The City of Kenosha is rolling out a new program to increase availability of affordable housing and revive some of the city's neighborhoods.
Due to the growing demand for affordable housing, the program, known as Home Kenosha, aims to make homeownership more attainable by leveraging public-private partnerships and targeted investments, according to a Friday announcement.
The program will allow the city to sell city-owned vacant parcels to homebuilders for $1 following the execution of a development agreement. There are currently 53 lots available for this program.
The program will provide construction loans to homebuilders of up to 50% of eligible construction costs at an interest rate of 5.75% and provide eligible homebuyers with deferred second mortgage assistance of up to $50,000 at 0% interest. Upon sale of the home, the homebuilders eligible construction costs will be returned to the fund to continue the building program.
The city will contract with Illinois-based
State Bank of the Lakes to administer the program's approved construction loans and second mortgages.
Newly constructed homes must be sold to owner-occupants for $325,000 or less and to households earning at or below 150% of the Kenosha County median income. The homes will be at least 1,200 square feet and have three bedrooms.
The program was made possible after Pleasant Prairie-based
Uline in 2023 contributed $3 million to the city to help increase owner occupied single-family homes, which the city will be matching by extending certain tax incremental districts by one year to provide matching funds of $3 million.
"Many of our employees live here. Affordable home ownership is vital to those who want to live and work here," Uline co-founder
Liz Uihlein said in the announcement.
“Every family deserves the opportunity to own a home and build a future in Kenosha,” Mayor
David Bogdala said. “The Home Kenosha program is a bold step toward revitalizing our neighborhoods and expanding access to affordable homeownership. Thanks to Uline’s
generous contribution we are providing opportunities for hardworking families to achieve the dream of homeownership while strengthening our city for generations to come.”
