March 28, 2024

City council looks into potential Newbury Living senior housing project

New housing options could be on the rise in Osceola.

A huge topic of discussion at the Nov. 18 Osceola City Council meeting was the Newbury Living Osceola Senior Housing project.

“This is an exciting project that we’ve got on our doorstep,” said Ty Wheeler, Osceola city administrator/clerk. “It’s something that’s coming together quite quickly.”

Recently, Clarke County Development Corporation commission completed a housing study, and work has been done with housing opportunities in Osceola.

Some of the positives of the community were the close proximity to various amenities such as drug stores, grocery stores, seniors centers and more. This now has emerged into a potential Newbury Living project.

According to the Newbury Living website, Newbury Living manages more than 50 apartment complexes throughout Iowa and one in southern Minnesota. Locally, it provides senior citizens with a retirement experience at 3801 Grand in Des Moines and Melrose Meadows in Iowa City.

What/where?

The site being pursued for the project is where the Main Street Attractions building and old White Way cafe are located, as well as the vacant parcel of land behind the buildings currently owned by the development corporation. This used to be where the meat locker was located.

The proposed concept is of a four-story structure, which will have retail on the main floor, and two bedroom, one bath apartments on the second, third and fourth floors. The vacant lot behind the structure will be converted into parking for the site. It will be senior housing for those age 55 and older.

There will also be an administrative office, common area and elevator.

Water and sewer are there and can handle a development project as proposed, Wheeler said.

The preliminary plans are compliant with the city’s zoning ordinances and codes.

Tax credits

However, this plan hinges on getting state tax credits. Wheeler said to be eligible and make the application for the credits strong, there needs to be local participation.

The total project cost is approximately $5.1 million.

Wheeler said a local source contribution to the project at 5.5 percent has been determined to be advantageous in the application process, which is a local cost of $280,000.

He said this local funding could be delivered in payment over the course of 10 years in the form of an economic development agreement.

“So, $280,000 spread over 10 years is $28,000 (per year),” Wheeler said.

There were murmurs of “that’s pretty cheap,” from the city councilmen.

“Absolutely it is,” Wheeler replied.

The councilmen said it looked like rent would be pretty reasonable, and Wheeler responded that was all part of the tax credit program.

Parking

However, the council was concerned with parking, which would have to be two spots per unit for a multifamily unit. Parking spaces for the retail would be minimal, though.

Wheeler mentioned parking has to also meet zoning codes.

"There's got to be parking," said Councilman Dave Walkup. "I mean, there has to be something done. So, that's an issue. That is an issue. I agree it's a concept, but I'm just saying this is a problem that needs to be fixed."

Wheeler said he does believe there could be additional development areas to the north of the proposed site.

“I think there’s ample space there if it could be done correctly,” Wheeler said.

Once the discussion came to an end, the council approved a motion to proceed with the drafting of a development agreement for the Newbury Living project. An amendment to the motion was also approved, which included a local incentive up to $280,000 throughout a 10-year period.