PEORIA, Ill. — The Prairie Vista apartment complex in North Peoria could be changing hands and getting a facelift, all to the tune of $65 million. But the deal comes with some requirements, getting pushback from residents.
Colorado-based Integrity Housing wants to buy the property with the help of housing bonds from the Tri-County River Valley Development Authority. $45 million would go towards purchasing the complex, with the remainder going towards renovations for roofing, lighting, and other purposes.
“There’s really no intent by the owners to substantially alter the development, in fact they hope to improve it,” said Warren Ribley, the Executive Director of TRVDA.
The deal would require 20% of the apartments be available to those making 50% of annual median income, estimated at around $82,000. 55% would go to those making 80% of the median income, with rents determined based on what the tenants make. It’s a plan city officials think could help bring more people to the north side.
“I do think that as a city we need workforce housing,” said Peoria City Manager Patrick Urich. “I do think that’s what the developer is trying to market it for.”
But not everyone supports the purchase. At a public hearing Monday morning, local residents sounded their concerns about rising taxes and subsidized housing if the proposal is accepted.
Dunlap school board president Dr. Abby Humbles said there’s still a lot to be done. She told 25 News by phone that many are worried a possible tax exempt status could mean a loss of tax revenue for the schools. That’s because Integrity Housing is a non-profit organization. Since they plan to operate by making money, it may not be the case per state and federal laws.
“It’s a 501(c)(3),” says Ribley, referring to the category nonprofits fall under for the IRS. “(Those) qualify for tax exemption, and I think it’s pretty clear that this one isn’t.”
25 News spoke with Prairie Vista’s property manager, who says both he and the complex’s owner, NHS properties, had no comment on the situation.
The Peoria City Council will hold a public meeting on April 6, and plan to address the proposal on April 12. Approval will also happen with a sign-off from the Governor’s office.
