04/05/2026
The Village Board voted to negotiate terms for a development agreement with Spoerl Commercial, LLC, 5-2 on 3/16/26.
This action comes only after the extensive due diligence and previous votes on the matter, required by TIF Policy 40, WI Statute 66.1105 and the 1986 Tax Reform Act, Section 42 which created a program utilizing tax credits to increase inventory of affordable housing in the United States.
The previous votes related to this project include:
-Creating TID 1 in the 1990’s to increase the inventory of desirable spaces and tax base in the commercial district.
- Voting to extend the life of TID 1 to create funds to subsidize affordable housing. (2020)
- Issuing an RFP to identify opportunities for building affordable housing project on a Village owned parking lot. (2024)
-At the close of the RFP, reviewing proposals and inviting Mr. Spoerl to submit a Phase I application after evaluating the proposals received in response to the 2024 RFP.
- Approving the Phase I application package, code compliance review results, financial analysis, and $1.6M subsidy. (2025)
-Approval of a negotiated option to purchase agreement required to pursue WHEDA LIHTC financing to secure 19 units reserved for residents meeting the income criteria. The agreement sets a sale price of $300,000 if the project receives subsequent approvals, financing, and is completed according to plan. If those conditions are not met, the Village assumes ownership of the land and recovers all of the subsidy, with interest if applicable. (2025)
Phase I and Phase II due diligence included an independent financial analysis conducted by Baker Tilly Municipal Financial Advisors on behalf of the Village as their sole client. TIF Policy 40 provides that the cost of all review and analysis is covered by the application fees paid to the Village by the developer/applicant. This does not make the developer a client of Baker Tilly Municipal Advisors, rather he and his proposal are the subject of a managerial and financial review.
Baker Tilly also operates a housing advisory division for developers who wish to pursue LIHTC under Section 42 of the 1996 Tax Reform Act. These are separate entities under the umbrella of Baker Tilly and do not share information. Spoerl Commercial, LLC is a client of the housing advisory division which contributes to his successful applications for projects in Whitefish Bay and Sturgeon Bay.
The Village Board will review the negotiated terms of development sometime in the next 3-4 months.
Each of these steps have committed the Village and developer to terms and conditions, and have provided transparent opportunities for each party to conduct the necessary due diligence. Previous decisions will NOT be reconsidered UNLESS there is sufficient evidence that terms or conditions have been violated or a significant change in the project is presented.
The use of TIF and financing for affordable housing are both highly regulated by state and federal policy. The developer assumes all financial risk, while the Village can recover funds and land ownership if the project is not successfully completed according to terms.
The project would add 19 units of newly constructed, affordable housing for people who qualify and an increased tax base to generate additional tax revenue for Village and Schools, in perpetuity. The revenue generated by the current off-street parking permits will continue as vehicle owners purchase permits for on-street parking privileges. Anyone who qualifies for the housing can apply and join the waiting list.
Each member of the Village Board has demonstrated care and consideration of the material and public comments presented, and has come to an independent conclusion before voting yes or no at each step of this process.
All the information can be found starting on p. 275: