Commission approves first reading for LK Townhomes RHID to support workforce housing

The Manhattan City Commission on May 20 approved on first reading an ordinance establishing a Reinvestment Housing Incentive District, a development plan and a development agreement for the LK Townhomes project on Little Kitten Avenue.

Stephanie Peterson, the city’s director of community development, told the commission the project envisions 26 duplex units on 26 undeveloped lots, a total construction cost just under $9 million and a pay-as-you-go RHID request capped at $1,950,000 over a maximum term that the agreement ties to construction milestones and statutory limits.

“The RHID request is for a maximum of 15 years, or $1,950,000,” Peterson said, describing the developer’s requirement that at least 50% of the units be built before any RHID payout and the developer’s 12-month start/48-month completion windows written into the agreement.

Tyler Holloman, a principal with Frontier Development Group and a lead developer on the Manhattan Infill Housing Project, described the broader program and the LK site’s role in it. “This is an initiative that's going to bring 44 new homes to the Manhattan, and Riley County community. 40 of those are workforce housing,” Holloman said, noting local contractors and materials would be used and…