Home Kenosha: builder progress reported; NewGen Homes withdraws from five-lot agreement

City staff told the Kenosha Redevelopment Authority on Oct. 21 that several builders have progressed on Home Kenosha lots while one developer, NewGen Homes, has withdrawn from a five-lot agreement.

Staff said Torrance (reported in the meeting as "Torrance and Builders and Properties") has finished two houses, has two additional houses enclosed and poured, and expects to pull permits on what staff described as its seventh and eighth houses in the next week. Staff said Torrance has already sold three houses.

Staff reported NewGen Homes "had to pull out" of its agreement to build five houses in the Wilson area; a termination agreement for NewGen will go to the Common Council on Nov. 3, and those five lots will be returned to the Home Kenosha lot list for other builders to select. Staff said they are in discussions with another builder interested in those five lots.

Staff also said the program received additional prequalification applications from home builders and that an outreach email was sent to local home builder associations to increase interest. One builder mentioned in discussion, identified in the transcript as Acadia, said it may need the same $25,000 redevelopment subsidy used on prior houses to make additional builds financially feasible; staff said Acadia will need to reassess its finances.

Authority members asked why NewGen withdrew; staff explained NewGen's typical work in small developments left it with a less robust permitting, erosion-control and surveying process, and that one surveyor the company hired dropped out, delaying the project beyond the builder's timeline. Staff also told the authority that some Home Kenosha lots have older lateral service lines that may require replacement; the water utility can sometimes assist where lines are lead.

The authority moved to receive and file the Home Kenosha program report. The motion carried by voice vote with all members present voting in favor.