By Shereen Siewert

City leaders this week gave the green light to a housing development that will bring 200 apartments to Wausau’s Riverlife District, along with commercial space and parking.

The roughly $52 million project, from Mosinee-based S.C. Swiderski, LLC, was chosen in August after a request for proposals drew two responses and relies on total public assistance of roughly $9.2 million, without interest. The future market value of the project is expected to total more than $29 million.

The Sterling, a seven-story multi-family building with 200 units comprising studios, studio suites, one- and two-bedroom units and four penthouses. The proposal includes 345 parking spots – with 324 combined interior parking spaces and 21 on a surface lot, with a separate parking ramp structure. In addition to living space, the Sterling will feature two ground-level commercial retail spaces and amenities such as a yoga room, fitness center, community spaces, patio and grilling areas and a rooftop terrace, among other aspects.

Proposed market rate rents would range from $1,200 per month for the smallest studio unit to $3,000 per month for a penthouse unit, according to city documents. Commercial rent will also be collected by the developer.

Dist. 4 Alder Lou Larson said the proposed rents for the building are too high.

“How many people in this room can afford $1,200 in rent?” he asked.

But Dist. 7 Alder Lisa Rasmussen said the city knows it needs housing at “all price points,” one of the reasons she is enthusiastic about the project.

Dist. 5 Alder Gary Gisselman said he did not support the plan because the vision for the riverfront was to provide green space for all. A seven-floor building would overly-dominate the riverfront, he said. “Is this the best use that we have for our riverfront, a very precious asset that this city has?”

The project was approved by a 7-3 margin, with Kilian, Gisselman and Larson voting against. Council President Becky McElhaney was not present.

Prior to this week’s meeting, city officials received a financial assistance request from Swiderski that was sent on to public finance advisors Ehlers for review. City monies will come in the form of reverse tax increment funding, in which the developer receives a portion of the tax revenue generated based on when the project is completed. Swiderski aims to finance the project with a first mortgage of about 70 percent of the total development costs.

Swiderski will purchase the property for $400,000 by the end of 2023 with construction to begin in 2024 and leasing to start in early 2027.

In May 2022, Wausau issued a request for proposals to redevelop the property after plans from a previous developer, T. Wall Enterprises, fell through. The City Council nixed the development plan in March 2022 for the lots, which fall in tax incremental districts No. 3 and No. 12.