Title
Introduction of Incorporated County of Los Alamos Ordinance No. 760; An Ordinance Adopting A Local Economic Development Project For Public Support Of VE Holdings Nm LLC, A Domestic Limited Liability Company Qualified To Conduct Business In The State Of New Mexico
Recommended Action
I introduce, without prejudice, Incorporated County of Los Alamos Ordinance No. 760; An Ordinance Adopting A Local Economic Development Project For Public Support Of VE Holdings Nm LLC, A Domestic Limited Liability Company Qualified To Conduct Business In The State Of New Mexico, and ask staff to assure that it is published as provided in the County Charter.
County Manager's Recommendation
The County Manager recommends that Council introduce this Ordinance.
Body
The Rock is a proposed redevelopment project at 116 and 118 State Road 4 in White Rock, (aka the former Time Out Pizza building).
VE Holdings NM LLC is owned by local residents Janet Lovato and Timoteo Martinez. The project would renovate the former Time Out Pizza building to accommodate a sports bar, a frozen yogurt shop, a laundromat, and related infrastructure for food trucks and electric vehicle charging stations. The estimated construction cost is approximately $1.2 million. The County’s public assistance would not restrict market-rate sales or rents or require the development to be an all-electric building.
VE Holdings is requesting $868,000 from the County’s Economic Development Fund in the form of a ten-year, zero-interest loan. Following a 24-month payment deferral, the loan would be repaid through monthly payments in the amount of $9,041.67 with the final payment being $9,041.35 per the terms of the Project Participation Agreement, the Promissory Note, and the Mortgage. The County will hold a first-priority lien on two properties located at 118 State Road 4 and 116 State Road 4 which provides the security required by N.M. Stat. Ann. Section 5-10-10 (c) of the Local Economic Development Act to protect taxpayer dollars
VE Holdings is required by the Project Participation Agreement to: (1) complete the specified capital improvements within twelve (12) months after the date of disbursement of the loan, (2) remain operational until repayment of the loan, (3) generate at least $30,797 in construction related Gross Receipts Taxes, (3) achieve at least $1,260,000.00 in annual sales each calendar year from 2027 through 2030, (4) generate at least $216, 208 in annual compensation by, (5) creating and maintaining at least five (5) full-time equivalent jobs by the end of 2027, and (6) by creating and maintaining at least eight (8) full-time equivalent jobs in years 2028 through 2030.
Over the ten-year term of the agreement, construction activity and food, beverage, and retail sales are projected to generate more than $1 million in gross receipts tax revenue.
By redeveloping underutilized property, expanding the tax base, reducing retail leakage, capturing visitor spending, and supporting small-business activity, the project would advance the economic development objectives of Los Alamos County, the White Rock Town Center Master Plan, and the White Rock Metropolitan Redevelopment Area Plan.
VE Holdings has applied separately for approximately $400,000 in Metropolitan Redevelopment Area funding for exterior building improvements, site improvements, and related amenities.
Per Chair Ryti's request, a staff evaluation summary sheet of the project will be emailed to Council on Monday and copies will be available at the Council meeting.
Proposed Public Hearing Schedule: August 25, 2026.
Fiscal and Staff Impact/Planned Item
There is adequate fund balance within the Economic Development Fund for this LEDA project. There will be no staff impact outside of contract management.
Attachments
A - Incorporated County Los Alamos Ordinance No. 760