COVINGTON – Never before have 23 acres of prime Downtown riverfront become available for redevelopment at once in Northern Kentucky's biggest city.

"From an economic development standpoint, it’s considered kind of the envy of the Midwest if not from a national perspective," said Pat Frew, executive director of Covington Business Council.

The Internal Revenue Service's 450,000 square-foot processing facility at 200 W. Fourth St., is set to close this fall, said city spokesman Dan Hassert.

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Global architecture/design firm Cooper Carry kicked off a 10-month master plan creation process for the city Jan. 23 with a presentation and open house about the site. The Atlanta-based firm is creating a concept master plan with a heavy focus on public engagement.

The IRS is closing its "flat top" facility where paper tax returns are processed and is cutting up to 1,800 jobs as more people file online, according to a 2016 Enquirer story. The IRS will have between 1,000 to 2,000 employees at the 9-story Gateway Center, a block away from the processing center that is being closed.

Dreaming big

Work to change the IRS site is likely at least three years away, Hassert said.

"This process is going to take a long time, I mean years, I mean we're not going to see construction start next year or the year after," he said.

Covington's city manager has already been in contact with a national commercial developer about the site, Hassert said.

The IRS acreage has a view of Downtown Cincinnati and Paul Brown Stadium.

The Clay Wade Bailey Bridge and the Northern Kentucky Convention Center and River Center towers border the available land on each side.

"The mere description of this site shows this an opportunity to dream big," Hassert said.

There is room enough for offices, housing and other market needs, said Tony Milburn, who owns 90 Covington properties. Milburn has his office in the former Odd Fellows Hall where the Grand Banquet Hall is.

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"I think it’s a once in a lifetime or once in a century opportunity for the city for redevelopment," Milburn said.

The IRS site offers a chance to reconnect Covington to the riverfront better, he said.

"You look at where RiverCenter is and the floodwall is and we’ve kind of walled ourselves off from the river," Milburn said.

Challenges and possibilities

Future development will need to create jobs to make up for the anticipated $1 million to $1.2 million in lost city payroll, Hassert said. IRS workers are known to eat in nearby restaurants and coffee shops.

"Our budget is going to take it and our families are going to take a hit and long term, we're going to have to recover from that," Hassert said.

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The IRS site is big enough to bring two or three corporate headquarters or businesses to the area and still have room for something else, said Richard Dickmann, owner Smoke Justis and resident of Covington.

Dickmann said he wants to see a strong housing component as more empty nester workers move into the urban core.

"We need more housing in the worst way," he said.