An appropriation of $500,000 from Terre Haute’s downtown tax increment finance district is the final step needed to convert the former YMCA building, vacant since 2006, into apartments, along with new construction of six townhouses. David Ritchay, vice president of development for The Commonwealth Companies, said the company’s proposed $10 million project, of which more than $5.3 would be for construction, relies on federal historic tax credits, but also on state housing tax credits, through the Indiana Housing & Community Development Authority. “For about $100,000, the city would get a $10 million project” which would pay full property taxes after seven years, said Richard Shagley, a Terre Haute attorney serving as local counsel for Commonwealth, who also took the tour. “We close on the financing and begin construction in July,” Ritchay said. “We are about a 14-month construction period. The new construction might be sooner … so this time next year we would begin to lease out … with the end of summer and fall next year to be totally complete and occupied,” Ritchay said.
While Commonwealth plans to utilize a Milwaukee-based contractor for the project. Shagley said Commonwealth has letters of intent for about $2 million of work from local contractors: Dennis Trucking of Terre Haute for inside demolition and outside work, and Central State Construction of Marshall, Ill., for heating, ventilation and air conditioning, plumbing and electrical.
An interior section of the YMCA’s gym would be preserved as an open space for residents. A basketball goal would also remain, but not be used. Additionally, unique ceiling beams, made of concrete. will remain in the main entrance and in other areas of the first floor.