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Committee approves PILOT for Chrismore Court preservation; developers say funds will support on-site services
Summary
The committee approved a payment-in-lieu-of-taxes (PILOT) for the Chrismore Court preservation project (proposal 185), a 40-unit affordable senior housing development. Developers said the pilot would fund services, staffing and insurance costs; total project cost cited at $13.6 million.
The Metropolitan and Economic Development Committee on July 14 approved a payment-in-lieu-of-taxes (PILOT) for Chrismore Court (proposal 185), a project to preserve 40 affordable units for residents aged 55 and older at incomes no greater than 60% of area median income.
Ashley Miller, principal program manager with the Department of Metropolitan Development, introduced the item and the T and H Investments development team. Jana Hageman, owner of T and H Investments, said the project preserves 34 existing affordable units and adds a four-plex plus two single-family houses. The developers said the project’s capital stack includes 9% low-income housing tax credits, an IHDA DFL loan, ARPA funds, a grant from the Urban League, and a seller note from WCDC.
Roy, the development team’s head of asset management, told the committee the total project cost is $13,600,000 and that the pilot request proposes paying about 20% of the calculated taxes. He said the pilot would allow the development to provide on-site services (meal programs three days a week, transportation, case management, fitness classes and other programming) and to sustain staffing levels.
Roy warned that the property operates on thin margins (he said net cash flow was about $35,000) and that a single major repair — he cited a recent pipe burst costing roughly $30,000–$35,000 — could erase annual cash flow. He also said insurance costs are rising 10–12% annually and that some properties are facing much higher wind/hail deductibles (he described some deductibles effectively moving to a 2% insurable cost, producing six‑figure deductibles on larger claims).
Developers said that without the pilot they would likely reduce services and staffing. Councilor Hart asked whether DMD tracks whether occupants come from inside Marion County; staff said that specific data is not always available and that for this project it is preserving existing residents. The committee recorded a motion and the transcript shows the motion carried; no roll-call tally is listed in the transcript.
