Wausau housing developments to watch for in 2024 include Foundry on 3rd, The Sterling and Riverview Lofts
WAUSAU – Three housing units in development in Wausau are expected to help the city address both a housing shortage and a shortage of affordable housing.
A recent housing study by the North Central Wisconsin Regional Planning Commission found a projected demand for over 2,000 housing units in the Wausau Metropolitan Area by 2025. One finding in the study was that 21.8% of households are cost-burdened by their housing. A household is considered “cost-burdened” when more than 30% of its income is spent on rent, mortgage and other housing needs. The study said both upper- and lower-income housing is needed to relieve pressure on middle-income housing. However, low-income housing is “impossible to build … without financial assistance.”
The study assigns 525 units of projected demand by 2025 to the city of Wausau, and city leaders and staff have worked to secure development agreements with developers to build housing units that meet the recommendations of the study. Included in those recommendations are to consider national trends in housing demands and potentially capitalize on Wausau-area assets that may be desirable to people looking to relocate.
The Wausau City Council took another step toward this goal when they routed the final year of TID 6’s tax increment, roughly $4 million, to affordable housing projects, taking advantage of a recent change to the development incentivizing tax program.
Here are details on three of the housing projects underway in Wausau:
The Sterling – S.C. Swiderski LLC
A seven-story apartment and retail complex, nicknamed The Sterling, was approved by the Wausau City Council in October at 1200 North River Drive, directly south of Wausau on the Water. The development will include 200 apartment units with studios, one-bedroom, two-bedroom and penthouse units. The first floor will feature five separate commercial spaces combining for a total of 5,500 square feet.
The building will also feature a publicly accessible “breezeway,” which will provide access between the parking lots, the River Edge Parkway and the first-floor commercial spaces.
The project is expected to cost $51.8 million and is eligible for over $9 million in financial assistance paid by tax incremental financing over 16 years, which will ultimately return 17.9% of the cost to S.C. Swiderski.
Work on the project is expected to begin in 2024 following an amendment to the development agreement made in December.
Foundry on 3rd – T. Wall Enterprises Mgt LLC
A five-story 154-unit apartment and retail complex, nicknamed Foundry on 3rd, was approved by the Wausau City Council in October for the portion of the former Wausau Center mall property on the southeast corner of North Third and Washington streets.
The over $40 million project will include studio, one-, two- and three-bedroom units, over 17,000 feet of commercial space, underground parking, an interior courtyard and coworking spaces.
The project is eligible for almost $6 million in financial assistance paid by tax incremental financing over 20 years.
Work on the project is expected to begin before June 1.
Riverview Lofts – Gorman & Co. LLC
A four-story 50-unit apartment building, nicknamed Riverview Lofts, received approval from the Wausau City Council in May for the site of the former West Side Battery and Electric Service on the east side of South First Avenue, adjacent to the Wisconsin River.
The project is expected to cost over $14 million and will have one-, two- and three-bedroom units including eight townhome-style units.
The city acquired the property for $390,000 and sold it to Gorman & Co. LLC in order to qualify for affordable housing grants.
Work on the project is expected to begin in the spring or summer of 2024.
Other Wausau development projects
These are a few other projects that are moving forward in Wausau, but they are earlier in the development process:
Demolition of the McClellan Street parking ramp will happen in early 2024 and the property will be available for future development.
The Thomas Street area will have opportunities for “infill housing,” which are homes built on vacant or underutilized properties in an existing neighborhood. The construction of these homes will be eligible for financial assistance, though details are not finalized. The city has held neighborhood meetings about the project.
The southwest corner of the intersection of Grand Avenue and Thomas Street, at 700 Grand Ave., has been the subject of a development agreement between the city of Wausau and Commonwealth Development Corp. of Madison since October 2022. The developer is still working to secure funding for the project, and any future development there has the unique challenge of a 110-year-old sewer structure that needs to be demolished as part of the construction process.
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Erik Pfantz covers local government and education in central Wisconsin for USA-TODAY NETWORK-Wisconsin and values his background as a rural Wisconsinite. Reach him at epfantz@gannett.com or connect with him on Twitter @ErikPfantz.
This article originally appeared on Wausau Daily Herald: Wausau housing developments to watch for in 2024
