The companies behind two more housing projects planned near downtown Omaha are seeking tax-increment financing to help pay for their developments.
One developer would renovate two historic apartment buildings at 22nd and Jones Streets. The other proposes new townhomes on Park Avenue near Mason Street.
Both would continue the trend of re-populating midtown and downtown Omaha.
They’re likely to appear on the Omaha City Council agenda in one to two months. The Omaha Planning Board voted last week to recommend that the council approve the requests for tax-increment financing, or TIF. That’s an incentive that allows developers to use a portion of future increased property taxes generated by their projects to pay certain upfront development costs.
Dave Paladino, a landlord and developer best known for his self-storage businesses bearing Bible verses, proposes to renovate a pair of four-story buildings. They are the Ainsworth and Beverley Apartments at 2230 and 2236 Jones St.
When completed, there would be a total of 33 market-rate apartments in the two buildings, said Don Seten, an Omaha city planner. They would be 450 to 550 square feet and rent for about $625 to $675 a month, according to Planning Board documents.
The 99-year-old edifices currently are vacant and uninhabitable, according to the documents. Each used to hold 37 apartments. They’ll have fewer when renovated because Paladino plans to add elevators and because in many cases, two apartments will be combined into one, the documents say.
The entire project is expected to cost $3.2 million. The TIF request is for $285,000. The TIF money would be used for such costs as acquisition, building rehabilitation, and architectural and engineering fees.
In a memo, the City Planning Department said people loiter and litter along Jones Street from 22nd to 24th Street. The memo said the project “will expand housing options, preserve historic structures, and reverse deterioration in an older portion of the City of Omaha.”
Under the other proposal, The Courtyard on Park Townhomes would rise at 1007 Park Ave. on land vacant except for a small garage.
The developer is Courtyard on Park LLC, a company related to Milestone Property, whose principals include Larry and Alex Jensen. Milestone’s previous projects include the historic rehabilitation of the West Farnam Apartments.
For Park Avenue, Milestone proposes to erect 12 townhomes in two structures. They would be owner-occupied dwellings sold at market rate, according to Planning Board documents. Six of the townhomes would have rooftop patios, offering what the documents say will be “excellent views of downtown Omaha.”
The development will help fulfill the city’s master plan goals of “providing good quality housing options in a mix of patterns, types and styles, as well as promoting home ownership,” according to a City Planning Department memo supporting the TIF request.
The developers are seeking up to $585,000 in TIF to offset costs such as acquisition and environmental and geotechnical studies. The entire project is expected to cost $3.6 million.