Wal-Mart Subsidies in New Orleans, LA
Store Details
City | New Orleans |
State | LA |
Address | 1901 Tchoupitoulas St |
ZIP code | 70130 |
County | Orleans |
Type of Facility | Supercenter |
Year Opened | 2004 |
Value of Subsidies | estimated $7 million |
Narrative
This controversial store in the city's Garden District came about from developer Historic Renovation Inc.'s innovative plan to link tax increment financing to the construction of nearby low-income housing. Although Wal-Mart has not benefited from the TIF money, the deal included a provision for it to make payments in lieu of property taxes. According to an analysis done by Barry Schlaile while he was president of a local merchant's group, the PILOT was set well below the level at which Wal-Mart would otherwise be paying taxes. Using Schlaile's analysis, we estimate that the tax savings to Wal-Mart will be about $7 million over the 20-year life of the agreement.