City eyes senior housing

The city of Medford is continuing to look at ways to increase housing options in the community.

Developers want to build a 55 and older apartment complex on an approximately 9-acre parcel of vacant land along Hwy 13 on the city’s north side located north of Glass to Go. The property is currently owned by Terry Patrick and the prospective developers are Jack and Tom Klistner.

The Klistners were the developers behind the 64-unit apartment complex that was built on Pep’s Dr.

According to city coordinator Joe Harris the developers approached the city to partner with the project by building the road access into the property. This road would become a dedicated city street with the potential to eventually connect through to Shattuck Street to the west.

See CITY on page 4 At Monday’s city council committee of the whole meeting, Harris explained that the project was at a preliminary stage and he wanted to make the council aware of it before talks advanced further.

The Klistners are hoping to tap into WHEDA tax credits under the same program that allowed for the construction of the workforce housing project that opened earlier this year on Progressive Dr. As with that development, the proposed complex would include amenities including shared spaces and recreation areas with the major difference being that it is for 55 and older residents. Under the program there would be income qualifications for the residents based on the percentage of median income in the area.

While income-based, Harris said the WHEDA program requires the property to be taxable for at least 30 years.

The WHEDA grants are awarded through a competitive program with points awarded for locations near amenities such as shopping and highways. The proposal calls for it to be identical to a complex the developers are currently building in Waupaca. These would be single-story two and three-bedroom units with a washer and dryer and attached one-car garages.

Harris said a rough estimate on the cost of the road and utility extension would be about $1 million. He suggested the city could create tax incremental district No. 15 for the project.

In TIDs, the property taxes generated on improvements within the area is used to pay for the cost of making infrastructure improvements. This project is a good candidate for using a TID because it is currently undeveloped land. It is common to use TIDs for the extension of roads and utilities and the city has done so in the industrial park, on Pep’s Drive and Ann’s Way to access Walmart.

The city is capped at the amount of taxable property that can be in TIDs at 12%, but according to Harris the city is only at 7.48%. Existing TIDs 7 and 10 are expected to close within the next three to four years which would further open up space. In addition, TID 13, which includes the Hwy 13 corridor and Walmart, will close in 2031.

Harris said if the city moved forward with the project, they would need to borrow the funds for the road and utility work. Harris said the city’s bond advisor, Brian Rielly of Ehlers, projected rates would be around 3% for the city to borrow, which he said would be very good. The city has the borrowing capacity to finance the work.

Council member Mike Bub questioned if the city had helped other developers with roads and utilities. “I want to be consistent,” Bub said.

Mayor Mike Wellner said one of the barriers to residential growth in the past has been the city requiring whoever wanted to develop an area to pay the cost of doing the road. He said this drove away potential development which went elsewhere and this hurt the city’s opportunities for residential growth.

“If we don’t help with the road, it probably won’t happen,” Wellner said.

Wellner spoke in support of the proposal noting that housing needs are across all areas and that having additional 55 and older apartments gives an opportunity for people looking to move from their homes and downsize. This in turn, opens up additional housing options for younger people looking to move into homes and work for local employers.

“If the city and municipalities doesn’t help out, these projects they will die,” Wellner said.

According to Harris as of last month, the apartments on Progressive Ave. were full with a wait list started. He said he has spoken with landlords in the community who were not worried about the impact additional units would have on the apartment market.

Council member Clem Johnson noted the preliminary drawings for the area include additional lots that would be more developable due to a road being built. It was noted that this would be an advantage of going with TID financing to allow the development to pay off the costs.

“Sooner or later we would get tax money out of it,” Johnson said.

Council members also asked about the impact this would have on utilities. Harris said that with the third water tower built on the north side, water pressure concerns have gone away and that the sewer along Hwy 13 could accommodate additional development.

Council member Peggy Kraschnewski asked if decisions had been made regarding curb and gutter and sidewalk in the area.

Harris said there has been no engineering on the project other than what was done by the developers and property owners in order to file the WHEDA application. At this point, he said there is no commitment to be made by the city and it was just brought forward for discussion.

“They brought it to us to see if we would be interested,” Harris said.

The developers are expected to find out in mid-January if they qualified to advance in the grant process. If successful, it will be brought back to the city for further discussion about the potential to partner with the project.

In other business, council members:

• Recommended approving the Medford Area Fire Department Joint Ownership & Service Agreement between the Towns of Browning, Chelsea, Goodrich, Grover, Hammel, Medford, and Molitor and the City of Medford. There were no changes proposed in the agreement other than updating the dates. The agreement will begin January 1, 2025, and end December 31, 2027.

• Recommended approval of a temporary road closing and open container rules for the Kalikamake Beer Mile event to be held on December 21 at 3:30 p.m. The event is sponsored by Lake 11 Brewing and will be held on Main Street from Hwy 64 to State St. as a fundraiser for the Yucca Club.

• Recommended granting the bid for the drilling of a new city well capable of producing 500 gpm to CTW Corporation with a bid of $255,415. They were slightly lower than the bid received from Municipal Well & Pump of $256,454. The city received a low interest loan through the state for the project which will cover the cost of the well drilling and construction of a well house. The cost of the project will come out of the city’s water utility.

• Received an update that the bids for the shoreline improvements along the Black River along Whelen Ave. were extended an additional week to give potential bidders a chance to submit bids.

• Received an update on the proposed Great Lakes Utilities Solar project. The solar panels being considered have a projected lifespan of 20 to 30 years with the goal of increasing efficiency in use.

• Received word that Kraschnewski has filed her notification of non-candidacy. She represents the city’s second district with encompasses the southeastern portion of the city.