Near $50M proposed development includes affordable housing in Rockford

Jeff Kolkey, Rockford Register Star
·3 min read

An estimated $47 million development proposal on South Avon Street includes affordable and market rate housing, retail space, an agricultural greenhouse and social services.

Developers are asking Rockford City Council to approve a special use permit for the mixed-use residential and commercial development on 15 acres currently zoned for light industrial.

Here's what you should know.

What is being proposed on South Avon Street?

A development with apartments, houses and multifamily buildings in addition to an early education center, urban agriculture, "makers space" and childcare.

  • A 64-unit apartment building including a mix of 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.

  • Eight duplexes (16 units).

  • 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.

More: Half-built, Rockford subdivision that's been dormant for years to get new lease on life

Would these be rentals?

Apartments would be rental units aimed at low-income individuals and families. Multiplex building units would be market rate rentals. Duplexes and single family homes would be sold. Apartments will meet rules for low income housing tax credits. Depending on the residents' income levels compared to area median incomes, one bedroom units would range from $645 to $787. Two bedroom units would range from $750 to $935. Market rate multiplex units would rent for $925 for a two bedroom or $1,256 for a three bedroom.

Who is the developer?

Rockford Housing Development Corporation, an organization dedicated to improving access to healthy and affordable housing for working class families. The nonprofit is teaming with Wisconsin-based Gorman & Co. which has built the Embassy Suites by Hilton in downtown Rockford and The Grove on New Towne Drive on Rockford's eastside. They are also partnered with Place Foundry LLC, a Rockford-based urban design and real estate consulting firm.

Is there environmental contamination?

The land once served as the home of a gasification plant operated by Rockford Gas Light & Coke Company. ComEd spent millions on environmental clean up that was certified as complete in 2016 with a finding by the Illinois Environmental Protection Agency that "no further remediation" was needed for residential or commercial use on the land.

Are there any objections to the proposal?

Some opponents say additional multifamily affordable housing will equate to increased crime. Supporters point out that similar claims were made about The Grove on New Towne Drive, and they argue those predictions have not come true. A potentially close vote is expected at City Council.

What city funds is the developer asking for?

The developers have not so far asked for city financial assistance. They are seeking $13.5 million in federal low income housing tax credits, could seek HOME grant funds to help defray the cost for buyers of the planned single family homes. They would also take on traditional debt to pay for the development. 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.

When will City Council consider the plan?

With no one yet approved to succeed the late Linda McNeely in the 13th Ward where the proposal is located and City Council focused on a massive redevelopment proposal at the former Barber-Colman industrial campus, consideration of the Avon Street development was put on hold until the first week of August.

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: $47 million proposed development on Rockford's Avon Street