$7.5 million downtown development gets go-ahead from state
Kevin Leininger | News-Sentinel
Work could begin this summer on 44-apartment ‘Randall Lofts’ project
Fort Wayne - The proposed conversion of a 108-year-old downtown industrial building into shops and apartments appears to be a go, thanks to a 10-year funding commitment from the Indiana Housing and Community Development Authority.
As The News-Sentinel reported in August, Carmel-based RealAmerica Development plans to keep commercial space on the ground floor of the Randall Building at 616 S. Harrison St. and 44 one- and two-bedroom apartments on floors 2-5. But the plan depended on the tax credits, which were recently approved at nearly $675,000 annually for 10 years.
The building is the largest remaining Victorian commercial block in Fort Wayne, and renovation will cost about $7.5 million, with the city contributing $600,000 in federal funds.
“This is good news . . . another development that will contribute to the revitalization of the area, bringing residents downtown to shop and live,” city Deputy Director of the Office of Housing and Neighborhood Services Heather Presley-Cowen said in a statement.
Each unit will be equipped with a full-size kitchen, dining area, washer and dryer and other features. Last year, a RealAmerica spokesman told The News-Sentinel that the project’s target tenants will be people earning less than 60 percent of the median income.
Construction is expected to begin in late summer or early fall.
Original article here (News-Sentinel)
I believe with the rent controlled apartments you would need 2 years of taxes…which may put a lot of “students” out of these units.
I believe this building would be perfect for young professionals that are just starting out and want to live in the heart of the city.
I believe I can clarify this a bit as I just received an e-mail about this as well and I believe there are quite a few people confused about who this development will cater to. My assumptions are based on facts and figures available and are not necessarily 100% correct as there may be other factors which I am not aware of.
First of all, not all units will be rent controlled, but a majority will be (probably 40 of 44)
Secondly, the median household income in Fort Wayne (2011) was $47,4850. Using this figure, 60% less of this would be $18,994. This would be the maximum income which would be aloud in a (majority) of these units. Let’s keep in mind these are mostly 1 bedroom units which I believe has a maximum occupancy of 2 residents.
Third, the figure of $800 would apply to the market rate units, not the rent controlled (I believe)
With that being said, your not going to see low income families filling this new development. I believe the occupants will be mostly students and retirees.
I would also like to note the fact that this building is located 5 blocks from the newly formed University of St. Francis downtown campus. So again, this would be a perfect fit for many students who for instance may not have a car, and would like convenient walkable housing options near school.
This is GREAT. But I wonder can their target market who earn less than 60% of the median income afford a $800 monthly rent?