Chanute city commissioners on Tuesday voted to allow a limited liability corporation to apply for state tax credits and a housing grant that would help develop and build needed duplexes and triplexes for rent on 28th Street.
Darin Luebbering, owner of Advanced System Homes, discussed the matter with city commissioners. Chanute Housing LLC will apply to the Kansas Housing Resources Corp. for the Kansas Housing Investor Tax Credit Program and a moderate-income housing grant. The duplexes and triplexes built on the property would be rented out at market value.
Luebbering said Advanced System Homes is partnering with Doug Hutchinson and others to create the entity to build the apartments.
He defined the size of the project by the number of doors in the apartments. At its current size, the complex would have 32 doors. The agenda showed that a one-bedroom triplex would have eight doors. A two-bedroom triplex would have four doors. A two-bedroom duplex/garage would have 12 doors. He didn’t release an estimate for the total project cost.
The corporation is seeking a housing grant of $650,000. He said a review and drawings have been completed on the site. Housing is difficult to build without these partnerships, he said.
“Without these entities involved it’s not possible. You just can’t build new construction these days and get market rents out of things.
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So we’re gonna use as many programs as we can,” Luebbering said.
“I think it’s the next step that we need to keep on growing our community,” he said.
He didn’t think tenants would be difficult to find. The city lost the 42-unit Cornerstone Apartment Complex on Fourth Street near Plummer in March to a fire. That complex opened in 2010.
“It’s the time to do it. The state’s been very generous with grants and programs to get housing going in Kansas. I think it’s going to be a good deal,” Luebbering said.
He said this is the same program the city used to build the Osa Martin housing area.
“I feel like just having that in place it gives us a really good shot,” Luebbering said.
The corporation and city performed well for that project so the state may be willing to share funding again.
Commissioners approved the resolution authorizing the needed signature on the grant application.