Damakant Jayshi
A 50-unit affordable housing project in Wausau continues edging toward completion after a financing boost from the Wisconsin Housing and Economic Development Authority, or WHEDA, though some funding challenges remain.
Commonwealth Development Corporation of America, the developer the project at 700 Grand Ave., was awarded roughly $1.6 million in housing tax credits. The federal credit awarded $968,728 and the state credit was $724,869, according to WHEDA.
A funding gap still exists for the project, which has garnered enthusiasm in the city as affordable housing options shrink. The current estimated cost of the project is roughly $20 million, according to the company. The cost estimate has risen since the project was first proposed in the city. In 2022, the estimate was $16.5 million. The company has asked for $1.5 million in city incentives, according to city staff.
Wausau’s Economic Development Manager Randy Fifrick told this newspaper that the city “will need to review the updated project financials before determining what level of City assistance is needed.”
The four-story apartment complex will have 15 one-bedroom, 16 two-bedroom and 19 three-bedroom spaces to accommodate both single renters and families with children. The complex will offer 45 underground and 22 surface parking spaces for residents.
“It is really fortunate that 700 Grand can provide space to offer supportive resources to residents and the community,” said Commonwealth Development Vice President Tyler Sheeran, in a news release issued on Monday. “This housing project has been in the works since fall of 2022 and we appreciate the City of Wausau’s ongoing flexibility and trust in partnering with Commonwealth.”
The project will commence construction spring of 2025, Sheeran told Wausau Pilot. In a news release issued on Monday, the Commonwealth said project will be completed in the summer of 2026, about two years behind schedule.
“The project was delayed as the Developer did not receive [WHEDA] Housing Tax Credits in the 2023 competitive cycle,” Fifrick said. The original proposal had the project date set for late 2024.
Under the Commonwealth plan submitted to the city in 2022, monthly rent would range from $493 to $1,298 depending on the size of the apartment and income levels. While Sheeran said that there is “no change” in the proposed rent when asked specifically about it, Fifrick hinted there could be some adjustments depending on income levels.
“The rents are based on a percentage of average median income. As AMI changes, so will the monthly rents,” Fifrick said.
The proposed development project will be built at the intersection of Thomas Street and Grand Avenue on the south side of the city’s downtown.
