A $10.5 million plan to convert side-by-side historic Garment District buildings to apartments in downtown Kansas City will move ahead with a 10-year, 100 percent tax abatement.
The abatement on the increased property taxes resulting from the project, valued at about $206,000, was granted Tuesday by the Land Clearance for Redevelopment Authority. The incentive will help a Yarco Development Co. partnership rehabilitate buildings at 911 and 915 Broadway and a parking lot at 917 Broadway.
The proposal will create 44 market-rate apartments in buildings that have been vacant for about five years. It also calls for 33 gated and covered parking spaces in the adjacent lot. Occupancy is expected in 2017.
Developers told LCRA commissioners the plan also seeks about $3.8 million in federal and state historic tax credits to make the project feasible financially. The five-story building at 911 Broadway dates to 1904, and the adjoining three-story building at 915 Broadway was built in 1909.
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The 61,600-square-foot redevelopment will include exterior brick repair, roof replacement and window replacement. The interiors will be demolished to make way for one- and two-bedroom apartments ranging from 600 to 1,000 square feet. The project also includes plans for a rooftop deck. Rents are likely to range from $900 to $1,250 a month.
The project lies in the Central Business District Urban Renewal Area that previously was approved by the Kansas City Council. Its financing includes a $150,000 grant from the 11th Street Corridor TIF plan.
The development team includes Rau Construction and SWD Architects. A $4.82 million first mortgage is with Grandbridge Real Estate Capital.