Now that the buildings and parking lots are demolished, a developer will start building an apartment, hotel and retail project downtown South Bend.
The city’s redevelopment commission on Thursday voted to greenlight the start of construction of the Madison Lifestyle District, in between LaSalle Avenue and Memorial Hospital. The step marked the end of a two-year due diligence period, as developer Great Lakes Capital and the city have partnered to clear the site.
In a first phase, the developer has committed to build 190 market-rate apartments, up from 150 initially, and a 119-room nationally branded, upscale hotel. The city has agreed to build a parking garage and improve pedestrian crossings.
A second phase, its agreement yet to be finalized, calls for Great Lakes Capital to build another mixed-use building with 90 apartments, with some of them designated as workforce housing, meaning middle-income tenants who make too much for public subsidies but not enough to afford market rents. The city would build a second parking garage to serve that building.
The city will pay for the garages by issuing about $18 million in bonds, repaying them with revenue from new sales and income taxes generated at the site.
