The Downtown Chesterfield redevelopment initiative plans a mixed-use development with roughly 2,538 residential units, a 300-room hotel, and more than three million square feet of commercial space, including offices, retail outlets, and dining establishments.
Established in 2025, the SBD’s goal is to generate revenue for expanded services within the district. These services encompass street maintenance and repair, lighting improvements, trail construction, landscape median upkeep, security measures, and public parking facilities.
The original district encompassed just over 100 acres.
The Staenberg Group (TSG) is seeking to incorporate four additional parcels, expanding the SBD to 115 acres. The group includes the Drury Plaza Hotel, Hyatt Place Hotel, Stoney River Steakhouse and Grill, Bishop’s Post Restaurant, and RedKey Realty.
TSG contends that these businesses would benefit from public infrastructure improvements, streetscape enhancements, landscaping, and maintenance services provided through the SBD.
During the City Council’s May 4 meeting, Tim Lowe, TSG’s vice president of leasing and development, explained that the special business district was established to benefit the city by funding public infrastructure improvements developed as part of Downtown Chesterfield.
“Every parcel that gains advantage from Downtown Chesterfield’s development should be part of the SBD,” he stated.
Mark Kohl, senior vice president of development at Drury Development, has expressed opposition to the proposed expansion.
According to the TIF analysis and city documentation, the mall’s decline originated in the early 2000s. Drury opened a hotel and restaurant in 2006 and made significant capital improvements to the buildings and parking areas, adding the Hyatt Place in 2013.
“These investments occurred during the mall’s downturn and without any assistance,” Kohl explained. “We have maintained continuous investments through renovations and substantial upkeep costs, consistently paying complete taxes and all applicable sales taxes.”
During the COVID crisis, revenue plummeted almost completely, yet the company did not request aid or incentives from the city, he noted.
“Currently, we’re being involuntarily placed into a special business district to finance city expenses for the redevelopment zone based on unproven assertions that our customers will directly profit,” he stated.
Even if customers benefit from the SBD, they could also patronize the district’s businesses and boost its sales tax income, Kohl pointed out.
Tim Drury, president and owner of Drury Development, stated, “Our inclusion in the district puts us at a financial disadvantage. The financial impact will be substantial. This is unjust.”
A representative from Bishop’s Post likewise opposed the measure, stating that the restaurant cannot gain advantage since there is no way to establish direct access to its location due to elevation differences.
The council’s vote was 4-4 on the expansion, subject to ratification by district property owners. The mayor’s deciding vote supported the proposal. Council members supporting expansion included Barb McGuinness (Ward 1), Michael Moore (Ward 3), Gary Budoor (Ward 4), and Merrell Hansen (Ward 4).
Opposing votes came from A.J. Moll (Ward 1), Patricia Tocco (Ward 2), Mary Ann Mastorakos (Ward 2), and Lane Koch (Ward 3).
Koch has concerns that a property owner vote on expansion will lack fairness because TSG controls a significant share of properties within the district.
Hansen, on the other hand, noted that residents have expressed worries about the added expense of providing services, including police coverage, once Downtown Chesterfield opens.
Subsequently, a ballot measure will be conducted among qualified voters in the expanded district. After that, they will establish the property tax rate for the district, which is presently set at $0.85 per $100 of assessed property value.
Land value alone determines property assessments through 2029, and beginning in 2030, improvement values will be included in the calculation.
An advisory committee will continue creating and presenting an annual budget proposal for the expanded district to the city council.
