Council approves Lowell Street TIF amendment to unlock HUD‑backed housing project

Lewiston — The City Council unanimously adopted the first amendment to the Lowell Street omnibus tax increment financing (TIF) district and development program, a move officials say will enable a 152‑unit, HUD‑insured housing project aimed at the city’s “missing middle.”

Economic and Community Development Director Nate Libby and developer Jason Levesque presented a revised project that shrank city‑funded public improvements from $1.5 million to $850,000 and offered a fixed credit enhancement payment of $400,000 per year for 20 years to help the developer qualify for HUD financing.

Why it matters: Libby said the amendment shelters an estimated $62.4 million in valuation and conservatively projects $24.2 million in revenue over a 30‑year term. Under the amendment, about one‑third of the projected revenue would be available to the developer for phase‑1 incentives, roughly one‑third would support public projects and one‑third would be retained by the city over the long term. Libby described the fixed annual payment as a tool to provide underwriting certainty to lenders.

Project details and timing: The proposed Phase 1 building would contain 152 units, include commercial space and amenities, and target households earning up to roughly 120% of area median income for half of the units to address the “missing middle” housing gap. Levesque said the team plans to break ground in mid‑April (weather permitting) and target completion in mid‑August 2027 for phase 1.

Council discussion: Councilors asked about timing for streetscape and coordination with public works, the phased nature of the developer’s financing, and the authority for a one‑year extension the administrator could sign if milestones slip. Libby said phase‑2 credits and any additional public projects would return to the council for approval.

Vote: After a public hearing and brief discussion, the council approved the amendment by a 7‑0 roll call vote.