Milwaukee developer Kalan Haywood Sr. is planning a multi-phase, $75 million development at a former Sears store building at 2100 W. North Ave. in Milwaukee’s central city. The plans include a boutique hotel, offices and market-rate housing. If successful, Haywood’s project at the sprawling 6.5-acre parcel could be a catalyst for redevelopment of the neighborhood, which has struggled with poverty.
In a recent interview with BizTimes Milwaukee reporter Corrinne Hess, Haywood, president of Haywood Group LLC, discussed the ambitious plan.
Financing plan
“A multitude of different financial sources. This will be equally as complex of a capital stack as what we had for the Germania apartments project; even more so. We will use a combination of new markets tax credits, historic tax credits, private investment, owner equity, (tax increment financing) and every other thing you can think of. Right now, we are in the process of evaluating everything and talking to our financial team about what is available, so we can marry the right sources for the project. A big chunk will be traditional financing. But a lot will be creative.”
Hotel customers
“One of the intentions with the hotel is to attract dollars not normally spent in the neighborhood to the neighborhood. People who want to come to the community, who are looking to take in one of the 200 events at the new arena district, whether it is a concert or a sporting event. There will also be a lot of local people in metro Milwaukee who will want to stay overnight, or nights plural. It is one quick shot up or down (West Fond Du Lac Avenue) to get downtown, to the lakefront, the convention center or to the arena.”
Importance to the city
“If we look at downtown as the sun, we have to look at how to develop the planets around the sun. Northwestern Mutual has given us a beautiful addition to our skyline. Irgens has been extraordinary with its building on (East Michigan Street), and of course the arena. This project will carry the narrative out of downtown. It will give people hope and inspire people to live, work and play without having to leave their own community. This creates an opportunity for construction jobs and long-term employment. If people can see and touch it, they start to dream and then you see a ripple effect. Brick and mortar is a crucial way to provide hope.”
