Lupe Development Partners announced today it has closed financing and will break ground on the first phase of its housing campus in the Lyn-Lake area, marking a major milestone in the project’s development. Located at 410 W. Lake Street, the first of three buildings will include 111 affordable housing units with nine units intended for homeless veterans.
Lupe Development is partnering with Hennepin County and the nearby Ballentine VFW Post 246 to serve homeless veterans with safe housing, programming and services. To be eligible for housing, residents will need to meet income restrictions of $30,000 to $42,000 a year. The development will include a mix of studio, one- and two-bedroom units. Construction on a second identical building – phase two of the project – is scheduled to begin in 2020. Plans are currently underway for a third building at the northeast corner of Garfield Avenue and West Lake Street.
“In a neighborhood where abundant, quality housing is often only available through luxury properties, the Lake Street Apartments will provide greater affordable housing choices to working residents,” said Steve Minn, vice president and chief financial manager of Minneapolis-based Lupe Development Partners. “We are proud to serve homeless veterans by including safe, veteran-specific units in the development, and look forward to continuing our partnership with Hennepin County and the VFW Post 246 on this important issue.”
“Stable housing is a right. The vitality of Minneapolis is dependent upon every person in our community having access to a safe, reliable home,” said Minneapolis Mayor Jacob Frey. “The Lake Street Apartments are a great example of the positive impact the private sector can have in creating smarter, more affordable housing options. This investment in the Lyn-Lake neighborhood will benefit all of Uptown.”
Located close to the Midtown Greenway in a transit-rich area, the Lake Street Apartments will feature various amenities, including a fitness facility, a business center, community rooms, outdoor decks, a green roof, solar panels and a bike room with a repair station. The development is also within a half-mile of the new Bus Rapid Transit (BRT) station at Lake Street and I-35W, and is served by several high-frequency bus routes.
In fall 2018, the Metropolitan Council awarded the project a $1.2 million grant from its Livable Communities Demonstration Account and the Minneapolis City Council approved a $2.375 million loan from its Affordable Housing Trust Fund. Other funding partners for phase one of the Lake Street Apartments include Hennepin County and the AFL-CIO Housing Investment Trust, which agreed to be the senior construction and permanent lender on the project because of the firm’s commitment to skilled labor.
“Lupe Development has made a concerted effort to utilize the highly trained unionized construction workforce in Minneapolis on its affordable housing projects,” said Dan McConnell, Minneapolis Building and Construction Trades Council business manager. “This effort – in conjunction with Frana Companies – has produced a high-quality product delivered on time and on budget, and we have been pleased to be a part of that work.”
Full construction is estimated to be completed by June 2020. Opportunities to lease units in the new development will begin in February 2020.