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Council adopts superseding tax‑abatement for Garden Terrace senior housing after notice error
Summary
The New Ulm City Council adopted a superseding tax‑abatement and development agreement for a 39‑unit senior apartment at 1011 North Garden Street after staff found the November public‑hearing notice was not published, voiding earlier approvals. The city’s abatement totals $585,176 over 10 years.
The New Ulm City Council on March 3 approved a superseding tax‑abatement resolution and development agreement for a 39‑unit, three‑story senior apartment project at 1011 North Garden Street after staff discovered the city failed to publish a required public‑hearing notice in November.
City staff member Schoenberg told the council the earlier approval was not valid because the notice did not run in the newspaper. "The total proposed abatement amount for the city will be $585,176 and that will be paid over a term of 10 years," Schoenberg said, adding the program includes a one‑time $4,000 establishment fee the city will receive (capped at $1,000 per year).
Ward 3 councilor offered the motion to close the public hearing and adopt the superseding agreement; the motion was seconded and passed on a roll‑call vote. Council members confirmed the new resolution nullifies the prior agreement and provides the updated dates required by statute.
Oak Hills Living Center will lease, operate and initially maintain the property, staff said, and Garden Terrace 2, LLC is the owner/developer. Brown County has also approved participation in the tax‑payment program at its December meeting, staff reported.
The resolution approves the development agreement as presented; councilors did not add job‑creation requirements because the project is housing for people 55 and older. The council adopted the measures after the public‑hearing record was opened and no members of the public asked to speak on the item.
The council carried the motion to adopt the superseding tax‑abatement and development agreement. The council did not specify any additional conditions beyond those in the packet. The resolution is effective March 3, 2026.
