MONROE - Is the City of Monroe willing to give up its downtown parking ramp at 11th Street and 17th Avenue for a $7- million, 56-unit senior housing project?
That's what Tom Sather, president and CEO of Silverstone Partners, Inc., a real estate development and investment firm in Middleton, wants to know.
Sather presented the company's idea to build an independent living apartment complex for seniors age 55 and older to the city council members Tuesday.
Sather told the council he had until Feb. 4 to "put together the project," including zoning site control and public and private financing.
One of the largest "gaps" in his plan is $350,000 - which he said it would cost him to demolish the city's parking ramp. He is asking the city for the property, and perhaps some help with the demolition costs.
Alderman Michael Boyce, chairman of the Finance and Taxation Committee, thinks the plan might have some merit.
"I have no real concern (about the city providing the needed financing)," Boyce said Tuesday. "TIF 7 needs all the development it can get. A $7-million development would certainly help."
Tax Increment District No. 7, covers about 25 blocks in Monroe's downtown Square area and is also in city's historic district.
TID No. 7 lost about $23,000 in equalized value in 2009, less than 1 percent of its 2008 value. But the added tax revenue it was expected to bring in to the city this year is about $150,000 short of what it needs to cover its annual debt payment of $275,000. The debt was created when the city took out bonds to cover a newly designed streetscape in 2009.
Sather said his proposed project would provide "high-quality, affordable housing," not low-income housing, as well as "a nicer community, increase the tax base, provide more patrons for businesses and revitalize the downtown.
"Our seniors like to be where the action is," he said.
Rent for the units would be about $200 to $250 less per month than in Madison, he added.
The proposed 56-unit apartment complex would include a beauty saloon, a fitness center, a craft room and an Internet cafe. Each unit would come with a full kitchen, a deck or patio and a washer and dryer.
The development would have its own resident parking on the lower level and three floors of apartment units.
The project would also cut downtown available parking spaces by about 20 percent, according to some aldermen at the presentation.
Sather countered the argument by explaining that it was possible to get more "surface parking" for city use on a nearby section of property that is unused and owned by a bank. Sather said in speaking with the bank, he discovered the bank was willing to part with the property.
Alderman Jan Lefevre, a member of the city's Historical Preservation Committee, said she was concerned about preserving the historical esthetics of the downtown. She did not like the artistic rendering of the building that Sather presented.
"It looks as if it towers over everything," she said. "It's huge - taller than anything downtown."
"We will work with the city to fit with the downtown historical esthetics," Sather answered, saying the design was purely an example of what the building could look like.
The entire project hinges on whether Silverstone can get funding through Wisconsin Economic Development Association (WEDA).
"Even if everyone agrees it's a good idea, there are no guarantees," Sather said.
Monroe in at the top of the list for needing affordable housing, but the project cannot be done without help from the government, he added.
"Monroe will be competing against other communities, but Silverstone has a good track record with the WEDA," Sather said. "And WEDA has started to focus on small communities and likes to see public/private partnerships."
The Public Property Committee and Finance & Taxation Committee will meet jointly on Oct. 4 to discuss the proposed development.
That's what Tom Sather, president and CEO of Silverstone Partners, Inc., a real estate development and investment firm in Middleton, wants to know.
Sather presented the company's idea to build an independent living apartment complex for seniors age 55 and older to the city council members Tuesday.
Sather told the council he had until Feb. 4 to "put together the project," including zoning site control and public and private financing.
One of the largest "gaps" in his plan is $350,000 - which he said it would cost him to demolish the city's parking ramp. He is asking the city for the property, and perhaps some help with the demolition costs.
Alderman Michael Boyce, chairman of the Finance and Taxation Committee, thinks the plan might have some merit.
"I have no real concern (about the city providing the needed financing)," Boyce said Tuesday. "TIF 7 needs all the development it can get. A $7-million development would certainly help."
Tax Increment District No. 7, covers about 25 blocks in Monroe's downtown Square area and is also in city's historic district.
TID No. 7 lost about $23,000 in equalized value in 2009, less than 1 percent of its 2008 value. But the added tax revenue it was expected to bring in to the city this year is about $150,000 short of what it needs to cover its annual debt payment of $275,000. The debt was created when the city took out bonds to cover a newly designed streetscape in 2009.
Sather said his proposed project would provide "high-quality, affordable housing," not low-income housing, as well as "a nicer community, increase the tax base, provide more patrons for businesses and revitalize the downtown.
"Our seniors like to be where the action is," he said.
Rent for the units would be about $200 to $250 less per month than in Madison, he added.
The proposed 56-unit apartment complex would include a beauty saloon, a fitness center, a craft room and an Internet cafe. Each unit would come with a full kitchen, a deck or patio and a washer and dryer.
The development would have its own resident parking on the lower level and three floors of apartment units.
The project would also cut downtown available parking spaces by about 20 percent, according to some aldermen at the presentation.
Sather countered the argument by explaining that it was possible to get more "surface parking" for city use on a nearby section of property that is unused and owned by a bank. Sather said in speaking with the bank, he discovered the bank was willing to part with the property.
Alderman Jan Lefevre, a member of the city's Historical Preservation Committee, said she was concerned about preserving the historical esthetics of the downtown. She did not like the artistic rendering of the building that Sather presented.
"It looks as if it towers over everything," she said. "It's huge - taller than anything downtown."
"We will work with the city to fit with the downtown historical esthetics," Sather answered, saying the design was purely an example of what the building could look like.
The entire project hinges on whether Silverstone can get funding through Wisconsin Economic Development Association (WEDA).
"Even if everyone agrees it's a good idea, there are no guarantees," Sather said.
Monroe in at the top of the list for needing affordable housing, but the project cannot be done without help from the government, he added.
"Monroe will be competing against other communities, but Silverstone has a good track record with the WEDA," Sather said. "And WEDA has started to focus on small communities and likes to see public/private partnerships."
The Public Property Committee and Finance & Taxation Committee will meet jointly on Oct. 4 to discuss the proposed development.