A 72-unit apartment complex is being proposed for the northwest side of Salem. The project proposed by Conant Development of Bloomington would require a tax increment financing district pre-development agreement with the city that would allow for the company to recoup part of its development cost.
The complex would be constructed on vacant land accessible from Airport Road north of the Salem Aire Apartments between Mills Cart and Boone Street. It would consist of 18 four unit apartment buildings. All the apartments would be two bedroom. They would not be income based. The company has completed similar developments in several other cities.
As part of the TIF agreement, Conant Development would be required to complete the project on or before December 31st, 2029. The TIF District could provide reimbursement for land acquisition, site preparation, professional fees, public infrastructure improvements, utilities extension and interest buy down of 30-percent of the Interest expense. While those costs are anticipated to total $1,174,000 the city’s reimbursement would not exceed $1-million.
The proposed TIF agreement and a presentation about the project is on the Salem City Council agenda for six Monday night.
The need for additional housing was one of the major needs identified by the City of Salem in its strategic plan.
