Council to continue as sponsor of Kennedy apartments

By Frank Stanko – Daily News franks@wahpetondailynews.com Jul 26, 2016

With a 6-0 vote Monday, July 25 Wahpeton’s City Council approved entering into a loan agreement that will have the city continue as sponsor for the upcoming Kennedy Park Apartments. The Kennedy Park project, which will be developed on land in the Westdale addition north of Walmart in Wahpeton, has been awarded $370,000 in community development block grant funds through the North Dakota Division of Community Services.

“(Wahpeton) acts as the ‘pass through’ agent for the funding, to ensure the public funds are committed to acquire land for the construction of a 40-unit family housing project compliant with the low-income housing tax credit program through the North Dakota Housing Finance Agency,” said Finance Director Darcie Huwe.

Sale of a four-acre parcel to G.A. Haan Development, based out of Harbor Springs, Michigan, is expected to close this week.

Mitch Calkins, program administrator for the Lake Agassiz Development Group, said the loan agreement is designed by the Division of Community Services to recoup the funding in the event of G.A. Haan declaring bankruptcy or sells its property.

“Each year, one-twentieth of ($370,000) will be forgiven for up to 20 years,” he said. “There will be no actual payments made. It’s just more of a way to have that security. If something happens, the state can get that money back.”

The agreement is a standard fnancial mortgage agreement that includes a promissory note and was reviewed by City Attorney Steve Lies, Huwe said.

After the agreement passed, Wahpeton’s Finance and Personnel Committee met to review a 20-year payment in lieu of taxes application for Kennedy Park Apartments.

“The last few (applications) that have been presented to the council used a consistent formula of an 80-60-40-20 declining exemption over fve years,” Huwe said. “This one’s a little bit unusual because they actually asked for the maximum time period allowable by law. We don’t see those very often.”

Huwe and City Auditor Carla Broadland could not fnd another 20-year application Wahpeton had approved, Huwe said. Broadland said she assumed G.A. Haan had made such an extended application because it was the largest allowed.

With a 3-0 vote, the committee recommended city council approval of a fve-year payment in lieu of taxes agreement.

“After Monday night, that proposal would be taken back to Ben Ide with G.A. Haan Development as our proposal. We would go ahead and ask the council to make a motion to set and schedule the public hearing for Tuesday, Sept. 6. There’s some publication requirements — it takes approximately fve weeks to set up a (payment in lieu of taxes) public hearing. There would still be time between now and Sept. 6 for the council to weigh in on this more,” Huwe said.

Councilmen Brett Lambrecht, 3rd Ward and Perry Miller, at-large, were not present at the city council and subsequent fnance meeting.

The next city council meeting is scheduled for 5 p.m. Monday, Aug. 1 at City Hall, 1900 Fourth St. in Wahpeton.

Source:
http://www.wahpetondailynews.com/news/council-to-continue-as-sponsor-of-kennedy-apartments/article_05e40314-5341-11e6-811b-776270ce0c8c.html


YMCA Opens New Early Childhood Center In Ishpeming

YMCA of Marquette County announced it’ll be welcoming the public to its new early childhood development center for the western part of the county, located in Ishpeming. Patterned after the existing and popular ECDC in Marquette, the new Ishpeming center will be located in the newly-renovated Phelps Square, formerly the Phelps Middle School, at 700 E. North Street.

The center will serve children from ages six weeks to five years old, and is slated to open April 4. Waitlist registrations are currently being accepted, and an open house is being held March 17 from 5-7 p.m. for interested families.

It’s an endeavor that was delayed once before, as the original opening date had been announced for August 2015, but despite that, it’s a long-awaited resource for West End parents and families. It’ll be open 6:30 a.m. to 6 p.m. “We really hope to form deep ties within the community of Ishpeming in ways that we best serve the children and families of this wonderful historic community,” says Cinday Basse, YMCA early childhood education leader.

The Phelps Square building has been recently remodeled into a mixed-use development including LEED-certified apartments along with spaces for the YMCA early childhood development center and for Ishpeming Public Schools programs. The developer is G.A. Haan Development of Harbor Springs.

Writer: Sam Eggleston
Source: YMCA of Marquette County


Press Release: Funding Approved for Phelps Square Apartments

G.A. Haan Development is pleased to announce that it has been awarded $764,000 in HOME Investment Partnership Program funds by the Michigan State Housing Development Authority (MSHDA) for Phelps Square Apartments. These funds will be used to create 24 affordable family units at the site formerly known as Phelps School in Ishpeming. HOME funds are a federal resource that are administered by MSHDA and assist in the creation of affordable housing.

“We’re grateful that MSHDA has recognized the importance of this project to the city of Ishpeming, and we’re excited to see Phelps Square become a reality” said Gerald Haan, principal of G.A. Haan Development. The next hurdle for Phelps Square comes in the form of an application for housing tax credits, which is due to MSHDA by February 15th.

Questions about Phelps Square should be directed to Ben Ide, Development Coordinator for G.A. Haan Development, at (231) 526-7380.


Affordable Housing Gets Green Light From City

By Frank Stanko • Daily News franks@wahpetondailynews.com With available, affordable housing comes prospective and eventual residents. That’s logic the city of Wahpeton is counting on. Earlier this month, the North Dakota Housing Finance Agency awarded over $2.6 million in low-income housing tax credits to applicant developers. G.A. Haan Development, based out of Harbor Springs, Michigan, earned $670,000 in credits, the highest individual amount awarded. G.A. Haan is now moving forward with the Kennedy Park Townhomes, an affordable housing development to be constructed north of Wahpeton’s Walmart.

“We haven’t had an apartment complex built since 1998,” said Wahpeton Economic Development Director Jane Priebe. “(Kennedy Park) coming along, and other projects, like the 50-and-older housing planned near City Hall, gives us a pretty wide variety of options for all income ranges.”

Although G.A. Haan is based out of Michigan, most of their Affordable housing gets green light from city properties are based in the states of North Dakota, South Dakota and Wyoming. Director of Development Ben Ide spoke highly of the low-income housing tax credit program.

“It’s one of the most successful public-private partnership programs that the federal government has ever created. It’s responsible for a tremendous amount of housing development across the country,” he said.

As part of the program, property owners receive an annual federal income tax credit for 10 years. In return, rents must be kept affordable, or below 60 percent of the area median income for at least 15 years. Along with being affordable, homes under the income tax credit program are held to rigid quality standards, according to Jolene Kline, executive director of the North Dakota Housing Finance Agency.

Now that G.A. Haan has its housing credits, it will sell them to investors such as banks or insurance companies. This is a process known as syndication. Proceeds from the sale, brought in as equity, will be used to build the 40-unit, 2-3 bedroom Kennedy Park Townhomes.

“There’ll be anywhere between 1,000 and 1,300 square feet (to a unit),” Ide said. “They’re nice, modern, energy-efficient units. We’ll have a manager’s unit on site with a community building, a space residents can use for birthday parties. There’ll be a playground. It’ll Affordable housing gets green light from city “If we can attract even a fraction of commuters, we hope to make them residents,” Priebe said.

Ground-breaking for the Kennedy Park Townhomes is scheduled for next spring, and a 2017 opening is expected. For more information, visit www.haandev.com

Source: www.wahpetondailynews.com

 


City Backs 48-unit Apartment Proposal for Southeast Huron

Posted: Wednesday, Jul 22nd, 2015 BY: ROGER LARSEN

HURON — A property management comp-any’s proposal to build a 48-unit apartment complex targeting senior households in southeast Huron has the approval of the City Commission.

The board authorized Mayor Paul Aylward on Monday to sign a letter of support directed to the South Dakota Housing Authority. Haan Development of Harbor Springs, Mich., will ask the authority for loan funds and tax credits for the project. The company plans to build what it is calling Jefferson Village Apartments at the southwest intersection of 21st Street and Idaho Avenue Southeast in the city’s South Town Addition.

It purchased the property at the city’s auction this spring, during which single-family and multi-family lots were sold. The work is expected to get under way next year with completion in 2017. Haan Development is the same company that built the Pheasant Run Apartments a few years ago at 21st Street and Frank Avenue Southeast.

Greater Huron Development Corporation Chief Executive Officer Jim Borszich said the newest project would not be happening without the city’s willingness to sell the land at reasonable rates. While the design may change, the proposal now is to construct a three-story complex, he said.

A market study to be done this summer will be provided to the commission. Meanwhile, in her semi-annual update for commissioners, Beadle County Humane Society Executive Director Kim Krueger said there have been 469 calls for animal control in the first six months of this year.

The most calls have been for dogs running at large. But she said an alarming statistic is the fact that there have been 14 cases of animal bites so far, mostly involving young children.

“We really need to stress we need to get the parents involved here,” Krueger said. She is also stressing the fact that there is a city ordinance that requires owners to get their animals licensed. Since the first of the year, 575 licenses have been sold. She said the society is working with the code enforcement officer to get people to comply with the ordinance.

The shelter has taken in 493 animals in 2015, compared with 415 at this point last year. The current shelter population is 118 animals, of which 30 are adult dogs, which is at capacity.

She also wants to remind the public that people are prohibited from bringing their dogs to the State Fair when they walk in the gates. But they should not leave them in their cars as Krueger said she is working with the parks and recreation department in planning an event later this summer that will allow owners to bring their dogs to Splash Central to swim on one occasion before the pools are drained for the season. The plan is to make it a fund raiser for a nominal fee. Other communities also offer a time for dogs to swim at their facilities. In Brookings, for example, the event has drawn over 500 dogs.

Commissioners also:

  • Approved a conditional use permit requested by SBA Communications & Verizon Wireless to install an 80-foot-tall monopole cell tower and have an associated equipment shelter at 1726 Dakota Ave. S. An existing 50-foot tower will be removed.
  • Approved the regular full-time status of fire Capt. Ron Hines following completion of his probationary period.
  • Hired Kurt Huehl as a concrete laborer for the street department.
  • Hired Kevin Fritzsche for golf maintenance.
  • Approved requests for alcoholic beverage consumption in a public place filed by Christian Antezana for July 25 at the Campus Center for a celebration, the Knights of Columbus for Aug. 9 at Ravine Lake east shelter for a family picnic and Wilbur Ellis for Aug. 14 at Prospect Park’s glide and slide shelter for a company picnic.
  • Renewed mobile home court licenses for Sheltered Trailer Court, 1500 Third St. S.W.; Prairie Villa, 1400 21st St. S.W.; Huron Mobile Court, 602 Jersey Ave. N.E.; Woody’s Trailer Court, 1350 Fourth St. S.W.; and Huron Mobile Estates, 541 Ohio Ave. N.W.
  • Approved a request from the State Fair for law enforcement assistance during the Wissota 100 Sept. 15-19. Uniformed officers will work their days off in nightly shifts from 11 p.m. to 7 a.m. due to increased traffic on the fairgrounds and the possibility of alcohol violations.
  • Approved a request to provide security at the Crossroads July 25 for a concert.
  • Went into executive session for a contractual matter. For the complete article see the 07-21-2015 issue.

City Backs 48-Unit Apartment Proposal for Southeast Huron

Posted: Wednesday, Jul 22nd, 2015 BY: ROGER LARSEN

HURON — A property management comp-any’s proposal to build a 48-unit apartment complex targeting senior households in southeast Huron has the approval of the City Commission.

The board authorized Mayor Paul Aylward on Monday to sign a letter of support directed to the South Dakota Housing Authority. Haan Development of Harbor Springs, Mich., will ask the authority for loan funds and tax credits for the project. The company plans to build what it is calling Jefferson Village Apartments at the southwest intersection of 21st Street and Idaho Avenue Southeast in the city’s South Town Addition.

It purchased the property at the city’s auction this spring, during which single-family and multi-family lots were sold. The work is expected to get under way next year with completion in 2017. Haan Development is the same company that built the Pheasant Run Apartments a few years ago at 21st Street and Frank Avenue Southeast.

Greater Huron Development Corporation Chief Executive Officer Jim Borszich said the newest project would not be happening without the city’s willingness to sell the land at reasonable rates. While the design may change, the proposal now is to construct a three-story complex, he said.

A market study to be done this summer will be provided to the commission. Meanwhile, in her semi-annual update for commissioners, Beadle County Humane Society Executive Director Kim Krueger said there have been 469 calls for animal control in the first six months of this year.

The most calls have been for dogs running at large. But she said an alarming statistic is the fact that there have been 14 cases of animal bites so far, mostly involving young children.

“We really need to stress we need to get the parents involved here,” Krueger said. She is also stressing the fact that there is a city ordinance that requires owners to get their animals licensed. Since the first of the year, 575 licenses have been sold. She said the society is working with the code enforcement officer to get people to comply with the ordinance.

The shelter has taken in 493 animals in 2015, compared with 415 at this point last year. The current shelter population is 118 animals, of which 30 are adult dogs, which is at capacity.

She also wants to remind the public that people are prohibited from bringing their dogs to the State Fair when they walk in the gates. But they should not leave them in their cars as Krueger said she is working with the parks and recreation department in planning an event later this summer that will allow owners to bring their dogs to Splash Central to swim on one occasion before the pools are drained for the season. The plan is to make it a fund raiser for a nominal fee. Other communities also offer a time for dogs to swim at their facilities. In Brookings, for example, the event has drawn over 500 dogs.

Commissioners also:

  • Approved a conditional use permit requested by SBA Communications & Verizon Wireless to install an 80-foot-tall monopole cell tower and have an associated equipment shelter at 1726 Dakota Ave. S. An existing 50-foot tower will be removed.
  • Approved the regular full-time status of fire Capt. Ron Hines following completion of his probationary period.
  • Hired Kurt Huehl as a concrete laborer for the street department.
  • Hired Kevin Fritzsche for golf maintenance.
  • Approved requests for alcoholic beverage consumption in a public place filed by Christian Antezana for July 25 at the Campus Center for a celebration, the Knights of Columbus for Aug. 9 at Ravine Lake east shelter for a family picnic and Wilbur Ellis for Aug. 14 at Prospect Park’s glide and slide shelter for a company picnic.
  • Renewed mobile home court licenses for Sheltered Trailer Court, 1500 Third St. S.W.; Prairie Villa, 1400 21st St. S.W.; Huron Mobile Court, 602 Jersey Ave. N.E.; Woody’s Trailer Court, 1350 Fourth St. S.W.; and Huron Mobile Estates, 541 Ohio Ave. N.W.
  • Approved a request from the State Fair for law enforcement assistance during the Wissota 100 Sept. 15-19. Uniformed officers will work their days off in nightly shifts from 11 p.m. to 7 a.m. due to increased traffic on the fairgrounds and the possibility of alcohol violations.
  • Approved a request to provide security at the Crossroads July 25 for a concert.
  • Went into executive session for a contractual matter. For the complete article see the 07-21-2015 issue.

Lander Blue Ridge Apartments Infrastructure

Project Description:

The city of Lander received $460,000 in CDBG Housing Infrastructure funds to impr ove an existing wate r and sewer line. The project assisted in addressing a major housing shortage in Lander. An independent housing needs assessment was prepared by Kirkham and Associates which demonstrated the extreme shortage of housing in Lander. The primary reasons for this is the lack of available land large enough for developing additional housing, unava ilability of infrastructure, and incompatible zoning. The population of Lander has grown steadily, over the past five years. Between 2000 and 2010, the population has increased by almost 9 percent, or 620 people. Ov er the past two ye ars, there have been only 10 building permits issued and none were for multifamily development. Over the next five year s, data in the market study shows that Lander will grow by at least 3.7 percent.

Background: The city of Lander previously had a two inch force main sewer line on the west side of East Main Street, and a lift statio n at the bottom of the hill which se rves the area. The size of the existing force main is inadequate for the future de mand south of Sunflower Street and cannot handle the demand of the proposed 40 additional residential units. Also, there is an industrial park located in the area that could not expand because of the line.

This project upgraded the existing force main line from a two inch line to an eight inch line, and a gravity line was installed for the Blue Ridge Apartments, which sits approximately half way down the hill, to the pump station north of Sunflower Street. Sewer improvements were also made on site. Approximately 800 feet of sewer line was inst alled on site and another 1,600 feet was installed to construct the grav ity line between Blue Ridge and the lift station. 2,600 Ft of sewer line was needed to upgrade the existi ng main line from a two-inch to an eight inch line. Improvements will be made to the pumps in the lift station, which currently lack the capacity to serve the 40 proposed units. Two new pumps will be installed and the pump house refurbished. The pumps not only meet the needs of the housing site, bu t also allow for expansio n of the entire area southeast of Lander. As of September 2013, this project had been successfully completed and closed out.

Project Facts:
CDBG Award: 460,000
Local Contribution: $6,262,372
Date of Award: May 24, 2012

For more information about this project, contact the Wyoming Business Council


Two Housing Projects Get The Go-Ahead From County

By Amy Robinson – Farmer Staff Writer

Two very large housing projects in Watford City have been approved and purchasing agreements signed by the McKenzie County Board of Commissioners. One project will be ‘The Homestead at Watford City,’ developed by G.A. Haan Development and the second project is a proposal with Lutheran Social Services (LSS) for a large portion of the Cherry Creek Mobile Home Park and the six lots adjacent to 2nd Ave. SE. “We will be able to add another 100 to 150 units for the general public with both of these projects,” said Gene Veeder, executive director for the McKenzie County Job Development Authority. “Affordable housing is a state-wide problem, not just in McKenzie County. We’re probably more progressive than other communities, but most will tell you affordable housing is the biggest concern in the state right now.”

The Homestead at Watford City will be located directly north of the water tower and comprises all the land that surrounds the Highlands. The total project will consist of three affordable housing projects. According to Ben Ide, director of development with G.A. Haan Development, the first housing project, known as McKenzie Park Apartments, is a 60-unit family development consisting of two- and three-bedroom apartments, with 41 units reserved for essential workers, with rents restricted to 80 percent of area median income (AMI) and incomes restricted to 140 percent AMI; six units will be reserved for moderate income households with rents restricted to 50 percent AMI and incomes restricted to 80 percent AMI; and the remaining 13 units will be market rate.

G.A. Haan has received a commitment for Housing Incentive Funds from the North Dakota Housing Finance Agency and a commitment from McKenzie County for funds to assist with general project costs. The second project, according to Ide, is known as McKenzie Village Apartments, which is a 40-unit senior development, consisting of one- and two-bedroom apartments, with eight units reserved for senior households with incomes and rents restricted to 30 percent AMI, and 31 units reserved for senior households with incomes and rents restricted to 60 percent AMI. There will be a single manager’s unit.

G.A. Haan Development intends on applying for housing tax credits with the North Dakota Housing Finance Agency on Jan. 31, 2015. This is a competitive application process and they will be scored against other applicants across the state.

The third project, according to Ide, is currently unnamed, but will consist of a 60-unit family development of two- and three-bedroom apartments. Assuming the Housing Incentive Fund, or some other program, is authorized by the Legislature, they will be seeking funding. The Holm family has committed to donating land for this project as well.

“The Holm family donated the land for McKenzie Park Apartments and gave us a reduced purchase price for the McKenzie Village Apartments,” said Ide. “The family has also committed to donate land for a second essential worker project if funding becomes available.”

G.A. Haan Development hopes to break ground on McKenzie Park in the spring of 2015 and finish construction in the spring of 2016. If they receive approval of the housing tax credits, they would begin construction on McKenzie Village in the fall of 2015 and finish in the fall of 2016. The timing for the third project will be based on the availability of additional funding from the Housing Incentive Fund. “One of the biggest factors in moving forward with this specific project,” states Veeder, “is the senior housing component. G.A. Haan Development has agreed to build senior housing outside of the agreement with the

1/16/15, 3:27 PM McKenzie County Farmer » Watford City, ND » Latest News Page 2 of 3 http://www.watfordcitynd.com/?id=10&nid=3014 county.” The Homestead at Watford City will also be the location of the new elementary school, once it gets built. The school board asked the Holm family earlier this year to present a formal proposal to locate a new school in the Homestead. That proposal was accepted. The full project will cost $23,079,498, which includes the land, hard costs, soft costs, developer fees, and the off-site costs. Hard costs are the ‘brick and sticks’ – the actual construction costs. The soft costs include construction loan interest, construction and permanent loan fees, architectural and civil design, appraisal fees, market study fees, environmental studies, equipment and furnishings, and marketing/lease up costs. The reserves are a required operating fund for shortfalls in ongoing expenses equal to four to six months of anticipated operating expenses. Contingency is a hard cost contingency that is used to cover any unexpected construction costs. And off-site costs are the roads, curb, gutter, water, and sewer leading up to the edge of the site.

The funding sources for this particular project for the Homestead at Watford City, include the land contribution – the land donated by the Holm family; owner contribution – which is the equity G.A. Haan Development, as the owner, will be bringing to the project; HIF funds – from a program funded through the North Dakota Housing Finance Agency that provides a state tax credit in exchange for building essential workforce housing; a conventional mortgage; public funding of the off-site costs – the county contribution for the infrastructure; and public funding of the project costs – which is the county contribution for general project costs at McKenzie Park.

“The county has agreed to help with the infrastructure,” said Veeder, “which will allow access to the essential workforce units. G.A. Haan Development will own it however, not the county. We’ve found that we prefer to have other entities own the development. And G.A. Haan has done other developments, and they come highly recommended.”

“I think everyone agrees that finding a nice, affordable place to live is a serious issue in the area,” said Ide. “Rents are extremely high, and it is almost impossible for a middle class family to afford housing expenses. McKenzie County has had difficulty retaining new employees because of this, and McKenzie Park Apartments will reserve at least 36 units for county employees. This is truly a winning proposal for all parties involved. We look forward to being a part of the community and making a difference in the lives of the people we serve. This is an important project and we’re proud that the city and county placed faith in us to help solve their problem.”

The second housing project the county has signed a purchasing agreement for consists of a proposal for an affordable housing project with LSS. It will be located on land the county recently purchased, which entails part of the Cherry Creek Mobile Home Park and the six lots adjacent to 2nd Ave. SE. “We’re still working out the details,” said Veeder. “It usually takes two to three months to close these deals. LSS has to pick their contractor, it will have to go through planning and zoning, and the financial package will have to clear.”

According to the most current proposal, LSS would move forward with a 72-unit building constructed in an ‘L’ design concept. Included would be a community room with a kitchen for group gatherings, an exercise room, and a ‘wireless tech room.’ The concept is to provide a community environment within the building. The building is dominant with a two-bedroom/two bathroom unit design as LSS has found it to be the most desirable.

“This project will go mainly to the general public,” said Veeder. “Some will be for essential workforce, but most of the units will be available for the general public. With the county purchasing this land, that will be the county’s total contribution to the LSS 72-unit complex to help in reducing the rental rates to the general public. The bottom line is for us to get units to the general public that are affordable. By leveraging it, we can get public housing as well. Hopefully, this option is providing units for other employers for their workers as well – it’s not just essential workforce housing.”

According to Veeder, this project will be LSS’s third project in Watford City. LSS of North Dakota is a statewide social services ministry that provides nonprofit housing, food, disaster recovery, counseling and therapy, and other services to North Dakota residents. The mission of LSS Housing is to support community success by providing housing and housing-related services.

“We really like working with LSS,” said Veeder. “They have a mission to be community-builders, they are not profit-builders. We’re pretty happy with LSS. And they’ll build nice units. LSS does a good job.” “I can’t say enough positive things about the city and county,” said Ide. “The leaders of both have been accessible and willing to take action. This area is lucky to have the group it has because the leaders at the city/county truly care about the area and want to have a positive effect on growth.”

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