Fox Point redevelopment proposals on the table
The Merrill Redevelopment Authority will hear presentations on two proposals for residential development on the former Fox Point site at its meeting September 19. The meeting starts at 6 p.m. in the Council Chambers of City Hall.
Demolition is progressing on the former Fox Point building at 1905 E. 14th St. The city has agreed to purchase the cleared 5.5-acre property for $450,000.
The RDA has received two development proposals for the site, one from S.C. Swiderski, LLC and the other from Horizon Development Group, Inc./Merrill Area Housing Authority. Proposals from the two would-be developers are included in the meeting’s agenda packet which was distributed Friday.
Swiderski is proposing to build four buildings totaling 56 housing units at a construction cost of $4 million. All apartments would be rented at market rate.
MAHA is proposing three buildings totaling 60 housing units. Of those, 51 units would be classified as affordable housing (60% median household income) and nine would be rented at market rate. Income restrictions would apply to the affordable housing units. Horizon/MAHA plans to utilize the WHEDA Section 42 tax credit program to help finance the project.
The Fox Point site is located in Merrill’s TID #10. Both developers are seeking TIF development incentives from the city. Swiderski is requesting $250,000 and MAHA is requesting $350,000. Both proposals include the city offering the lot at no cost.
The Swiderski project is projected to produce $1,182,267 in tax increment for TID #10 over the next 20 years, while the MAHA proposal is projected to generate $1,115,198. The MAHA proposal does include the potential construction of a fourth building at a later time.
Swiderski would be looking to start construction in 2017 and have the buildings ready for occupancy as early as December 2017. MAHA would also start construction in 2017 with potential occupancy in summer of 2018.
After hearing the two development proposals Monday, the RDA is scheduled to meet in closed session to possibly select one of the proposals and approve a TIF development incentive.