The amount recommended is more than $3.3 million less than the request by the development company, The Joseph Freed Corporation. They also recommended the city put forth $2 million in renovations for infrastructure improvements.

Linda Wiggins, administrative service director of the city, said a final decision of dollar amounts will be made at the Oct. 22 city council meeting.

The recommended investment would go into what city officials call hard costs.

Hard costs include acquisition of new land, facade improvements, on-site improvements and utilities and demolition of existing structures. The total recommended funding for hard costs account for $800,000 less than what the Joseph Freed Corporation asked.

The EDC also unanimously recommended no funding for soft costs and financing and interest costs. The Freed Corporation previously had proposed $1.2 million and $1.9 million for soft costs and financing and interest costs respectively.

The EDC felt more comfortable with the hard costs than with other proposed costs, Wiggins said.

The Joseph Freed Corporation originally purchased Northland Plaza because it presented itself as a Tax Increment Funding area. TIF funding is usually available for areas that are run down. The city offers assistance in funding for developers to redevelop or expand them.

Without TIF funding it would be more difficult for a developer to continue with the Northland Plaza project, said Paul Rasmussen, director of community development.

“It would be an uncontrolled approach,” Rasmussen said.

According to Rasmussen and economic development planner Chad Bryden, one reason the approach would be uncontrolled is because in an area like this, the city would like the facades of all buildings to look similar, so that it’s more appealing to shoppers. TIF funding is one way the city can get in and assist developers with design.

This means the outside of any future stores will look similar to Borders Books and Music, which is currently under construction.

The funds are just recommended, and could very well change when the city council gets together.

“These are the figures they recommended,” Wiggins said. Wiggins added that the council’s decisions are unpredictable, so final dollar amounts won’t be set until the Oct. 22 meeting.