Property owners propose denser ‘missing‑middle’ subdivision; planning staff to explore comp‑plan change

Tim Olsen and Steve Wepner, owners of property fronting Vilas Road, presented a concept plan to the Cottage Grove Planning Commission for a potential new subdivision designed to add denser housing types aimed at first‑time buyers.

The proposal uses a planned unit development model to fit smaller lots and a mix of housing types — including duplex “twin homes,” four‑unit buildings and some eight‑unit structures intended for ownership rather than rental — and would require a change to the village comprehensive plan to allow a higher share of multifamily building types.

Olsen said the site already has sewer and water granted to the property. “We have sewer and water granted to the property,” he told the commission, and said developers are seeing demand for smaller, lower‑priced ownership units. He described market examples where builders sell product before construction and can reach price points “around 400,000, you know, or below 500 for sure,” by shifting to denser building types and smaller lots.

Why it matters: commissioners and residents said the proposal addresses local demand for “missing‑middle” housing —…