$47M housing project with labor promise coming up for Rockford vote

Unlike the recent Colman Yards project, the developer behind an estimated $47 million mixed-use affordable housing project for South Avon Street is pledging to use a local union contractor to build most of it.

Whether having a letter of intent to work with Rockford-based Kee Solutions LLC., a union contractor and minority-owned business, will smooth the way forward for the proposed development remains to be seen.

Rockford Local Housing Development Corporation Vice President Ron Clewer said he is expecting what could be a close vote at City Council on Monday as he seeks a special use permit for the mixed-use residential and commercial development on 15 acres currently zoned for light industrial.

"I think our ducks are in a row," Clewer said.

What you need to know: Near $50M proposed development includes affordable housing in Rockford

Council approved an agreement for the redevelopment of the former Barber-Colman industrial campus after half of the city's council members voted to mandate the developer, J. Jeffers and Co. reach a project labor agreement with area trades unions.

Clewer said the developer for the Avon Street project signed a letter of intent with Kee Solutions before the controversy erupted over the Colman Yards deal. Kee would serve as general contractor for a majority of the project while Wisconsin-based Gorman & Co. would oversee a portion of it.

Rockford City Council had laid over a vote on the Avon Street project for 45 days while a new alderman for the 13th Ward, Jeff Bailey, was seated to succeed the late Linda McNeely. It returns for consideration Monday. Bailey didn't immediately respond to an email seeking comment.

The proposed Avon Street development includes apartments, single-family homes and multifamily buildings in addition to commercial space, an early education center, urban agriculture greenhouse, "makers space" and childcare.

Among the components are:

  • A 64-unit apartment building including a mix of affordable one- and two-bedroom units, 10,000 square feet of social service and commercial space and an 8,000 square-foot child care facility.

  • Six single family homes for sale.

  • Eight duplexes consisting of 16 units for sale.

  • Market rate rental multiplexes including a 6-unit building and a 10-unit building.

  • Arts incubator in an existing dilapidated 21,600-square-foot structure at 915 Cedar St. that would be renovated to include six artist live-work loft apartments.

  • Greenhouse and education building.

  • A total of 108 residential units would be constructed on the property.

Although some aldermen have opposed adding affordable housing units in Rockford, Clewer said Monday's vote should be on the merits of the zoning change that is being sought. Clewer said the development is so far not asking for the city's financial help though that could happen in the future.

Plans are to seek $13.5 million in federal low-income housing tax credits for the apartments and HOME grant funds to help defray the cost for buyers of the planned single family homes. The developer would also take on traditional debt.

To qualify for low-income housing tax credits, the quality would have to meet federal standards for fair housing, and 40% of residents would have to make less than 60% of the area median income.

"We believe the time has come to call the question which is: Does the Avon Street project meet the city’s zoning requirements?" Clewer said. "City staff recommends it does. The Zoning Board of Appeals voted that it does and the Code and Regulation Committee voted unanimously that it does. So the question is for City Council members: Do they support the recommendations of staff, ZBA and code and regs committee?"

Jeff Kolkey can be reached at (815) 987-1374, via email at jkolkey@rrstar.com and on Twitter @jeffkolkey.

This article originally appeared on Rockford Register Star: Labor promise added to proposed $47M housing project in Rockford