03/12/2026
On March 16, the Village Board will vote whether to approve the Phase Two application submitted by Spoerl Commercial LLC for public assistance to develop affordable housing at 4450 N. Oakland Ave. Barring anything unforeseen, I intend to support development of the proposed apartment building, which will include 19 units with below market rates locked in for a minimum of 30 years.
Our country, our state and our community face a housing affordability crisis. In 1991 the average age of a first-time home buyer was 28; it’s now 40. In Shorewood and communities across Wisconsin, homeowners have been shocked by the jump in their assessments; if you’re a homeowner imagine being on the outside looking in. Action is required to address this, now. Increasing housing supply and options is one way to do this.
For decades Shorewood has made the creation of affordable housing a priority. The problem is, it’s really expensive and it requires public subsidy. To its everlasting credit, in early 2021 the Village Board — with massive support from across the community — voted to extend the expiration of a tax incremental district to generate north of $2 million to support affordable housing. Rather than immediately see the tax benefit of the TID’s expiration, the community rallied around supporting the creation of affordable housing. The money is there. And with the proposed development at 4450 N. Oakland, we now have the opportunity to put that money to work. I believe it’s time.
When I first ran for Village Board in 2021 I applauded the Board’s decision and was very clear in my support for affordable housing. That commitment remains. I have weighed the pros and cons and in the end I believe that we should not pass on the opportunity to provide below market rate housing for 19 households for a minimum of 30 years.
Some of my considerations are below.
What’s happening?
The Village is planning to invest $1.6 million of proceeds from extending a TID to support the development of an apartment building with 19 below-market rate units on the site of a Village-owned parking lot at 4450 N. Oakland.
What’s the total cost of the development?
The total cost of the development is $7.1 million, with the vast majority of remaining funds coming from state and federal sources.
What does this mean for the current parking lot?
While the development has parking for the 19 units, the cost of supporting existing parking was prohibitive, which means that the 49 parking spots will be eliminated. Which means the amenity of parking on the lot (used largely by residents of the buildings on either side of it) will go away. I believe that the surrounding blocks have sufficient parking to absorb the displaced cars but it will be a loss of amenity and an inconvenience. That said, I think creating affordable units for 19 households for a minimum of 30 years is a better use of that property than a parking lot.
Is it true that the Village is selling the lot for below market value?
Yes, it is. And that’s a feature, not a bug, of affordable housing development. As mentioned, housing is expensive. Land acquisition costs are a big reason for that. If the developer were to pay a market rate for the property, they likely only could build a luxury development on the site for it to pencil out. Reducing the land acquisition costs helps support the development of affordable housing. If the project moves forward, the Village will sell the lot for $333,731. By comparison, Sturgeon Bay recently sold a parcel to create affordable housing for $100. This is how it works. And just to make an obvious point: If we sold the land to realize its full value we would be eliminating parking for 49 spots to establish luxury apartments.
What about working with local landlords to create housing vouchers or set aside units as affordable?
This was explored but deemed not feasible due to administrative costs and lack of interest from landlords.
Is it possible that in 30 years the current or future owner could do something differently with the property?
Yes, it is. In the best of all possible worlds we could dedicate that site for affordable housing in perpetuity. With the tools we have, 30 years is the limit. That said, 30 years is quite a long time from a policy perspective. And more housing options are needed now.
Would you do anything differently?
I wish we could create more units in that building but the only way we could do that is by asking for significantly more money from the community. Given all the other infrastructure costs we’re facing I would have a hard time doing that. This project enables us to provide below market housing for 19 households for a minimum of 30 years. I believe this project represents the values of our Village and I look forward to supporting it.