The discussion about the city adopting a “Second Floor Relocation Initiative” that would encourage businesses to create more available retail space was discussed by Urbana City Council Monday evening.

Dennis Roberts, alderman for Ward 5, said the city will provide rent subsidies to businesses that open in Urbana. Other incentives the city could offer include waiving the building permit fee and a $1000 moving grant.

“Basically we would hire the guy who helps them move upstairs.” he addded. “This would give people some help in moving to downtown Urbana.”

Brandon Bowersox, alderman for Ward 4, said he believes small business owners will use this program.

The expenses would be an advantage for opening a business downtown,” he said.

Thomas Carrino, economic development manager, said the program will have a limited effect on business in the downtown area because most retail space is already occupied.

“There may not be a huge run on this program,” he added. “But it is another great tool for the toolbox.”

Carrino said the initiative will only be marginally beneficial since other city-funded incentives already exist to bring business to the neighborhood.

“We can offer this program and market it,” he said. “There’s always the possibility that it could become more popular later on.”