Habitat for Humanity Greater Peoria Area will get nearly $1 million to build several new single-family homes in the 61605 neighborhood.
The first phase of the plan calls for developing six affordable housing residences on the site of the former McKinley Elementary School at 1201 W. Adrian G. Hinton Ave.
The Peoria City Council unanimously approved two funding packages for the initial phase during Tuesday night's regular meeting.
“After we took down McKinley School, we had been working with Habitat for Humanity on a project in that neighborhood,” city manager Patrick Urich said during an interview with WCBU ahead of the meeting. “We were able to secure a federal earmark to go towards that, so we're very pleased to see this project move forward.”
The approval followed an additional unexpected announcement by Habitat Greater Peoria Executive Director Lea Anne Schmidgall.
“We have even more exciting news: We are going to be receiving some tax credits from a large donation we received,” said Schmidgall. “I didn't even understand the tax credits through the Illinois system, but I do now. But we have probably $700,000 to $900,000 extra dollars coming for this area.”
Director of Community Development Joe Dulin said the McKinley site project takes a big step in addressing Peoria’s need for more housing opportunities.
“The biggest feedback we’ve heard from residents are that's great to have additional affordable rental housing in the community, but when can we see possible affordable home ownership opportunities?” said Dulin.
The project at the McKinley site will receive $445,000 in Home Investment Partnership funds through the Community Housing Development Organization (CDHO). The funds were set aside during the 2021-24 grant years.
U.S. Rep. Eric Sorensen, D-Ill., secured another $500,000 in a Community Project Funding grant from the U.S. Department of Housing and Urban Development (HUD).
“I just want to thank Habitat and the city for finally getting together in this collaboration, one that we hope will be just the first of many affordable housing programs in 61605,” said District 1 council member Denise Jackson. “We have had lots of people interested in purchasing homes, people who are interested in staying in the central part of the city.
“We have numerous parcels of land in and around that area that are just waiting for opportunities to build homes and put families in those areas, finally.”
The city and Habitat are planning to hold an open house in January to provide neighborhood residents with information about the project, such as how to qualify for the program and the design of the houses.
“You'll specifically have opportunity to learn about Habitat, learn ... how to sign up for their programs, learn how you might be able to join their program to get one of these households and what you have to do for their program requirements,” said Dulin.
Habitat estimates each house will cost between $163,000 and $183,000, depending on bedroom sizes. Urich said construction should begin next year, with a 12-month timeline to completion.
“When I think about having grown up on the South Side of Peoria or the 61605, and what it used to be and definitely the opportunity of what it has to become. I'm excited,” said council member Bernice Gordon-Young. “Not only excited for the residents, but excited to hear that there's going to be input. We're not just doing cookie-cutter homes and you just pick one; (we’re) giving them an opportunity to have some input. And (it’s) not just affordable homes, but quality homes, and that's what all residents of Peoria deserve.”
Future phases could add up to six more homes on other vacant lots in the vicinity. Habitat will seek additional funding sources for those phases.
