New Gorman Plan Unveiled
Changes Made To Save East Wash Project

By Dean Mosiman and Ron Seely
Wisconsin State Journal, March 26, 2006

Developer Gary Gorman has downsized and made significant changes to save a major development project on the 800 block of East Washington Avenue.

Gorman, who initially proposed an $84 million development, has eliminated a 10-story condo tower and added more townhouses in a $58 million project that would need less public assistance.

The project, which would cover a full block now used for a used-car dealership, is seen as a major catalyst to revitalizing the near East Side.

"We're excited about it," project manager Chris Laurent said. "This is a creative solution that addresses a lot of problems."

Neighbors were also pleased when Laurent unveiled the new plan Saturday afternoon at an informal meeting at a Johnson Street coffee house.

Cheryl Wittke, president of the Tenney-Lapham Neighborhood Association, said the proposal fits in well with the goal of a just-completed neighborhood plan, which calls for more family-oriented, high-density housing.

Laurent said the housing in the development is aimed at attracting families and providing more students for nearby Lapham Elementary. Two-bedroom townhouses are expected to sell for about $299,000, he said, while a two-bedroom flat will go for about $219,000.

Gorman also had neighborhood support and land-use approvals for the original $84 million proposal that featured 309 condos in nine buildings, including a 10-story tower, retail space and parking.

But the city asked that he break the development into two phases and financing negotiations stalled over a difference on tax incremental financing (TIF) assistance. The city had offered $2.2 million for a $42.5 million first phase, but Gorman wanted $4.2 million.

Gorman and city officials have been trying to revive the project for the past two weeks.

"They've been at the table," Laurent said.

Although the final numbers aren't ready, Gorman will seek less than $4.2 million in TIF for the project, probably a figure in "the high threes," Laurent said.

Both phases of the original proposal would have needed about $6.8 million in TIF, he said.

The new concept carries many of the same design elements of the initial one, including a new street through the center of the block, but reduces the number of units from 309 to 176 and eliminates the tower in favor of more townhouses, which produce more revenue.

The tallest 5.5-story buildings, which would include retail space, would face East Washington, Laurent said. That still allows the project to make an architectural statement and should satisfy concerns that property facing that major thoroughfare wouldn't be redeveloped until a second phase, he said.

The project will include 15 percent lower cost units that meet requirements of the city's inclusionary zoning law, he said.

While the plan met with general approval from neighbors Saturday, some were concerned that the design calls for too little green space and too much pavement.

"I don't think this is kid-friendly anymore," said Ald. Brenda Konkel, 2nd District. "And it's driver-oriented. I am not understanding how it feels like a neighborhood, community thing anymore."

Laurent, however, said plans could be changed to create more green space and add play areas for children.