The City of Sheboygan is nearing an agreement with a developer to construct two large-scale housing projects.
At Monday’s (February 23rd) Finance and Personnel Committee meeting, the group unanimously approved entering into a Tax Incremental District Development Agreement with Harbor View Lofts, LLC to build the separate housing facilities at 636 Wisconsin Avenue, the site of the former Downtown Wells Fargo building.
One facility is planned to be a three-story, 10-unit townhome with affordable rental rates, while the second would be a five-story, 126-unit apartment complex.
Both of these projects are located in TID 21, which was created for the purpose of redevelopment.
Through the TID agreement, the City would agree to pay “a portion of the tax increment revenues from TID 21 to reimburse the Developer for a portion of the costs of the Project and as consideration for the other benefits provided to the City.”
After completion of the project, the City foresees the total value of the housing units to be approximately $22.3 million, and they will agree to pay Harbor View just over $4.5 million from tax increments.
Following the unanimous approval from the Finance and Personnel Committee, the TID Development Agreements for the two housing projects will be decided upon by the Sheboygan Common Council at a later date.
