KAUKAUNA — Construction on Kaukauna’s new hotel and apartment development on the north side has been delayed until spring, developers say.
Officials with Harvest Development LLC. have been unable to begin construction as planned on the Kaukauna River Hotel or Edgewater Pointe apartment projects because of supply chain issues, the Appleton Post-Crescent is reporting.
The $30 million project on the former Gustman’s site on the north side was approved by the city council in August.
According to the developer’s agreement with the city, if the company doesn’t complete construction on the hotel by Dec. 31, 2022, it won’t receive the full $2 million in incentive outlined in the agreement.
The council has two separate development agreements with Kenosha-based, Harvest Development, LLC for the he 3.1 acre Uptown Site. The site has been municipally owned since 2018 with the goal of attracting a high-density and high-value development.
The plan includes a 68-room Choice Hotel Brand Sleep Inn and Suites hotel and Edgewater Pointe, a 101-unit market-rate apartment complex.
The new development consists of a $30 million investment in the site, which will generate a guaranteed minimum assessed value of $15 million dollars per year through the life of Tax Increment District No. 8.
As is common on many downtown redevelopment projects, a TIF incentive (combination of a municipally-backed commercial loan and a developer cash incentive) was a critical part of bringing this development to Kaukauna, according to a city news release.
The apartment complex features luxury amenities such as underground parking, enhanced security, pet-friendly units and amenities, high-end unit finishes, community room, and outdoor recreation facilities, according to the news release.
The five-story apartment building has exceptional views of both the downtown area and the Fox River and 1000 Islands Conservancy.