BILLINGS — On Monday night, the Billings City Council approved over $1.3 million in tax increment financing (TIF) dollars for two development projects that aim to improve both public safety and housing demands.
Watch the video below to hear the full improvements coming to downtown Billings:
The two proposals included the installation of pedestrian crossing beacons on Montana Avenue and the renovation of the long-vacant Masonic Temple downtown on the corner of North Broadway and Third Avenue North.
The larger of the two projects involves over $1.3 million in TIF assistance for the redevelopment of the historic temple building. Vacant for nearly five years since the COVID-19 pandemic, the building was purchased in January by a developer with plans for a $7.9 million renovation.
“This is a project that has been in the hopes, in the dreams, in the making for years, literally,” said Mehmet Casey, development director for the Downtown Billings Association.
The project hopes to turn the structure into a multi-use space, including street-level retail, office spaces on the third floor, and 10 residential units on the second. According to Casey, downtown housing remains in high demand.
“Nearly everything that you have in the downtown area that's residential is either claimed or has a wait list,” said Casey.
City Council approved the TIF request, which will cover approximately 16.6% of the project’s cost. The money will support infrastructure improvements such as plumbing, foundation repairs, and electrical upgrades while restoring the facade of the building to its original state.
TIF money is calculated by measuring the change in an area's taxable value over a given amount of time, known as the increment. TIF funding can only be used for infrastructure improvements in blighted areas and must be approved by the Council.
The smaller of the two projects will bring four new pedestrian crossing beacons to Montana Avenue, at each of the intersections between North 22nd and North 26th streets. When activated by a button, the beacons flash to alert drivers to crossing pedestrians. One beacon was already installed in 2022 at the corner of Montana Avenue and North 25th.
“Speed bumps can be expensive, difficult to maintain, so the flashing beacon seems like a pretty cost-effective measure to slow traffic, ensure pedestrian safety, and just help facilitate more activity in our downtown area," said Dan Brooks, vice president of business advocacy with the Billings Chamber of Commerce.
The City Council unanimously approved $20,000 in TIF money to cover the full cost of the installations, with each costing $5,000. Once complete, the beacons will be owned and maintained by the city and the Montana Department of Transportation.
Advocates from both the chamber and the DBA supported the projects, noting that they align with the city’s goals to help lower crime rates and increase housing supply.
"Things like eliminating vacancies, eliminating blight, increasing the number of bodies that live here or work here or shop here or spend their time here, all of that helps in increasing that livelihood and that safety perception,” said Casey.
Both projects are designed with crime prevention in mind. Pedestrian infrastructure can help encourage regular activity and natural surveillance, while housing creates that momentum full-time.
“Not only does bringing housing downtown help with our housing situation, but it also helps our businesses in the downtown area by having residents there full-time," said Brooks. "By bringing more eyes on the streets through new housing development, you can help deter crime in the downtown.”
According to Casey, data from the Billings Police Department indicates that crime in the downtown area has steadily declined since 2022, a trend leaders hope to continue through targeted investments like these.
While the Montana Avenue beacons could be installed in the near future, developers expect the renovation of the Masonic Temple to be completed in 2026.
“We're excited to see more housing development in the downtown," said Brooks. "Hopefully this application is successful and the building does bring more housing, and then more developers can see that this is a successful venture and hopefully put in their applications for some housing renovations downtown.”
