Sep 14, 2020

🎤Four contractors have signed onto Hays RHID housing project

Posted Sep 14, 2020 10:52 AM

By JAMES BELL
Hays Post

The housing development planned near the intersection of Wheatland and 22nd in Hays recently reached another milestone, after four contractors signed on to build homes in the development.

"You couldn't tell by driving by it, but things are happening behind the scenes," said Doug Williams, executive director of Grow Hays. "This week, we got commitments from four contractors who have committed to build homes over there."

The commitment gives 18 months for the contractors to build the homes and will be built at different price points within the scope of the project that is designed to address a lack of homes within a price range of $175,000 to $225,000 in Hays.

"They are going to build in different price points," Williams said. "Each of them has to build a house that will sell for no more than $175,000, a house that sells for no more that $200,000, a house that sells for no more than $225,000 and then the fourth one they can pick what price range they want."

The agreement is also good news for developer Heart of America, as the nonprofit cannot begin to recoup infrastructure development costs until homes are built.

The costs will be covered by a Rural Housing Incentive District that was passed earlier this year and allows the group to collect the increase in tax revenues on the developed land.

"It's good news, not only for (Heart of America), but also for the housing market," Williams said. "It will provide some much-needed inventory at a price range that is very lacking right now and has been for quite some time."

Now that the contractors have signed on, Williams is hopeful construction will begin quickly after the infrastructure is in place.

Plans for sewers and related water infrastructure are currently being reviewed by the Kansas Department of Health and Environment and bids are out for construction.

"I'm hoping we can see some actual activity out there in the next 30 days," Williams said. 

Although he admits that is an optimistic timeline, he said if the infrastructure can be completed in the next few months, home construction could begin after the first of the year.

"As quick as we can get some streets in and some utilities we will have 16 houses out there withing an 18-month time frame," Williams said.

The entire project will be split into three phases, with 36 lots included in phase one.

Once around 75 percent of those lots are developed, phase two will begin.

"We have several years to build out phase one, but hopefully within a couple of years that could be 75-80 percent built up and we could start on the next," Williams said.

In the meantime, Williams said the agreement with the contractors is a positive first step.

"It's great news," he said. "These are all good contractors that know what they are doing."