Rendering of proposed development in Wausau's Riverlife area. Image courtesy: SC Swiderski/City of Wausau
WAUSAU, WI (WSAU) — Wausau’s Finance and Economic Development Committees have approved a developer’s agreement with Mosinee-based S.C. Swiderski for a proposed apartment and retail development in the Riverlife area.
SCS Director of Business Development Jacqui McElroy says the decision marks one of the last hurdles the group must clear before work begins on the site. “We think this is going to be a keystone project for the area and we hope it will become iconic,” said McElroy. “As you drive into the city you’ll see it along the river. We think this is what Wausau needs.”
Plans call for a six-story housing complex with 200 housing units and some first-floor retail space. There will also be an above-ground parking garage, which is needed because of the high water table near the river. Some surface spaces will also be provided, some reserved for retail tenants and those visiting the Riverlife area.
Rental rates for the proposed development still haven’t been finalized but McElroy says they will be set at market rates, which helps everyone in a trickle-down manner. “There is a housing shortage across the state and all kinds of housing is needed. Providing this kind of housing [allows] someone who’s downsizing, an empty nester, they might downsize into something like this and free up a house for a young family.
“Adding any units to the market adds movement to the market. We need new units across the board,” added McElroy.
The proposed building is estimated to cost about $51 million, with the city providing just over $9.2 million. That money will come in reverse TIF fashion, meaning the developer won’t be getting the money upfront. Instead, that money will come over 16 years after the building has been completed and is on the tax rolls.
Some of those payments will be front-loaded to help SCS pay off initial costs.
Financial consultants were involved in the negotiations for the agreement between the city and SCS, who noted that the development comes at a bit of a strange time for builders. Rising interest rates have brought down the cost of construction materials, but they’ve also increased the cost of borrowing.
McElroy says she feels that working with the consultants helped them reach a fair deal for everyone. “There is a portion of public funding, but once the project is complete it’ll come out of our tax assessment.”
Consultants also noted that they felt they reached the minimum amount of public involvement required to make the project feasible.
RELATED: Wausau Economic Development Committee Selects SC Swiderski for Riverlife Development
The agreement still needs approval from the full council on April 25th. If approved, SCS will take over the land later this year with construction expected to start in the Summer of 2024.
McElroy adds that they have been receiving inquiries about the units, and will start an interest list later this summer.
Comments