Cortex TIF
Investing in Growth, Fueling Innovation
The Cortex Tax Increment Financing (TIF) is a commitment to the continuous growth and evolution of our District. It represents our dedication to fostering an environment where businesses and individuals can thrive and grow.
Cortex, a 501(c)(3) not-for-profit, drives inclusive economic growth in St. Louis through real estate development, company recruitment, entrepreneur training, workforce training, maintaining public spaces, and security coordination. From 2014 to 2024, Cortex’s activities generated $105.5 million in *net new tax revenue for the City of St. Louis and St. Louis region. (*Rounded estimates based on collections of economic activity taxes and real property taxes).
In 2022, Cortex approved a new 5-year strategic plan with a new vision centered on equitable economic outcomes in the region. To help achieve that mission, Cortex needs to continue to build buildings in the District. Given the deteriorated condition of the land, Cortex and its development partners cannot develop those areas without TIF (Tax increment financing) assistance.
Tax Increment Financing (TIF) is an economic development tool that helps local governments fund infrastructure upgrades and other improvements within designated redevelopment areas. TIF is essential for property areas suffering from disinvestment and decline, characterized by obsolete infrastructure and vacant, decaying properties. These conditions make redevelopment costs and associated risks too high for private developers or the private market to handle alone.
For an area to qualify for TIF in the City of St. Louis, it must be declared "blighted" through an ordinance process by the Board of Aldermen.
How Does Cortex Use TIF?
TIF (tax increment financing) is a development tool approved by the City of St. Louis for Cortex in 2013 to make land "shovel-ready" by addressing environmental remediation and infrastructure improvements. This tool helps Cortex and its partners afford development projects, even today, as undeveloped land still requires cleanup and improvements to proceed.
Cortex uses TIF by initially covering redevelopment costs, such as street repaving and sidewalk repairs. Once a development is completed, a portion of the new tax revenue reimburses Cortex for these expenses, with the remaining revenue benefiting various regional and state jurisdictions, including the City of St. Louis and Saint Louis Public Schools. Of the $167.7 million TIF granted in 2013, Cortex has used $88.7 million, ensuring each project plan undergoes review, public input, and approval by the TIF Commission to protect public interests.
Cortex and SLPS
When Cortex was established in 2002, Saint Louis Public Schools (SLPS) received minimal property tax revenue from the mostly vacant 200-acre area. By 2020, Cortex generated nearly $7.8 million in property taxes and $3 million in sales taxes for SLPS. Due to slowed construction and the COVID-19 pandemic, three RPAs still need development, requiring activation of unused TIF so that Cortex may have the ability to use the remaining allocation, rather than forfeiting potential tax revenue, new jobs, and improved infrastructure.
Periodically, Cortex has TIF bills before the St. Louis Board of Aldermen to approve individual projects or activate redevelopment project areas, potentially allowing projects to be completed before the TIF deadline. Project plans will be presented to the TIF Commission for approval. Cortex values transparency in its use of TIF funds; for more information, please email info@cortexstl.org.
