Aurora city officials will take the next steps in revitalizing the Colfax Avenue corridor after voters approved the creation of a downtown development authority by a wide margin last week.

Councilmembers in July unanimously approved taking the question to voters, who needed to approve the creation of the Aurora Downtown Development Authority in order for the project to move forward.

Voters overwhelmingly approved the project through two questions on a special ballot that went out to people who live and work in the designated area. The first question asked voters if they approve of the creation of a DDA for the area, and 133 people, 79%, voted “yes.”

A second question asked voters if they authorize the DDA to use tax increment financing, and 141 voters, 83%, voted “yes.”

With the passage of both ballot measures comes the creation of a DDA, which is a governmental entity separate from the city and defined by state statute. It is led by a board appointed by the mayor and confirmed by a majority of the City Council.

Now, elected officials are tasked with forming the authority’s board, which will include a city councilmember and between four and 10 members chosen from the DDA’s boundary area. Chosen members must be residents, landowners or business lessees within the boundaries, which includes East Colfax Avenue between Yosemite and Peoria streets and 17th and 13th streets.

The project began in April 2024, when Aurora’s Urban Renewal Authority board voted to approve an evaluation on how to improve downtown Aurora.

After studying the needs of northwest Aurora, Brad Segal, president of consulting company Progressive Urban Management Associates, recommended the city move forward with creating a DDA and a community development corporation (CDC) for the area.

A community development corporation is a nonprofit organization created to support and revitalize an area.

The combination of a downtown development authority and a CDC allows for philanthropic support, while using the DDA as a “primary driver,” Segal told councilmembers earlier this year.

The CDC would help diversify funding options and be able to operate beyond the boundaries of the DDA.

Using PUMA’s community feedback process, it came up with a draft Colfax Action Plan with six goal areas, including public safety, business support, advancing the arts, housing and neighborhood stability, cleaning and maintenance, and public space improvements, Naomi Lacewell of PUMA said.

Among key ideas for improving the corridor are activating vacant storefronts, highlighting small businesses with marketing campaigns, adding new housing and improving existing housing, planting and maintaining trees and other landscaping, providing affordable artist housing and improving alleys, signage and outdoor amenities, Lacewell said.

The DDA will use tax-increment financing, which does not create new taxes but reinvests the growth in tax revenue as property values and commercial activity in the area increase over time, city officials said.

Once formed, the DDA and CDC will first focus on addressing the most pressing community priorities, including launching safety and business support efforts, establishing cleaning and beautification services, stabilizing naturally occurring affordable housing and promoting cultural events and economic opportunities, according to the draft plan for the corridor.

As the DDA and CDC develop and get more resources, they will tackle larger, more complex projects, including investing in major infrastructure and public space upgrades like parks and sidewalks, buying and developing community-serving real estate like affordable housing and commercial space, and expanding grants and programs for community needs.

The wider area surrounding the DDA boundaries is what officials are calling “original Aurora.” It includes areas between 26th Avenue to the north and East 6th Avenue to the south.

Original Aurora has grown significantly over the past decade, adding more than 2,800 new residents. With the population growth has also come significant growth in housing prices, according to the Colfax plan.

As of January 2025, there were no homes for sale in Original Aurora that a family with an average area income could afford, the plan says. The median income in Original Aurora last year was just over $59,000, which is lower than the citywide median of $83,500.

Retail vacancy is also higher in Original Aurora than in the rest of the city, the plan says, with crime both real and perceived driving high turnover and a loss of “anchor retail institutions” like Walmart and Walgreens.

More information, including board members appointments in coming months, is available at engageaurora.org/ColfaxPlan. The full draft plan, which will continue to update as more community feedback comes in, is also available on the Engage Aurora site.