ZONING, NEIGHBORHOODS & DEVELOPMENT COMMITTEE - 2026-02-24
Meeting Intelligence Preview
Meeting Summary
The Zoning, Neighborhoods & Development Committee approved seven property sales for development projects including a YouthBuild housing program (7 lots for single-family homes), commercial conversions, and small business expansions. The committee also approved a $2.2 million TIF increase for the 100 East Wisconsin commercial-to-residential conversion project (now $16.6M over 20 years), and passed new ordinances requiring structural inspections of parking infrastructure and electronic scanning of historic buildings before demolition.
Key Decisions (10)
Sprinkler Installation Permit Fee Waiver
Ordinance waiving city permit fees for voluntary sprinkler installation in apartment buildings currently exempt from sprinkler requirements. Permit fees typically represent about 1% of total installation cost ($2,200 on a $230,000 installation). Fiscal note estimates $35,000 annual impact based on approximately 6 projects.
Employee Down Payment Assistance Program Study
Resolution directing Department of City Development to study feasibility of creating an employee homeownership incentive program for city employees. Current residency rates: 58% of fire department lives outside city, 62% of police lives outside city, 25% of general city employees live outside city.
Milwaukee Community Crossroads YouthBuild Lot Sales
Sale of 7 city-owned vacant lots in 7th, 8th, 12th, and 15th Aldermanic Districts to Milwaukee Community Crossroads for single-family home construction through YouthBuild program. Homes cost approximately $306,000 to build, sell for approximately $105,000 with gap subsidized through fundraising and CDGA block grant funds. Three bedroom, one bath homes with full egress basements.
912 West Burley Street Sale to Z Luxury Living LLC
Sale of mixed commercial building (2,000+ sq ft) at 912 West Burley Street in 6th Aldermanic District to Sakia Lipford/Z Luxury Living LLC for $20,000. Buyer plans to operate quality of life assistance business. Property acquired April 2022, zoned local business.
4232 North Teutonia Avenue Lot Sale
Sale of vacant lot (4,000+ sq ft) at 4232 North Teutonia Avenue in 1st Aldermanic District to 4220 Teutonia LLC/David Michalski for $600. Buyer owns adjacent restoration and property management businesses, will use lot as green space with fencing to prevent dumping and crime. Property foreclosed in 2008, building demolished 2019.
4417 North 27th Street Sale for Custom Coatings Business
Sale of 3,600 sq ft single-story warehouse building at 4417 North 27th Street in 1st Aldermanic District to Kevin and Kian Mollner for custom coatings manufacturing business. Building constructed 1894, acquired by city November 18, 2024 through tax foreclosure. Business plans to hire 2-3 full-time employees immediately, eventually 5-6.
1633-35 West Center Street Sale for Healthy Cafe
Sale of 3,600 sq ft multi-story brick building at 1633-35 West Center Street in 15th Aldermanic District to Tamika Thomas for healthy food cafe. Building constructed 1894, acquired July 28, 2025 through tax foreclosure. Buyer awarded $32,500 from commercial corridor team for white boxing (reimbursable). Total renovation budget approximately $200,000. Buyer will also live in building.
TIF Amendment for 100 East Wisconsin Conversion
Amendment to TID 127 increasing TIF from $14.4M/16 years to $16.6M/20 years for 100 East Wisconsin commercial-to-residential conversion. Total project investment increased from $165M to $186M due to construction cost increases ($6M), soft cost increases, and interest rate change (6.2% to 6.58%). Project includes 373 units (84 studios, 202 one-bedrooms, 79 two-bedrooms, 8 three-bedrooms) with 75 units (20%) rent-restricted to 100% AMI. Developer-financed TIF with no taxpayer risk.
Parking Infrastructure Inspection Ordinance
New ordinance requiring owners of certain parking structures and parking lots to retain third-party engineers for structural inspections, similar to existing facade inspection ordinance. Prompted by recent parking structure failure at East Knapp Street apartment building.
Historic Building Demolition Scanning Requirement
Ordinance requiring electronic laser scanning of historically designated buildings and buildings in historic districts before demolition as condition of Certificate of Appropriateness. Cost borne by COA applicant, estimated at approximately $2,000 for complex buildings. Scanning takes approximately 35 minutes per building. Historic Preservation Commission given discretion to exempt structures like garages.
Development Activity (9)
YouthBuild Single Family Homes
7 single-family homes, 3 bedroom/1 bath, just over 1,000 sq ft each with full egress basements pre-plumbed for additional bathroom. Construction cost $306,000 per unit, sale price approximately $105,000.
100 East Wisconsin Conversion
Commercial-to-residential conversion of historically designated building. 373 units total: 84 studios, 202 one-bedrooms, 79 two-bedrooms, 8 three-bedrooms. 75 units (20%) rent-restricted to 100% AMI. $186M total investment. Projected assessed value $118M upon completion.
Healthy Food Cafe
Cafe focusing on healthy nutrition serving salads, protein shakes, smoothies, healthy wraps 8AM-2PM, hot meals 2PM-8PM. $200,000 total renovation budget including $32,500 commercial corridor grant. Owner will live in building.
Custom Coatings Manufacturing Facility
Custom coatings and fabrication business in 3,600 sq ft warehouse. Plans to hire 2-3 full-time employees immediately, eventually 5-6. Will install fencing and renovate exterior.
Five Points (Lamar Franklin Loss)
Affordable housing project. Professional SBE at 13% (18% required), RPP with bonus at 18%, Apprentice RPP at 100% of 25% required, SIA at 24% of 40% required.
Bronzeville Arts and Tech Hub
Professional services SBE at 12% (18% required), RPP at 28%, RPP with bonus at 33%, Apprentice RPP at 16%.
CDA Scattered Sites MKE
20 duplexes completed October 2024-December 2025. Exceeding all requirements: Professional SBE at 24%, RPP with bonus at 53%, Apprentice RPP at 98%, SIA RPP Apprentice at 84%.
Habitat for Humanity Midtown TID 119
Best efforts project. Professional SBE at 90%, RPP with bonus at 19%, Apprentice RPP at 0%. Habitat's internal workforce affecting RPP numbers.
Northwestern Mutual Tower and Commons
Exceeding all requirements: Professional SBE at 23%, RPP with bonus at 54%, Apprentice RPP at 53%, SIA RPP Apprentice at 84%.
Market Signals (6)
Housing Demand
Commercial-to-residential conversions facing 15-25% cost increases when using union contractors for affordable housing, pushing developers toward non-union contractors who bring workers from outside the city.
Commercial Demand
100 East Wisconsin building's assessed value dropped from over $100M to $24M due to office market decline from Great Recession and COVID, now being converted to residential with projected $118M post-conversion value.
Infrastructure
Parking structure failures prompting new inspection requirements; recent incident at East Knapp Street apartment building caused property damage but no injuries.
Sentiment
City implementing multiple incentives for apartment building sprinkler retrofits including permit fee waivers, doubled fire inspections for non-sprinklered buildings, and tenant disclosure requirements.
Labor
RPP (Residents Preference Program) compliance varies dramatically by developer intentionality - projects range from 19% to 54% RPP participation, with union projects and vertically-integrated developers showing better compliance.
Housing Demand
YouthBuild homes selling for $105,000 despite $306,000 construction cost, with gap subsidized through fundraising and federal block grants, indicating strong demand for affordable homeownership.