Yearly Archives: 2014

Grocery store, affordable housing in the works for east Madison’s Union Corners

BRYNA GODAR | The Capital Times | bgodar@madison.com

After months of planning and repeated delays, pieces of Gorman & Co.’s Union Corners project are starting to fall into place.

The project combines a UW Health Clinic, affordable housing and retail on the vacant two-block site along East Washington Avenue, Milwaukee Street and Winnebago Street.

The city approved the medical clinic in early October and the City Council allocated tentative funding for the residential piece in early December. The developer has mentioned potential grocery tenants in neighborhood meetings on the project.

Although the final residential plans have yet to be approved, the developer has proposed two mixed-use buildings, consisting primarily of affordable housing.

In December, the City Council approved the allocation of up to $3 million to assist Union Corners along with two other affordable housing projects: Maple Grove Commons and Tennyson Ridge. All three will be applying for tax credits from the Wisconsin Housing and Economic Development Authority and pre-determined city assistance can aid in that process. The final dollar amounts will be worked out in January.

The Union Corners project will include a total of 90 units, 14 going at market rate and 76 marked as affordable with a range of one to three bedrooms. The majority of the affordable units will target those making 60 percent or less of the area median income, with some targeting those making 20 percent or less.

There will be underground parking and retail on the ground floor of each building, which front Winnebago Street.

Gorman & Co. has also said it is working to bring a grocery store to the development, possibly Fresh Thyme Farmers Market.

The overall project and its components have drawn mixed reactions and desires from the neighbors, including conversations about what “affordable” means and what the buildings will look like.

A second neighborhood meeting on the project will take place Thursday, Jan. 8, 5 p.m. at the Goodman Community Center. The Gorman & Co. team will discuss updates on the proposed building design and the WHEDA application for tax credits.

The construction dates for the project have repeatedly been pushed back and groundbreaking on the residential component is now slated for January 2016 if financing goes through.

Forest Home Library Replacement Decided, Mill Road Deferred

By Michael Horne, Urban Milwaukee, Dec 18, 2014

The Forest Home branch of the Milwaukee Public Library would move to a historic building, according to a vote by the Board of Trustees of the Milwaukee Public Library on Wednesday, December 17th.

The winning proposal by Gorman & Co / Mitchell Investment Properties VJS Construction calls for replacing the Forest Home branch library with a location in the historic Hill building at 930 W. Mitchell St.

The alternative plan under consideration, advanced by Cardinal Capital Group / Journey House, called for new construction on S. Cesar Chavez Drive. That proposal drew considerable community support at a public hearing held by the library’s Building Committee at the Forest Home Library on Tuesday, December 2nd.

However, it had many more moving parts than the relatively straightforward Mitchell Street proposal.

The Cardinal Capital / Journey House plan called for the demolition of an existing dental office building on the busy shopping street and replacing it with the library and coffee shop at the street level. In addition, it called for the development of subsidized housing above as well as rather inexplicit investments in properties in the immediate neighborhood. The proposal had the support of Ald. Jose Perez, whose district encompasses both of the proposed locations.

The Gorman proposal offered a nearly move-in-ready building, market rate apartments, and Historic Tax Credits.

The Gorman plan, too, has a number of parts, but they are well greased. The Historic Tax Credit program has proven to be a most effective lubricant when you’re fracking for capital.

But you need a historic building first to mine this golden egg, and a demolished Dental Associates clinic would not fit the bill.

The building committee, when it earlier considered the proposals, did not meet a resolution of the matter, and it came before the full board, although both proposals had been declared dead by some reports.

The 12 member library board is chaired by John Gurda, who took time after the meeting (writing from the library) to share these comments with Urban Milwaukee readers about the board’s decision:

“… We approved Gorman & Co’s. proposal to replace the Forest Home branch with a new library on the first floor of the Hill Building and market-rate apartments above. Simply put, there’s a lot to like about the project. The Hill Building has great bones, and it’s on the National Register, with ample dedicated parking and a prominent location on Mitchell Street, the South Side’s downtown since the late 1800s. The building is also literally across the street from one of the largest parochial grade schools (St. Anthony’s) in the country, and the use of historic preservation tax credits will enable us to get more library for our money. When you put it all together, this is going to be a genuinely catalytic project that will bring Third Ward-caliber energy to the heart of the South Side.”

Brooke VandeBerg, the Communications and Marketing Director for the library, said the board also made these conclusions about the Gorman proposal:

The Gorman project:

•​Has now clearly defined the second use for the development with market rate housing, which is complementary to a library and a catalytic project for the area.

•​Is proposed for a location (930 W. Mitchell St.) that is central to the service area, in a prominent business district and allows for parking when using the facility

•The project can move expeditiously and be completed within a short time frame. The library and apartments can be developed simultaneously; and,

•The developer has a secure funding strategy and will pursue Historic Tax Credits for the entire project. ​

 

The board made the right decision, in my opinion. The Journey House proposal helped put the urgency of redevelopment of S. Cesar E. Chavez Dr. in the forefront, as has the Urban Placemaking initiatives of Newaukee, including an artist-in-residence for the street. But the project it proposed for the site seemed to have too many variables, imponderables and contingent pieces.

But put together, they demonstrate the need for investment in that commercial corridor. Perhaps just not in a project anchored by a library branch.

The Gorman proposal will provide an anchor for the Mitchell Street commercial district, which, at its heyday, was as vital as any in the nation.

The library board also expressed guarded interest in a proposal for the redevelopment of the Mill Road branch.

According to VandeBerg:

Motion was made and adopted to express interest in the proposed concept presented by Maures Development/Common Bond/Engberg Anderson developer team for the redevelopment of Mill Road library at 7717 W. Good Hope Rd. Before a final decision is made the Board directed staff to:

•​Seek more input about the suggested second use through community meetings hosted by local Aldermen;

•Ensure that the city-owned parcel (7717 W. Good Hope Rd.) is viable for both a library and housing as a second use.

•Review the results of a developer’s market study and environmental study for the feasibility of both affordable housing and market rate housing on the site, and review the 2008 Department of City Development Northwest Side Area Plan.

•Meet with local Aldermen and report to the Board on the findings.

One Other Matter to be Decided:

It occurs to me we are going to have two branch libraries in desperate need of new names, since neither will be located on its eponymous thoroughfare in the future.

“Good Hope Library” might be a good fit, especially since it has a rather uplifting lilt to it.

“Mitchell Street Branch” does have a certain authority to it, as well. But there may be other than street name choices available.

This might be a good community involvement project. Or, perhaps we could monetize it.

Is the city ready to sell naming rights for public buildings? Here might be the chance! How about La Biblioteca El Rey. Come up with something better, if you can.

Apartments, library recommended for south side building

By Tom Daykin of the Journal Sentinel, Dec. 17, 2014

A south side building would be redeveloped into a Milwaukee library branch and 33 apartments under a proposal recommended Tuesday night by city officials.

The Forest Home Library, at 1432 W. Forest Home Ave., would be replaced by a new library branch on the street level of an underused four-story building at 906-910 W. Historic Mitchell St.

That $10.4 million project, proposed by a partnership of development firm Gorman & Co., property owner Mitchell Investment Properties and construction manager VJS Construction Services Inc., would include market-rate apartments on the renovated building’s upper floors, and 96-space parking lot.

The Milwaukee Public Library’s Board of Trustees selected the Gorman proposal over a competing proposal from Cardinal Capital Management Inc. and Journey House to develop a library, 51 units of affordable housing and additional commercial space within a new four-story building at 1135 S. Cesar Chavez Drive.

The trustees selected the Gorman proposal because its market-rate apartments complement the library and would create a catalytic project for the neighborhood, said Brooke VandeBerg,  library communications and marketing director.

The Mitchell St. location is central to the library’s service area, within a prominent business district, VandeBerg said.

Also, the project can be completed within a short time frame, and the developers have a secure financing strategy, including the use of state and federal historic preservation tax credits, she said.

The 80,000-square-foot building, built in 1919 as the Hills Department Store, is only about 30% leased, said John Kesselman, the property’s listing agent.

The building has had difficulties finding tenants since United Migrant Opportunity Services Inc. moved its headquarters to 2701 S. Chase St. around 10 years ago.

A board committee last week declined to recommend either the Gorman or Cardinal Capital proposal due to concerns about financing, and a lack of details. The Gorman proposal initially included affordable apartments, which would have needed additional tax credits for financing the project.

The board on Tuesday night also expressed interest in another proposal recommended by that committee: to replace the Mill Road Library, at 6431 N. 76th St., with a four-story structure to be built on a city-owned lot at 7717 W. Good Hope Road.

A partnership of Milwaukee-based Maures Development Group LLC, St. Paul, Minn.-based CommonBond Communities Inc., and Milwaukee-based Engberg Anderson Inc. would develop a library, 46 affordable apartments on the upper levels, potential street-level commercial space, on-site parking and outdoor green space, according to the conceptual plans.

Before making a final decision, the board wants more information on the Maures proposal, including a review of the developer’s market study, VandeBerg said.

Both projects also would require Common Council approval.

From Foreclosures, Affordable Housing

Affordable Housing Finance, 2014 LIHTC Yearbook

A Wisconsin developer’s large-scale initiative in neighborhoods on Milwaukee’s North Side is helping reverse the damage of the Great Recession and foreclosure crisis.  By purchasing vacant lots and foreclosed homes from the city, Gorman & Co. has aided in neighborhood revitalization, homeownership opportunities, and job creation.

Over the course of seven phases, the developer built or rehabbed 282 single-family homes or duplexes affordable to residents earning between 30 percent and 60 percent of the area median income.

“All of those homes that we redeveloped within the neighborhoods are in a high demand because people in this day and age really find it hard to own a home but want the space of a home to raise a family,” says Ted Matkom, Wisconsin market president for Gorman & Co.

Gorman refurbished the homes, many of which date back to the early 1900s, with modern amenities, appliances and security systems.  “You literally get a new home, in a sense, when you move in,” Matkom says.

After the 15-year compliance period, residents living within the single-family homes will have the opportunity to purchase them for the remaining debt, which is projected to be approximately $35,000.

The acquisition and rehabilitation work also has provided a needed jobs boost in the city.  Gorman partnered with nonprofit Northcott Neighborhood House to create a training program for chronically unemployed local residents with challenged backgrounds.  Through the program, men and women were trained to do construction trade work and demolition work.

Low-income housing tax credits (LIHTCs) were vital to the developer’s work.  The $56.6 million initiative was financed with $44.1 million in LIHTC equity.  Additional financing included Neighborhood Stabilization Program funds from the city of Milwaukee.

“The LIHTC program really makes the housing sustainable for years to come,” says Matkom.  “And it really revitalizes the housing stock with minimal subsidy.”

Developer Helps to Transform Milwaukee Neighborhoods

By Christine Serlin, Affordable Housing Finance

A Wisconsin developer’s large-scale initiative in neighborhoods on Milwaukee’s North Side is helping to reverse the damage of the Great Recession and foreclosure crisis.

By purchasing vacant lots and foreclosed homes from the city, Gorman & Co.’s work is resulting in neighborhood revitalization, homeownership opportunities, and job creation.

Over the course of seven phases, the developer built or rehabbed 282 single-family homes or duplexes affordable to residents earning between 30 percent and 60 percent of the area median income.

“All of those homes that we redeveloped within the neighborhoods are in high demand because people in this day and age really find it hard to own a home but want the space of a home to raise a family,” says Ted Matkom, Wisconsin market president for Gorman & Co.

Gorman refurbished the homes, many of which date back to the early 1900s, with modern amenities, appliances, and security systems. “You literally get a new home in a sense when you move in,” Matkom says.

After the 15-year compliance period, residents living within the single-family homes will have the opportunity to purchase those homes for the remaining debt, which is projected to be approximately $35,000.

Residents must sign a contract of care, which promises that they will maintain the home with ordinary upkeep, such as mowing the grass, shoveling snow from the walkways, and doing minor repairs. This helps to instill homeownership responsibilities in the residents and helps to reduce Gorman’s operating costs since it’s a scattered-site project over a three-mile diameter, says Matkom.

The acquisition and rehabilitation work also has provided a needed jobs boost in the city. Gorman partnered with nonprofit Northcott Neighborhood House to create a training program for chronically unemployed local residents with challenged backgrounds. Men and women were trained to do construction trade work and demolition work.

Low-income housing tax credits (LIHTCs) were vital to the developer’s work. The $56.6 million seven-phase initiative was financed with $44.1 million in LIHTC equity provided by Alliant Capital, Boston Capital, and National Equity Fund. Additional financing included Neighborhood Stabilization Program funds from the city of Milwaukee.

“The LIHTC program really makes the housing sustainable for years to come,” says Matkom. “And it really revitalizes the housing stock with minimal subsidy.”

Elevated houses complex to replace oft-flooded Dade City apartments

By Leah Masuda, Reporter, Bay News 9, November 05, 2014

DADE CITY –

A new housing development will soon give residents of an oft-flooded Dade City apartment complex a drier place to live.

Some residents at Dade Oaks Apartments say flooding up to their waists isn’t unusual for them.

“I’m sure there were times when they thought there were fish in the water because the water was so high,” said resident Tianna Coleman.

In fact, some residents say worry sets in even when it sprinkles.

Flooding up to your waist isn’t unusual at Dade Oaks Apartments. In fact residents say worry sets in even when it sprinkles.

“Oh my goodness we’re trapped inside the house, can’t get the kids out,” said resident Deidra Sanders.

Parents like Whitley Thomas say getting the kids to the bus stop is somewhat of a mission.

“One person will take them one by one to the top of the road, pass the flooding right there where the busses come,” said resident Whitley Thomas.

But now residents say they hope that will soon be a problem of that past.

On Wednesday a groundbreaking for a new elevated complex that isn’t vulnerable to flooding brought residents a glimmer of sunshine.

“I’m excited for a new beginning,” Thomas said.

“I just hope that everyone out here can move into the new place,” said Coleman.

Developers plan to build 68 bungalow-style homes, and Dade Oaks residents will have first dibs on the homes. The cost will stay the same for each family wanting to make the move.

As for Dade Oaks, it will be knocked down and used for storm water retention. Residents are counting down the days until then.

“A year isn’t close enough, as far as I’m concerned a year is not close enough,” said Coleman.

The Pasco County Housing Authority expects to have the new homes built within the next 18 months.

The project has a price tag of $15 million. The county invested $2 million. The development is the biggest housing project to have the county’s involvement.

New Dade City apartments will be on higher ground

Tampa Tribune Staff, November 6, 2014

DADE CITY — For nearly four decades it was not uncommon to see sandbags piled up at the Dade Oaks apartments to prevent floodwater from entering the homes. The 69-unit housing complex was built at the bottom of a drainage basin in Dade City in 1977.

On Wednesday, officials from the Pasco County Housing Authority and development firm Gorman & Co. hosted a groundbreaking ceremony for the apartments that will replace the 37-year-old, dilapidated complex, the Hilltop Landings Apartments construction project. The new apartment complex, 15641 14th St. in Dade City, will be less than a mile away from Dade Oaks and outside the drainage basin.

Hilltop Landings will have the same floor plan as Dade Oaks, but the finished project will feature more modern, energy-efficient units. The construction is expected to take 18 months. Dade Oaks residents will move to the new complex upon its completion.

Dade Oaks eventually will be demolished and used for stormwater retention.

Ground broken for replacement apartments for Dade Oaks

By Claire McNeill, Tampa Bay Times, November 5, 2014 2:55pm

DADE CITY — Nearly 40 years of flooding have plagued residents of the dilapidated Dade Oaks Apartments public housing complex, built at the bottom of a drainage basin in 1977.

Those residents will soon have a new home less than a mile away, in the aptly named Hilltop Landings Apartments, for which there was a ground-breaking ceremony with development firm Gorman & Co. on Wednesday.

“We’re hoping this is going to change the lives of a couple of our residents,” said David Lambert, chairman of the Pasco County Housing Authority. “They are just ecstatic about it.”

The floor plan for Hilltop Landings, a 12.8-acre site on 14th Street, will mimic the 69-unit Dade Oaks complex, but with more modern, energy-efficient units. Construction is expected to take a year and a half.

Money for the project comes from $1.75 million in county funds, to be matched with millions in state and private dollars, totaling about $15 million.

In May 2012, Dade Oaks received a failing inspection from the federal Department of Housing and Urban Development, prompting HUD officials to recommend a substantial rehabilitation of the complex.

The Dade Oaks site at 37460 Acorn Loop in north Dade City will be used for stormwater retention once the buildings are knocked down.

Residents Say Goodbye to 37 Years of Flooding and Sandbags: Groundbreaking Set For New Housing Complex

Immediate Release Media Contact:
J.P. Hervis
305.321.4293

Residents Say Goodbye to 37 Years of Flooding and Sandbags: Groundbreaking Set For New Housing Complex

Dilapidated Dade Oaks complex built on lakebed in 1977 to be knocked down and replaced with modern, energy-efficient units.

Dade City, FL – For nearly four decades it was not uncommon to see sandbags protecting the families of the Dade Oaks apartments from water entering their homes. The 69-unit housing complex was built at the bottom of a drainage basin in Dade City in 1977.

On Wednesday, November 5th, 2014 at noon, a new chapter in the lives of the residents of the 37-year-old, dilapidated complex will begin. Officials from the Pasco County Housing Authority and development firm Gorman & Company will host a groundbreaking ceremony for the Hilltop Landings Apartments construction project. Hilltop Landings will replace Dade Oaks.

The ceremony, and most importantly the new apartment complex located at 15641 14th Street in Dade City, will be less than a mile away and outside the drainage basin. Hilltop Landings will have the same floorplan as Dade Oaks, but the finished project will feature more modern, energy-efficient units. The construction is expected to take 18 months. Dade Oaks residents will move into the new complex upon its completion.

Dade Oaks eventually will be knocked down and used for stormwater retention. The funding for the Hilltop Landings Apartments includes public support from Pasco County, Florida Housing Finance Corporation and US HUD.

Interviews Available At Event Include:
• Residents (invited and expected to attend)
• David Lambert, chair of the Pasco County Housing Authority
• Hana Eskra, Florida market president of Gorman & Company, Inc.

Event Details• Groundbreaking ceremony for Hilltop Landings Apartments
• Wednesday, November 5th, 2104 at noon
• 15641 14th Street, Dade City
• Media contact: J.P. Hervis, 305.321.4293 or 561.995.6560
• On-site contact: Hana Eskra 305-668-5810

2014 MFE Award goes to Lofts at McKinley

Multifamily Executive, October 2014

The Lofts at McKinley certainly has originality on its side: The property is the first senior housing development to be constructed in downtown Phoenix in almost 20 years, and it’s the first LEED Platinum-certified multifamily senior housing development in Arizona.

Gorman & Co.’s extensive experience in historic renovation came in handy on the project. The site is within the boundaries of both the Roosevelt Historic District and an “Area of Potential Effect” for archaeologically significant assets dating back to the Hohokam Indians. The designations required compliance with 26 historic preservation stipulations, as well as consultation with local Native American tribes and an archaeological dig.

Additionally, asbestos from the abandoned building occupying the site had to be cleared, and a zoning change was made after developers submitted the building application, causing a rework of the design.

Given the development hurdles, time saved during construction by using prefab SIPs instead of standard wood framing was critical to staying on deadline. They serve as a green feature, along with roof-mounted solar panels and a water harvesting system.

In a walkable, revitalized historic neighborhood, the Lofts at McKinley fills a gap in Phoenix’s housing market by providing 100 percent accessible, urban living for the 55-plus community. Rents are aimed at those earning 40 percent to 60 percent of the area median income.

Response has been strong; the property was fully leased in three weeks, with a majority of residents coming from outside the downtown area, nearly half with a disability and/or sensory impairment.