In an effort to renovate a blighted area, Kokomo Mayor Greg Goodnight announced Monday that construction plans have been finalized for a three-story, 69-unit housing complex at 600 N. Apperson Way.
The $9.5 million project, which is expected to begin this fall, was given a major boost after the project’s developer, The Whitsett Group and Company, received approval from the Indiana Housing and Community Development Authority for $932,001 in rental housing tax credits.
In return for the credits, the developer has committed to reserving a certain percentage of the new units for low to moderate income families. To assist such residents, rent will be determined on a sliding scale, taking into account a resident’s personal income.
To be eligible to live in the complex, potential residents will be required to complete an application.
“We are very excited about approval of this project,” said Goodnight. “Apperson Way Apartments replaces a blighted area of the city with a new, affordable housing complex. The development is designed to dramatically transform this important gateway to Kokomo’s historic Near East Side.”
The project, which will redevelop three city blocks, includes plans for townhomes, a playground, a community garden and a picnic area, according to city officials.
“Apperson Way Apartments is possible due to the City of Kokomo’s administration and their vision for the city,” said Joe Whitsett, president of the Whitsett Group. “We are extremely excited about our investment in Kokomo.”
In order to receive the tax credits, Whitsett partnered with the city to carefully choose a location that would award the project the highest amount of “points” from the Indiana Housing and Community Development Authority.
Following the location’s selection, Whitsett sent the Housing Authority a tax credit application, which was accepted in part due to the amount of points earned.
“We partnered with them to find a suitable location, which was our main contribution,” said Goodnight. “The point system includes the remediation of a site or the complex’s proximity to schools and public transportation. There were other cities fighting for those dollars, but our location helped this project receive the money.”
In September 2013, the Kokomo Plan Commission rezoned the 13 parcels that Whitsett will use as the complex’s construction site. At the time, about half of the parcels were vacant, including a former church, a former motorcycle club headquarters and a former barbecue restaurant.
Goodnight, who compared the project to the Kokomo's Kingston Square apartment complex, said the location will provide a variety of benefits to Kokomo residents.
“This area has had some challenges over the last few years, and we think this apartment complex is going to help the area make some major strides,” Goodnight said. "Apperson Way is one of our busier thoroughfares. That area hasn’t had a lot of investment so we thought it would help the surrounding areas.
“We also want to make sure we have housing options for everyone involved. It is important to have housing for those just starting out, along with those on the high end."