Construction is slated to begin on a 76-unt apartment complex at 1659 N. Jackson St. near Brady Street on Milwaukee’s East Side.
Developed by Milwaukee-based Ogden & Company, the project, called Elevation 1659, was first pitched and received the necessary rezoning and site plan from the city back in 2019.
Construction permits – including a raze order for a building located on one of the parcels that have been combined to create the development site – were approved by the city this month. Construction is expected to be complete in a year.
In a press release issued this week by Silverdale, Washington-based USG Realty Capital, which describes itself as a leading investment sponsor specializing in opportunity zones, hailed the commencement of the project, and calling it its “newest ground-up opportunity zone project for Investors Choice OZ Fund.”
USG Realty Capital is providing $5.6 million of the financing for the project, having raised those funds from investors interested in taking advantage of the project’s location within an Opportunity Zone. Created by the Tax Cut and Jobs Act of 2017, Opportunity Zones allow investors to defer capital gains taxes by investing in developments that significantly improve a property located in such zones. If the investment is held for ten years, all capital gains on the new investment are waived.
“We are very excited for Elevation 1659’s construction to begin,” Jason Pietsch, Ogden’s real estate investment specialist for the project, states in the press release. “In the coming days and weeks, tree removal, building demolition, and subsequent site prep will commence. These initial steps will lay the foundation, quite literally, for the rest of the project – a project we believe will be among the premier Class A apartment buildings in the Milwaukee market.”
The six-story, triangular building be constructed on 0.64-acres site consisting of five separate parcels that had previously been zoned commercial. The apartment building will feature 52 underground parking spaces and 24 at-grade interior parking spaces.
The 76 market-rate apartments will consist of eight studio, 63 one-bedroom, and five two-bedroom units.