Developer seeks OPRA for energy-efficient rehab on Oakman; committee sends item to formal

SK Holdings LLC presented a request Jan. 16 to establish an Obsolete Property Rehabilitation Act (OPRA) district for 3641 and 3651 Oakman Blvd., a vacant eight-unit apartment building the developer proposes to gut and modernize with energy-saving systems.

Developer Shocker Manns, an electrical engineer and founder of Flintstone Construction, described plans to convert the 1965 split-level building to efficient, all-electric housing at 60% area median income. Manns said the project includes high-performance insulation, a geothermal heat-pump system, rooftop solar and energy-efficient appliances; the developer estimated the improvements could reduce energy usage by roughly 30% and save about $5,000 per year in electrical costs once at scale. Manns said rooftop solar and geothermal payback periods are expected to be within the 5–10 year range.

DEGC staff explained how OPRA would partially abate the increased taxes resulting from the $1.4 million investment for a 12-year period, after which the property would pay the full ad valorem tax. The development team reported that about 47% of its capital stack is grant funding, the developer will provide 10% equity, and about 43% will be debt; DEGC staff said the project would not be feasible without the tax abatement.

Public commenters supported the energy-focused rehab as a model for weatherization and affordable housing; the committee voted to send the OPRA item (line item 6) to formal with a recommendation to approve.