Thursday, January 20, 2011

Council approves New Perspective development pact (Sun Prairie Star)

Council approves New Perspective development pact

The Sun Prairie City Council approved a development agreement between the city and Lighthouse Acquisition Group, an agent for New Perspective Senior Living, to develop a 140 unit senior housing complex at the corner of Linnerud Drive and South Bristol Street.

The project will be developed on five acres of land using 50 congregate care, 50 assisted living, and 40 memory care for a total of 140 units.

Edina, Minnesota-based NPSL has developed or acquired senior housing campuses totaling more than $100 million, with ownership or management interests in 830 units in 12 different communities across four states – Illinois, Iowa, Wisconsin and Minnesota.

New Perspectives Senior Living’s Lighthouse of West Bend, featuring Independent & Assisted Living, Memory Care, Short Term Stay, is set to open in fall (rendering courtesy New Perspectives Senior Living).

The facility will include a full-service kitchen to serve three meals per day; a barber and beauty shop, fitness facility, bistro, library/computer room, office space for employees serving the entire facility; common maintenance and housekeeping storage for the entire facility; a pub and dance studio with above-ground and below ground parking.

Novaczyk said then he anticipated breaking ground in April or May with an anticipated completion of May 2012.

Using NPSL figures of an average number of 25 workers on the project for the 12-month duration, and average wages of $50,000 to $80,000 based on their trade, that creates an economic impact of $1.625 million based on a $60,000 average salary – which will create another impact downtown and more demand for retail and food service to serve those workers.

In addition, Ryan Companies – which will develop the property for NPSL — purchases many goods and services from the community’s businesses during its construction projects. Ryan Companies is currently constructing the new Hilldale Target Store and will begin construction as that project nears completion.

An economic impact analysis prepared for aldermen by NPSL indicates its construction value will be $11.2 million based on $80,000 per unit for 140 units. A pro-rated amount would generate $252,000 in taxes, according to the NPSL analysis. Part of the development agreement requires the city to cap the assessed value per unit at $60,000 from 2013-19, then at $64,000 from 2020-21, then at $68,000 in 2022, followed by $72,000 per unit assessments in 2023 and $76,000 per unit assessment caps in 2024.

In addition, the 75 to 100 people employed at the facility will generate an additional $1.4 million in new jobs in Sun Prairie when the facility is completed and fully staffed, Novaczyk said.

Blogger's Note: This should be a great project for downtown and all of Sun Prairie. It's been two years in the making, and its great to have it moving forward.

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