Nov 09, 2024

More development projects in Hays involve housing, business, city

Posted Nov 09, 2024 11:01 AM
Existing housing complex owned by DP Management in Norfolk, Nebraska, that is similar to the proposed Victory Village to be built in Hays.  Courtesy image 
Existing housing complex owned by DP Management in Norfolk, Nebraska, that is similar to the proposed Victory Village to be built in Hays.  Courtesy image 

By BECKY KISER
Hays Post

The agenda for Thursday's Hays City Commission work session was short, and each of the three discussion items involved new developments in the city.

"This is one of the most exciting agendas we've had in a while," said Alaina Cunningham, commissioner. "So many growth projects."

A partnership between DP Management Commercial Real Estate Services and RMDX Development, Omaha, Nebraska, proposes building a multi-family housing project with 136 apartment units. It would be located at the southeast corner of Wheatland Avenue and East 22nd St., just east of the Bright Minds Academy child care facility.

The apartment complex will cost $22 million for phase one, and $9.8 million for phase two.

The proposed "Victory Village" would include 48 market-rate units and 88 low-income units.

Brian Reilly, president of DP Management, said the company will apply for $650,000 in moderate-income housing grant funding from the Kansas Housing Resources Corporation and is asking the city for a resolution of support.

The developer is also partnering with Ellis County to submit an application for the low-income housing tax credits program. 

DP Management already has a presence in Hays.

Big Creek Crossing, 2918 Vine, is managed by DP Management as a third-party project on behalf of the owner.  

"We want to do this [housing] project independently. That's what brought us here today. We believe there's a strong need for this housing and feel we can execute it very well," Reilly said. 

Brian Reilly, president, DP Management Commercial Real Estate Services, Omaha, talks to the Hays city commission about constructing a large multi-family apartment complex in east Hays. Photo by Becky Kiser/Hays Post
Brian Reilly, president, DP Management Commercial Real Estate Services, Omaha, talks to the Hays city commission about constructing a large multi-family apartment complex in east Hays. Photo by Becky Kiser/Hays Post

DP Management Commercial Real Estate Services has completed similar housing projects in Omaha, Lincoln, Kearney, Norfolk and North Platte, Nebraska. 

Reilly said construction could start in October 2025 if the project is successful. 

CERVS, 3701 Vine. Courtesy image
CERVS, 3701 Vine. Courtesy image

 Jarrod Kuckelman, Hays management analyst, updated the CERVS project to build a new convenience store and Phillips 66 gas station at its 3701 Vine Street facility.

CERVS wants to establish a 1.5% community improvement district (CID) sales tax on the site. The developer estimates the tax will generate about $895,000 over the maximum 22-year term of the CID.

CERVS' eligible expenses in a proposed community improvement district for a new facility at 3701 Vine. 
CERVS' eligible expenses in a proposed community improvement district for a new facility at 3701 Vine. 

City staff recommends that the ordinance establishing the CID, passing the sales tax, and approving the development agreement be approved. 

A design-build agreement for remodeling the Astra Bank building, 1100 Fort, into the new Hays police and municipal court facility was presented by Collin Bielser, deputy city manager.

The city has been sharing space since 1976 with the Ellis County Law Enforcement Center at 105 W. 12th.

"This process has involved many phases and is near ready for preliminary design to begin for the renovation," Bielser said.

City staff recommends the governing body proceed with the proposal submitted by PWC, Inc., Hays.

PWC has submitted a lump sum fee of $182,000 to complete Phase 1 services. This will provide 30% design plans for the renovation and establish a guaranteed maximum price for the project. The project will be funded by general obligation temporary notes issued in October.

The commission moved to add the three agenda items for a vote at their Nov. 14 meeting.

Commissioner Reese Barrick was absent from the meeting.