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ServiceMaster hopes to double their space with new building plan in Lexington
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ServiceMaster hopes to double their space with new building plan in Lexington

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CDA property

ServiceMaster of Mid Nebraska is hoping to build a new 8,000 square foot building in southwest Lexington to expand their business.

LEXINGTON — Lexington’s Community Development Agency approved a redevelopment contract with ServiceMaster of Mid Nebraska for an 8,000 square foot commercial building on Heartland St.

City Manager Joe Pepplitsch told the CDA, which hasn’t met since July, Brian Bazata with ServiceMaster is looking to build a new facility in Lexington and wanted to utilize tax incumbent financing (TIF) for the project.

The property in question is a lot on the corner of Frontier St. and Heartland Road., located behind the strip mall containing Hibbett Sports, Verizon, etc.

The intent is for a new 8,000 square foot building to be constructed, this is double the size of the space ServiceMaster currently occupies in Lexington, Bazata told the CDA. Pepplitsch said he was looking for a space which would work in the long term.

Bazata said he came to Pepplitsch with the idea several weeks ago. He said they have outgrown their current facility on N. Adams St., which is only 4,000 square feet. They also have to utilize a small storage building to house some of their larger equipment pieces.

“We are out of space,” said Bazata, he added the current layout is inefficient. A new building could be tailored to ServiceMaster’s specific needs.

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Bazata said he kept coming back to the word, “efficient,” for moving into a new space.

The layout of the new building would include garage doors on the east side, delivery access on the south side and office space on the north. There would be public parking access, with a planned access from Heartland Road. Pepplitsch said they are looking into access from Frontier St. as well.

No zoning changes will be required for the project and no major utility improvements are needed, Peppltisch

said.

There will be no negative tax shift resulting from the project, with $9,600 coming as an annual projected tax shift. The TIF funds requested are estimated to be around $134,400, according to the redevelopment contract.

Acquiring TIF funds is not a short process, Pepplitsch said. The plan will need to go before the planning commission and if they recommended their approval, it will be forwarded to the city council. If the council approves it, the project will come back to the CDA, who can then issue the TIF note.

It could be in April or May before the project is able to move ahead. Pepplitsch described the redevelopment plan as, “meaningful,” for the southeast area of Lexington.

The CDA chose to approve the resolution, which will kick off the process.

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