Two County Affordable Housing Efforts Would Create 89 Homes

(Top to bottom) Map of proposed subdivision site in Oak Creek. Marcia P. Coggs Human Services Center, 1220 W. Vliet St.

Milwaukee County Supervisors unanimously approved two affordable housing projects Thursday, however, in both cases, their approval is only the beginning.

The board gave the administration authority to finalize a sale and redevelopment agreement for the Marcia P. Coggs Human Services Center, 1220 W. Vliet St, as well as a transfer of funds to support the Housing Division’s plans for a new subdivision of affordable single-family homes in Oak Creek.

The board’s approval was needed to allow both projects to move forward, but they are both in very early stages of development. If the projects make it to the finish line, they will create 65 affordable apartments and 24 affordable single-family homes.

Affordability is generally defined by housing that costs the occupant no more than 30% of their income; a standard used the U.S. Department of Housing and Urban Development.

Coggs Project

The Coggs Center was built in 1910 as a Schuster’s department store. In 2021, officials determined the cost to perform needed maintenance and bring the building in line with accessibility requirements was too much for the county. The determination led to the development of a new human services building, at 1230 W. Cherry St., and plans to demolish the existing building for use as a parking lot.

But a public call for proposals to redevelop the building — including new parking — was answered by Gorman & Co., a firm with extensive experience redeveloping historic structures.

Supervisors approved an option to purchase an agreement with Gorman, which plans to redevelop the Coggs building into 65 affordable housing units with commercial space on the first floor and underground parking.

The total development cost is estimated at $32.3 million. Gorman has put together a complicated financing stack for the project, including $2.5 million in American Rescue Plan Act (ARPRA) funding from the county, as Urban Milwaukee previously reported.

Supervisors, led by Sup. Priscilla E. Coggs-Jones, expressed concern Thursday that the language surrounding the project’s use of minority contractors was too vague.

Corporation Counsel Scott Brown told the board that the option agreement language was drafted in anticipation of a future development agreement, where contractual language can be firmed up.

The board does not have the authority to amend a contract, so it amended the authorizing legislation, recommending the county administration to make the language more absolute.

Oak Creek Affordable Housing Subdivision

Supervisors also approved a transfer of $2 million to an affordable housing project being developed by the county’s Housing Division in Oak Creek.

The plan is to work with a private developer to build 24 affordable single-family homes two vacant parcels between E. Puetz Road and E. American Avenue. The county took ownership of the property through tax foreclosure in 2006.

The project is designed to support homeownership, with homes set aside for low-income, first-time homebuyers. To prevent buyers from simply flipping the homes, housing officials plan to control the sales prices through deed restrictions or a community land trust. However, a modest price escalator will likely be built in to allow the families to take advantage of the wealth generation that often comes with homeownership, as Urban Milwaukee previously reported.

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