25-26 Designating Resolution - Real Property Tax Abatement for Allen Edwin Residential Builders, LLC

Home Browse Search

TAX ABATEMENT REPORT Filed in Clerk's Office APR 2 3 2025 TO: South Bend Common Council Bianca Tirado City Clerk, South Bend, IN FROM: Joseph Molnar, Assistant Director, Growth and Opportunity SUBJECT: Multi-Family Development Real Property Tax Abatement Petition for Allen Edwin Residential Builders, LLC DATE: 04/23/25 On April 23, 2025, a petition for tax abatement from Allen Edwin Residential Builders, LLC, was filed with the Office of the City Clerk. The petition seeks consideration for a multi-family development real property tax abatement for property 603-621 W. Marion Street; 515-517 Leland Avenue in South Bend. Pursuant to Chapter 2, Article 6, Section 2-84.9 of the Municipal Code of the City of South Bend, the petition was referred to the Department of Community Investment for purposes of investigation and preparation of a report determining whether the area qualifies as an Economic Revitalization Area pursuant to Indiana Code 6 1.1-12.1 and all zoning requirements have been met. The Department of Community Investment has reviewed the petition, investigated the area, and makes the following report. Project Summary • The petitioner, Allen Edwin Residential Builders LLC (Allen Edwin), has partnered with the South Bend Redevelopment Commission to build new housing on currently vacant land located at the Marion-Leland intersection, one block north of Lincoln Way West. The Commission has an active Purchase Agreement to sell the land to the petitioner for the purpose of constructing new housing. • The project will consist of 16 new rental housing units in the form of single-family, duplex, and cottage court style housing. • Through this project, Allen Edwin is also partnering with the City through the Infill Housing Financing Gap Subsidy Program, which will provide the developer with a $62,500 per-unit construction subsidy for 12 units up to a total of$750,000. All of the 12 units under this program will be affordable workforce rentals for households earning 120% or less of the Area Median Income. • Construction costs for this project are estimated to be $2.5 million. • The project will greatly contribute to the surrounding area, activate long-vacant land, and provide affordable housing options for residents of South Bend. The new housing will help connect residents to the ongoing and planned development on the north side of downtown South Bend. The proximity of the project to City amenities, including bike trails, will further accelerate momentum being seen on the west and northwest neighborhoods.