Shot of the front of the historic Landmark Building in downtown Wausau. (Photo courtesy of WAOW-TV).
WAUSAU, WI (WSAU) — A local affordable housing project will get some help from recently acquired federal stimulus money.
Tuesday evening Wausau’s Economic Development and Finance Committees met in a joint meeting to go over a couple matters. One of those items was a funding request from Gorman & Company to use either TID money or American Rescue Plan funding to cover a $350,000 gap in the Landmark Apartments renovation.
The Landmark Apartments will be renovated within the next year and a half to become an affordable housing option for Wausau residents. Gorman & Company representative Ted Matkom explained to the committees that the building would go from 107 apartments to 94 apartments and be rented as affordable units when the renovation is complete.
The Committees mainly discussed which funding source option the City should look at using to help cover the project’s estimated $350,000 shortfall. Finance Committee Chair and District 7 Alder Lisa Rasmussen says using Rescue Plan funding for the project would save the city any need to borrow more money for the project.
“Typically when you participate in a TID project, the taxable value of the property goes up. And you use that gain to pay the taxes because you increase the value of the building. Now with a tax credit project, that won’t happen.
“I’d feel a little bit better about the Rescue Plan funding and its listed purpose of affordable housing. Versus taking on more debt that you will never recover in property tax,”.
District 11 Alder Deb Ryan agreed with Rasmussen that the funding request from Gorman & Company would fit the stated intent of the American Rescue Plan’s requirements. “The intent was to try to help those that are of a lower income.
“I’m in agreement with you [Rasmussen] instead of going ahead and having it as an additional debt for TIF. That I do think it’s purpose of going for affordable housing is appropriate,”.
Both committees unanimously passed motions to use American Rescue Plan funding for Gorman & Company’s $350,000 funding request. The Landmark Apartments renovation is expected to begin sometime this year with closing on the property at the end of June.
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