(WBIR) The Knoxville City Council unanimously approved a 20-year, $1.7 million dollar tax increment financing (TIF) for the Tombras Group to move offices into a building in the downtown Historic District.
The Tombras Group, a nationally recognized advertising and public relations firm, is set to relocate its headquarters from near the University of Tennessee’s campus to a key building in the downtown Historic District that’s in dire need of renovation.
As it stands, the company, which employs about 150 people, would move from 630 S. Concord St. near Sorority Village to the former Knoxville Utilities Board Building on South Gay Street and an adjoining building.
The move would also create at least 50 new jobs, officials who are involved in the deal said.
The properties, located at the corner of Gay and Church streets, combine for a total of about 54,000 square feet, and are currently owned by Hatcher-Hill Properties.
“We’ve owned the building for about three years and, really, we saw a great opportunity when they said they could bring 150 to 200 jobs downtown. We thought that was a great thing,” said Tim Hill, who co-owns the property. “We need more folks downtown. About 10 to 15 years ago there was a mass exodus (of businesses), but now you’re seeing a lot of people wanting to return.”
The four-story building, which is more than 125 years old, was initially a furniture factory in the 1880s before KUB’s predecessor took it over.
The building has remained unoccupied since KUB left about 16 years ago.
“It’s really one of the few major blighted buildings left in the core of downtown,” said Knoxville Deputy Mayor Bill Lyons. “But when people and a lot of companies want to be downtown – that’s a great indicator.”
“Obviously we’re favorable about getting the building redone, getting them here and keeping them here,” Lyons said. “We think it’s great. Retail, residential and office are the three legs of the stool we focus on for the downtown and this is going to be bringing in new jobs.”
Since the proposal passed City Council Tuesday, it will now move on to the Knox County Commission, which holds its monthly voting session Feb. 22.