The village of Mukwonago expects to sell the former car lot it owns at 915 Main Street next week Friday to a developer who is planning to build an apartment complex there.
Village officials this spring approved development plans for the proposed 87-unit project, known as The Pointe Apartments. The project is being developed by East Troy-based The Pointe Apartments LLC. It consists of four buildings, each containing between 12 and 28 dwelling units.
John Weidl, village administrator and director of economic development, said the developer is scheduled to close on the property next week. He added that, although the date itself could be moved, the developer has waived contingencies. This means “everyone is locked in” at this point for the property changing hands, he said.
Mikko Erkamaa of The Pointe Apartments LLC said construction will begin in short order. He expects crews to begin staking the ground the week after he acquires the property.
“It’s all systems go,” he said.
Weidl said the developer will purchase the property for $1.05 million, though Pointe Apartments is in turn receiving a developer incentive equal to the purchase price.
Mukwonago is putting a total of $2.25 million toward the redevelopment of the site through a tax incremental financing district. That money specifically goes toward the initial acquisition of the site by the village and the developer incentive payment.
The village-owned site, formerly the Lynch Chevrolet dealership, is “extremely difficult to develop,” said Weidl. Beyond its previous use as a car dealership, the site has wetlands and it’s located on a floodplain.
“It’s pretty much the textbook definition of why you’d use a tax incremental financing district,” he said.
Erkama said he was attracted to the site due to its proximity to downtown and nearby restaurants.
“It’s more of a walkable-type area, as compared to being out (by) the interstate,” he said.